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Legislation
Income Tax Act 2007

Chapter 3 Qualifying investments

  • Section 344 Qualifying investments: introduction
  • Section 345 Conditions to be met in relation to loans
  • Section 346 Conditions to be met in relation to securities
  • Section 347 Conditions to be met in relation to shares
  • Section 348 Tax relief certificates
  • Section 349 No pre-arranged protection against risks
  1. Chapter 3 · Qualifying investments
  2. Conditions to be met in relation to shares

Section 347 | Conditions to be met in relation to shares

From legislation.gov.uk

(1)Condition A of this section is that the shares must be—

(a)subscribed for wholly in cash, and

(b)fully paid up on the investment date.

(2)Condition B is that the shares must not carry—

(a)any present or future right to be redeemed during the 5 year period, or

(b)any present or future right to be converted into or exchanged for a loan which is, or securities, shares or other rights which are, redeemable within that period.

(3)Shares are not fully paid up for the purposes of subsection (1)(b) if there is any undertaking to pay cash to the CDFI at a future date in connection with the acquisition of the shares.

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