Flashcards in EIS, VCT, SEIS Deck (7)
What is the maximum tax relief, plus the maximum investment into a EIS?
30% tax relief up to £1m. Can also carry back one year so you can invest £2m if not invested in previous tax year
How long do you have to hold EIS shares for there to be no CGT?
What is different with an eis compared to a VCT/SEIS
You can use the gain from another investment and put it in an EIS to defer the gain. This is useful if you are a higher rate tax payer and know you will be a basic rate tax payer in the future
What income tax do you receive on an SEIS and how much can you put in
50% income tax relief up to £100k you can also carry back for one year if allowance not used so £200k in total
Explain the SEIS CGT reliefs
No CGT payable if held for 3 years
50% capital gains reinvestment relief
You could reduce the CGT on gains made elsewhere by up to 50%. To benefit, you must have had the income tax relief in the same year.
How long do you have to hold VCTs for to avoid CGT
No minimum holding period