Alumni Ventures Professional-Grade Venture Portfolios Unlocking Your Financial Potential with Alumni Ventures | 6 QSBS - Potential Significant Tax Advantage In addition to fee reductions, AV investors may in some cases be eligible for a significant tax advantage through the QSBS program. This benefit can potentially eliminate all Federal (and some state) capital gains taxes. To be eligible, investors must have been fully signed and funded in the fund prior to when the fund actually made a qualifying investment. Alumni Ventures funds typically start deploying capital from the date of the First Close. Therefore, investors who join in the First Close are more likely to be eligible on any qualifying investments made by the fund. Alternatively, investors who join after investments have already begun may not be eligible for this tax advantage on certain investments made before the date of funding. When a qualifying investment exits, AV will provide the relevant information in the annual Schedule K-1 sent to each investor. Please consult your tax advisor on how or whether QSBS can benefit you. Alumni Ventures and its affiliates do not provide legal or tax advice, and AV does not guarantee the availability of any tax benefit in any circumstance. Eligibility for QSBS tax benefits depends on a number of factors in addition to those described here. You are strongly encouraged to consult with your tax professional and other advisors to confirm your eligibility for any tax benefit including QSBS.