With H.R. 1, the “One Big Beautiful Bill Act” (OBBB) now in effect, we’ve updated Carta’s Qualified Small Business Stock (QSBS) Attestation to help you and your shareholders track eligibility and take full advantage of the new benefits.

What’s new?

Support for shorter holding periods: for shares issued on or after July 4, 2025, Carta now tracks eligibility for a partial QSBS exclusion after three years (50%) and four years (75%), with full 100% exclusion available after 5 years.

Support for the new $75M asset cap: Carta automatically checks if newly issued shares qualify under the updated $75M aggregate gross asset limit—so you can confidently verify QSBS eligibility at the time of grant.

Expanded individual gain exclusion: Shareholder letters and eligibility summaries now reflect the increased $15M per-person gain exclusion, unlocking even greater potential tax savings.

Updated dashboard indicators: Carta dashboards and reports now show eligibility based on new QSBS rules and issuance windows. This makes it easier for companies and shareholders to understand their status at a glance.

Why is this valuable?

The new QSBS rules offer significant opportunities for tax savings—but only if companies can accurately track and prove eligibility. Carta’s updates simplify this process. By automating complex eligibility checks and updating shareholder documentation in real time, companies can:

• Maximize potential QSBS tax exclusions across new and existing grants
• Confidently communicate eligibility status to founders, employees, and investors
• Maintain audit-ready records with less manual effort

These upgrades ensure every eligible shareholder is in a position to receive the full benefits of the new law, with built-in transparency and peace of mind.

How do I access the updated attestation?

No action needed, these updates have already been applied to all active QSBS Attestations and portfolios holding QSBS-eligible shares. If you have questions or would like a walkthrough, reach out to your Customer Success team or visit our Help Center.

Anything else to know?

Our team is closely monitoring policy changes and will proactively revisit your company’s QSBS analysis to help you unlock new shareholder opportunities and ensure your audit records remain up to date.

What’s new?

All equity awards are now tracked via the Equity awards exceeds equity plan size health check.

When is the health check flagged?

The health check is triggered whenever an issuer has more shares issued from their equity plan than shares available at any given date. Each row in the health check indicates the dates when one or more equity award was issued and overdrew the equity plan.

To check which awards are triggering the health check navigate to Essentials > Run Reports, search for the Equity Plan Report, and review awards issued on the overdraw dates to identify contributing securities.

How can I fix the health check?

There are two ways to fix the health check:

1. Modify the security that triggered the health check to be so its issue date matches a time when the company has enough available shares in the equity plan.

2. Amend your equity plan to increase the number of shares available at the overdrawn dates. 

What’s new?

Partner-level ILPA notices are now available on Carta, making ILPA reporting faster, easier, and more reliable. With this update, you can generate, review, and distribute ILPA notices directly within Carta, at the same time as standard capital call and distribution notices.

What’s important about this change?

For firms, preparing ILPA-compliant notices for LPs is often an additional task alongside standard notices. It can require multiple software tools and manual efforts to book activity and prepare the outputs, adding time and complexity to a firm’s reporting workload.

On Carta, ILPA notices are now automatically generated and distributed at the same time as standard notices, streamlining the process for firms and ensuring all LPs receive them simultaneously.

How does it work?

1. Ask your Carta team to switch on ILPA reporting for your fund
2. Request a capital call or distribution following the standard workflow
3. Review the ILPA-formatted notices in the app alongside the standard notices
4. Once approved, the appropriate notices are distributed to your LPs

What’s new?

We have made two improvements to paybands to make setting and updating bands easier:

1. Reset bands - you can now reset paybands based on your current Compensation Plan or, after updating your Plan, reset them based on your updated compensation philosophy
2. Automatic calculations for minimums and maximums - when updating payband targets, the minimum and maximum of the band that you are editing will automatically update based on your paybands settings

How do I reset paybands?

1. Navigate to the Paybands page
2. In the upper right corner, click the “Reset paybands” button

After clicking Reset paybands you will be asked to confirm your choice. Once you confirm, all of your paybands will be reset based on your current Compensation Plan. 

Note that this cannot be undone once you confirm.

Questions?

If you have any questions or feedback about Custom Paybands, please reach out to your Customer Success Manager.

What’s new?

We have updated US geographic adjustments for all metro areas as well as international market adjustments and currency conversions. 

