EIS & SEIS Tax Relief for Individuals

Investing in early-stage businesses through the Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) offers significant tax benefits while supporting UK startups.

What Are EIS & SEIS?

The Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) are UK government-backed initiatives designed to encourage investment in small and early-stage companies. By investing through these schemes, individuals can claim generous tax reliefs, reduce their capital gains exposure, and benefit from tax-free growth — all while supporting innovation and entrepreneurship across the UK.

At Taxonomy Accountants, we help investors understand the full scope of these schemes, claim the reliefs they are entitled to, and ensure their investments are structured in the most tax-efficient way possible.

EIS Tax Benefits for Individuals

  • 30% Income Tax Relief:Claim up to 30% Income Tax relief on investments up to £1 million per tax year (£2 million if the excess is invested in knowledge-intensive companies).
  • CGT Deferral:Defer Capital Gains Tax on gains reinvested into EIS-qualifying companies, regardless of the original asset type.
  • Tax-Free Growth:Any gains on EIS shares held for at least three years are completely exempt from Capital Gains Tax.
  • Loss Relief:If the investment loses value, you can offset the loss against your Income Tax or Capital Gains Tax liability.
  • IHT Exemption:EIS shares held for at least two years qualify for Business Property Relief, making them exempt from Inheritance Tax.

SEIS Tax Benefits for Individuals

  • 50% Income Tax Relief:Claim up to 50% Income Tax relief on investments up to £200,000 per tax year.
  • CGT Exemption:Gains on SEIS shares held for at least three years are completely free from Capital Gains Tax.
  • 50% CGT Reinvestment Relief:Reinvest capital gains into SEIS-qualifying companies and receive a 50% exemption on those gains.
  • Loss Relief:Offset any losses on SEIS investments against your Income Tax or Capital Gains Tax liability.
  • IHT Exemption:SEIS shares held for at least two years may qualify for Business Property Relief, providing Inheritance Tax exemption.

How We Help with EIS & SEIS Investments

Assess your eligibility and suitability for EIS and SEIS investments
Claim Income Tax relief on your self-assessment tax return
Process CGT deferral and reinvestment relief claims
Advise on loss relief where investments underperform
Ensure compliance with HMRC rules and holding period requirements
Provide ongoing tax planning around your investment portfolio

Why Choose Our EIS & SEIS Tax Services?

  • In-depth knowledge of EIS and SEIS tax legislation and HMRC requirements
  • Personalised advice tailored to your investment goals and tax position
  • Accurate tax relief claims to maximise your financial benefits
  • Proactive planning to ensure you meet holding period and compliance conditions
  • Fixed, transparent pricing with no hidden costs
  • Dedicated support from start to finish

Get in Touch

Contact Taxonomy Accountants today for professional assistance and expert guidance.

+44 7546 588 700Book Free Consultation