CH3 Investors' Relief (IR)

Question 1

When is Investors’ Relief available?

Answer 1

When an individual makes a disposal of qualifying shares in a trading company.

Question 2

What rate will gains be taxed at if eligible for IR?

Answer 2

At 10%.

Gains at 10% are deemed to utilise any unused BRB in priority to other gains.

Question 3

What is the lifetime limit for gains qualifying for IR?

Answer 3

£10 million.

This is a seperate limit than that applying for BADR.

Question 4

What conditions must be met by the individual to qualify for IR?

Answer 4

The individual must:
Not be an employee,
Had held the shares for > 3 years.

Question 5

When must a claim be made for IR?

Answer 5

The 31st of January following the tax year of disposal.