US geographic adjustments are generally stable versus 2024. In the largest metro areas where we have employee level data, pay levels have increased at a lower rate than our top labor markets resulting in some lower adjustments vs. last year. For international locations, salary and/or equity adjustments have changed by more than 10% in Poland and South Korea. We observed 5-10% changes in a number of other countries including China, Germany, France, and Japan. These changes are driven by market trends as well as increased sample size in many of these countries.

How do I update my benchmark version?

You can preview the new benchmarks (using updated geographic adjustments) on your Scorecard by navigating to the Benchmarks page and clicking on the "Preview benchmarks" bubble in the top left.

Here you will have the opportunity to preview the new plan with the updated benchmarks version and assess their impact on your Scorecard before accepting the new plan.

Questions?

If you have any questions about these new benchmarks, please reach out to your Customer Success Manager.

We’re excited to announce a major refresh of the Tactyc <> Carta investments integration that offers enhanced customization and greater control. With a redesigned integration review flow and an upgraded data sync powered by the Schedule of Investments (SOI), these updates make it easier than ever to build and maintain accurate historical performance cases in Tactyc.

What's New:

1. Enhanced Integration Review Flow: 

• Choose what to keep: Selectively retain investment events already in Tactyc, and decide which financing rounds to sync from Carta.
• Clear visibility: Carta-sourced data includes distinct branding and color-coding, giving you clarity on where your data comes from
• Full control: All synced data remains fully editable in Tactyc after import. You can also 

2. SOI Driven Integration (for Carta Fund Admin <> Tactyc customers):

• Improved accuracy: For any portfolio company with a cap table in Carta, we now anchor investment data directly from the Statement of Investments (SOI).
• Enriched context: SOI data is enhanced with Carta’s complete cap table information to ensure (1) accurate ownership calculations across events and (2) inclusion of non-participating rounds

How do I learn more?

Tactyc <> Carta Support Article 

Anything else I need to know?

Specific user and firm permissions are required for integration setup — learn more here. 

Coming Soon:

Non-Carta investments tracked on the Schedule of Investments will be available in Q4.

What's new?

We've enhanced Carta Closings to support sophisticated investors and streamline the fundraising process with multi-party collaboration. This major update transforms Closings from a single-user experience into a collaborative platform where multiple LP contacts can access and complete the subscription process simultaneously.

With multi-party, GPs can share access to multiple contacts, including themselves, and LPs can invite multiple contacts (e.g. wealth advisors, lawyers, colleagues, additional signatories) to help complete their subscription documents—all while maintaining complete visibility and control.

Why is this important?

For sophisticated investors, completing subscription documents often requires input from multiple parties—financial advisors, legal counsel, authorized signatories, and others. Previously, this coordination happened offline through countless emails and document sharing, creating friction and delays.

While individual investors can easily complete forms themselves, larger institutional investors and more sophisticated LPs typically require multiple collaborators to review, complete, and sign subscription documents.

Key benefits:

For General Partners:

• White-glove service: Pre-fill your LP’s subdocs while also being able to view and edit in-progress investor questionnaires to proactively assist your LPs through the subscription process
• Enhanced investor management: Add multiple contacts per investor and proactively designate signatories when sending invitations
• Broader visibility: Maintain a comprehensive view of all contacts associated with each LP in an updated investor ledger
• Multi-party data room access: All LP contacts can now access your Closings data room when invited

For Limited Partners:

• Flexible collaboration: Add team members, wealth advisors, joint subscribers or other stakeholders to help complete the sections of the questionnaire on your behalf
• Transparent access & permissions: Maintain visibility into who has access to the questionnaire and define account contact permissions for managing the investment in Carta.

How does it work?

1️⃣ GP Access to Assist

GPs can now add themselves as an additional contact to prefill LP information and also edit investor questionnaires while they're in progress, allowing them to provide timely assistance to LPs navigating the subscription process. LPs are notified that the GP has this visibility, ensuring transparency throughout.

2️⃣ Adding Multiple Collaborators

For GPs: When adding a prospective investor, you can now include multiple contacts with their names, email addresses, and signatory roles. You can edit this list before sending invitations and view all contacts in an enhanced investor ledger.

For LPs: From the Closings welcome page, you can add or remove contacts, while specifying who has signing authority. New collaborators will receive email invitations to access the subscription.

