Two Indiana lawmakers have introduced a bill that would revamp the state’s Venture Capital Investment Tax Credit program to make it more attractive and flexible.

The program, which began in 2004, allows corporate or individual investors to reap up to $1 million in state tax credits in return for pumping equity or debt capital into early stage companies. House Bill 1503 would raise the cap to $1.5 million and, for the first time, allow the tax credits to be transferred.

That means an out-of-state investor with no Indiana tax liability could sell those tax credits to an Indiana taxpayer.

“It’s not a new concept—it’s something that other states have done,” said CloudOne CEO John McDonald, who chairs the policy committee of the Indiana Chamber’s Tech and Innovation Council, which lobbied for the legislation.

“It has had value in helping states bring in dollars from other states, and we were kind being eclipsed by that.” Read the full story here.