VCM14150 | Venture Capital Schemes Manual: the Enterprise Investment Scheme: income tax relief: investor claims: shares treated as acquired in preceding year

Where the investor wishes to treat some of the shares as issued in the proceeding tax year (see VCM14150 ), it will be necessary to make two separate claims.

Example

Mr Illingworth subscribes £50,000 for 50,000 shares which are issued to him on 30 September 2017. He receives form EIS3 on 31 October 2017. He wants 20,000 shares to be treated as issued in the previous year.

His claim to relief on £30,000 for 2017-18 will be made after the end of the year on his tax return. In the meantime he completes the claim section of form EIS3 to show a claim to relief on £20,000 for 2016-17, thus amending his tax return for that year. At the same time he uses the same means to obtain a coding adjustment for 2017-18.