The Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) are UK government schemes designed to help smaller higher-risk trading companies raise finance, by offering a range of tax relief to investors who purchase new shares in those companies.
- You can claim up to 30% income tax relief on investments up to £1 million per tax year.
- Any gain is Capital Gains Tax (CGT) free if the shares are held for at least three years.
- Payment of CGT can be deferred when the gain is invested in shares of an EIS qualifying company.
- If the shares are disposed of at a loss you can elect that the amount of loss be set against any income tax of that year or of the previous year.