Fri, Feb 12, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

EIS and VCT schemes sabotaged by EC negotiations accountancy firm claims

Thursday, March 22, 2012

Beverly Chandler, Opalesque London: Chilton Taylor, head of capital markets at accountancy firm Baker Tilly believes that any company which has received assurance that it qualifies for investment under the EIS or by VCTs which was given prior to 5 April 2012 should check that assurance still applies if investment is made after this date.

"As mentioned in the last budget the EIS annual investment limit will be increased from 6 April 2011 to £1 million ($1,583,927) per individual. The size limits on a qualifying company are raised to those with fewer than 250 employees and gross assets £15 million ($23,758,913) pre-investment with £16 million ($25,342,841) post investment, which has been subject to EU state-aid approval" Taylor says.

"But, in order to make the above palatable to the EU because this legislation falls within EIS State Aid provisions, the annual investment limit for a qualifying company will now be £5 million ($7,919,637) not the £10 million ($15,839,275) as said by the chancellor this time last year. More worryingly, we are told by HMRC that this £5 million ($7,919,637) annual limit additionally applies to funds deemed to have been raised by VCTs prior to 5 April 2007 which were previously 'protected’ from any annual investment limit and a beneficial source of funds to many growing companies". Further, the annual investment limit is also to be restricted by any other state aid risk capital obtained by a company such as stakes in the company by regional......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Credit Suisse cherry picks hedge fund ideas[more]

    From FT.com: Credit Suisse Asset Management plans to cherry pick profitable concepts from hedge funds with the launch in Europe of a “best ideas” strategy. The investment arm of the Swiss bank said the strategy will separate it from other funds blighted by “overcrowding problems”. It comes at a time

  2. Investing - Hedge funds bet on risks in U.S. blue-chip debt, Hedge funds bets against bank credit risk paying off, Tiger Global still likes Internet names, gets pointers from Jeter[more]

    Hedge funds bet on risks in U.S. blue-chip debt From WSJ.com: Hedge funds are betting the next bond sector to crack will be the $4.5 trillion market for the safest U.S. corporate debt. New York’s Perry Capital has placed a $1 billion wager against investment-grade bonds issued by 10 comp

  3. Short Selling - Hedge fund manager Kyle Bass is shorting real estate—again, Top US hedge fund has €80m short position in Paddy Power Betfair[more]

    Hedge fund manager Kyle Bass is shorting real estate—again From Fortune.com: He also predicted the mortgage crisis in 2008. Hedge fund manager Kyle Bass, who runs Dallas-based Hayman Capital, tanked the stock of a little-known real estate financier Friday by revealing that he is shorting

  4. Investing - Real estate secondaries sole 'bright spot' in 2015, As hedge funds stumble, one firm prepares to buy illiquid stakes[more]

    Real estate secondaries sole 'bright spot' in 2015 From IPE.com: The secondary market for property was the sole “bright spot” over the course of 2015, as hedge fund secondaries saw deals fall by two-thirds, according to a wide-ranging survey of the market. Setter Capital said 2015 saw th

  5. Asia - Hedge fund manager Kyle Bass estimates China's foreign reserves below critical level[more]

    From Nasdaq.com: Investor Kyle Bass stepped up his attack on China's currency, arguing in an investor letter distributed Wednesday that the second-largest economy's foreign reserves are "already below a critical level." The comments mark the latest effort by hedge funds and other investors to raise