Government has now received State aid approval from the EC to make changes to the EIS and VCT scheme
BBAA is pleased to learn that the UK Government has now received State aid approval from the European Commission to make the following changes to the Enterprise Investment Scheme (EIS) and Venture Capital Trust (VCT) scheme:
- Increasing the employee limit from fewer than 50 employees to fewer than 250 employees at the time of investment
- Increasing the gross assets limits from no more than £7m to no more than £15m immediately before the relevant investment, and from no more than £8m to no more than £16m immediately after investment
- Increasing from £2m to £5m the amount which any company may receive in the twelve month period ending with the date the relevant investment is made.
These changes will take effect in respect of investments made on or after 6 April 2012, subject to the relevant legislation receiving Royal Assent and to the making of a Treasury appointed day order shortly after Royal Assent.
HMRC will publish an update to this effect on its website, http://www.hmrc.gov.uk/