Section 161 — Income Tax Act 2007: Other tax reliefs relating to EIS

Other tax reliefs relating to EIS 161 1 Chapter 6 of Part 4 (losses on disposal of shares) provides for relief against the income of an individual who incurs an allowable loss for capital gains tax purposes on a disposal of shares to which EIS relief is attributable.

2 Subsection (3) of section 392 (loan to buy interest in close company) provides that subsection (2)(a) of that section does not apply if at any time—

a the individual by whom the shares are acquired, or b that individual's spouse or civil partner, makes a claim for EIS relief in respect of the shares.

3 Section 150A of TCGA 1992 makes provision about gains or losses on the disposal of shares to which EIS relief is attributable.

4 Schedule 5B to TCGA 1992 provides relief in respect of the re-investment under EIS of the proceeds of assets disposed of in circumstances where there would otherwise be a chargeable gain. 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .