Anne Miura Koh, co-founder of Floodgate Partners, warns that some venture capitalists are watching with caution the Trump administration's proposed massive tax hikes on university endowments. do.
“Currently, there is a proposal to raise the endowment tax from 1.4 percent to 35 percent, but most people will say that endowments are very rich people, so why bother? Well, they are venture capitalists. It's a huge limited partner in private equity, whether it's legal or not. And that can really have a huge impact on funding,” she said at the Axios Dealmakers event on Wednesday.
Vice President-elect J.D. Vance proposed a similar bill a year ago as a senator, but it was blocked by Democrats. It remains unclear whether this tax increase will materialize, especially considering how many VCs are among the new administration's appointees and donors.