CGT Freedom

There is no CGT payable on gains in respect of Investments made in an EIS Company (on which EIS Relief has been obtained and not withdrawn) where the Investments have been held for at least three years from the date of subscriptions, or from the date of commencement of the EIS Company's trade, if later.

Example

Initial Investment £  50,000
Less Income Tax Relief  @ 20%   (10,000)
Net cost £  40,000
Realised Value of investment after 3 years     80,000
Tax free profit being gain of £30,000 and income tax relief of £10,000 £  40,000