3️⃣ Enhanced Data Room Access

Multiple stakeholders from a single LP entity can now access the Closings data room, ensuring everyone involved can securely access your fund’s information.

How do I learn more?

To learn more about multi-party collaboration in Closings, check out our detailed support articles or reach out to your Account Manager for a personalized walkthrough to support your next fundraise.

What’s new?

We are launching a new set of benchmarks to help companies make data-driven decisions for board member and advisor equity grants.

These new benchmarks are based on initial equity grants to board members and advisors that have been issued since January 2024, and are shown based on post-money valuation.

How can I access the new Benchmarks?

1. Navigate to the Benchmarks page in Carta Total Compensation
2. Navigate to the “Board members and Advisors" tab on the Benchmarks page 

The appropriate benchmarks, based on your company’s valuation, will be highlighted on the page.

Questions?

If you have any questions about these new benchmarks, please reach out to your Customer Success Manager.

What’s new?

We have updated salary, total cash compensation, and equity benchmarks for all job areas and specializations across both valuation and headcount based peer groups. We have also added benchmarks for 5 new specializations:

• Sales Operations
• HR Operations
• Demand Generation
• Business Intelligence & Analytics
• Onboarding & Implementations

These new benchmarks are available for post-money valuation and capital raised peer groups. Benchmarks based on headcount for these roles, as well as notional equity value benchmarks, will be included in a future release

Benchmark Trends

In aggregate, salary and total cash compensation benchmarks are slightly higher than our last release, increasing by about 1%. These increases were consistent across all valuation peer groups and levels. Similar to previous updates, specialization level data continues to change more than the broader sample, as sample sizes for these roles are smaller than job area level data.

Equity benchmarks are increasing in aggregate, showing about a 1.5% increase versus last quarter. Similar to last quarter, increases are fairly tightly correlated with company valuation, with higher valuation benchmarks seeing the largest increases.

What were the largest areas of movement from these benchmarks?

Salary - Salary benchmarks for most job areas and specializations are within 2% of last quarter’s data. Legal and Office Management saw the largest increases versus last quarter

Equity - Equity benchmarks are generally within 5% of last quarter’s benchmarks. UX/Frontend Engineering and Manufacturing increased by more than 5%

How do I update my benchmark version?

You can also preview the new benchmarks on your Scorecard by navigating to the Benchmarks page and clicking on the "Preview benchmarks" bubble in the top left.

Here you will have the opportunity to preview the new plan with the updated benchmarks version and assess their impact on your Scorecard before accepting the new plan.

Questions?

If you have any questions about these new benchmarks, please reach out to your Customer Success Manager.

We're introducing GP Carry Tracking to eliminate the complexity and risk of manual carried interest management—creating an entirely new way to automate GP entity accounting and carry administration all in one integrated platform.

What's new?

We've built GP Carry Tracking from the ground up to solve the challenge of managing complex carry allocations and GP entities that are time-consuming, error-prone, and difficult to track across funds.

• Two integrated solutions in one platform: Manage both GP Entities and GP Carry on one platform, with automated data flows between fund-level events and individual GP member allocations.
• Real time carry & capital account balances: Fund events that impact the GP entity flow through automatically, enabling interperiod reporting on carry and capital balances for GP members.
• Complete Carry Visibility: Track vested and unvested carry percentages, capital commitments, and accrued carry amounts all in one view.
• Automated PCAP Generation: Generate and share partner capital account statements directly from Carta, giving GPs full transparency into their carried interest with detailed breakdowns powered by the Carta general ledger.
• Streamlined Carry Administration: Issue multiple carry grants to recipients while standardizing vesting plans across your firm. Auto-generate and execute legal documents through templated workflows that eliminate manual document creation.
• Intelligent Rebalancing: When unissued or unvested carry gets allocated to managing members, our system automatically records and accounts for these changes with downstream transactions rebalancing carry accordingly.
• Self-Service GP Portal: Transform complex legal language into an intuitive interface your partners can explore independently. Access PCAPs, K-1s, and financial reporting without back-and-forth emails or spreadsheet requests.
• Deep Financial Insights: Dive into the numbers for any reporting period with views powered by our general ledger that show exactly where each figure originated, with a complete audit trail included.

Curious for more?

If you have any questions or feedback, reach out to your dedicated Account Director to schedule a call.