A new enterprise investment scheme will be launched to encourage support for start-up companies in the UK, chancellor George Osborne has confirmed.
In today’s autumn statement, the chancellor said the seed enterprise investment scheme (SEIS) will begin in April 2012 to ensure that the country’s smallest businesses can access funding.
“We’ve supported enterprise by increasing the generosity on the enterprise investment scheme. Today, we are extending this scheme specifically to help new start-up businesses get the seed investment they need,” Osborne said.
The SEIS will allow anyone investing £100,000 in a new start-up through the scheme will be eligible for income tax relief of 50%, no matter what rate of tax they current pay.
In addition, any tax on capital gains invested through the scheme will be waived for one year. This concession will accompany a freeze on the general capital gains tax threshold for the coming year.
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