Social Enterprise scheme Flashcards
When was social enterprise introduced
6 April 2014
What was social enterprise scheme designed to do
It encourages investors to invest in them as it helps to support enterprises access money that can be used to develop areas in need
What is the tax relief
Same as eis where they get to deduct 30% from income tax
Can be carried back for 1 year
How long does this scheme need to be held for
Min of 3 years
What is the difference between this and eis
The investor can invest in debt in addition to equities whilst you can’t do the same with eis
Debt must be unsecured and rank lower than all other types of debt
What is the max amount that can be invested
1 mill per tax year
Can cgt be deferred
Yes can be done on the year of investment
Gains made in social enterprise shares when disposed of are
Exempt form cgt just like eis
