Individuals who subscribe for new VCT shares can take advantage of a number of tax benefits, including:
Tax relief is only available to UK tax payers, on amounts invested up to a maximum of £200,000 per person, per tax year, and is restricted to the amount which reduces the investor’s income tax liability to nil.
Once shares have been allotted, investors will receive both a share certificate and a tax certificate. The tax certificate will be needed to claim income tax relief. Tax relief can be claimed by entering the VCT investment amount in the “Other tax reliefs” section on your tax return.
Alternatively, if you pay tax under PAYE, and want the relief immediately, you can contact your Tax Office in order to adjust your tax code.
Tax relief on subscriptions for shares in a VCT is restricted where, within six months (before or after) that subscription, the investor had disposed of shares in the same VCT. Existing Shareholders should be aware that the sale of existing Shares in the VCT within these periods could, therefore, put their income tax relief relating to a new Offer at risk.
For further clarification, please see the
HMRC website: https://www.gov.uk/guidance/venture-capital-schemes-tax-relief-for-investors#how-to-claim-relief
Shareholders in ProVen VCT or ProVen Growth & Income VCT, who are enrolled onto the DRIS, are entitled to claim tax relief of 30% on new Ordinary shares issued under the scheme (providing the share issue does not take the amount subscribed for VCT shares during the tax year to over £200,000).
Please note: This does not constitute personal tax advice. Please contact your financial, or tax, adviser if you have any questions about your personal tax circumstances. Beringea is not authorised to give personal tax advice.
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The ProVen VCTs are managed by Beringea LLP, a specialist private equity fund manager based in the UK which is authorised and regulated by the Financial Conduct Authority (FCA). Beringea LLP's FCA Firm Reference Number is 496358.
The market price of VCT shares may not reflect the full underlying net asset value ("NAV") of shares and shareholders may have dificulty in selling their shares and any sale is likely to be at a discount to the NAV.
The value of shares in a VCT and the income from them may fluctuate and investors may not get back the amount they invested. The market price of VCT shares is unlikely fully to reflect their underlying net asset value. It is possible that there may not be a liquid market in the shares of VCTs and shareholders may have difficulty in selling their shares. Any sale is likely to be at a discount to net asset value.
VCTs invest in a portfolio of small companies, which by their nature carry greater risk than larger, quoted companies.
To comply with the requirements of applicable data protection legislation, we adhere to comprehensive privacy policy which is summarised in the ProVen VCTs Privacy Notice.
A copy of the ProVen VCTs Privacy Notice and other legal information can be found in the Legal and Privacy section of this website.
The ProVen VCTs have been informed that a small number of shareholders have recently received unsolicited phone calls from an international number, where the caller has sought to discuss shareholdings in the ProVen VCTs in connection with a possible takeover bid or acquisition.
These calls are not genuine, and shareholders should not engage with any unsolicited communication over the telephone or email. If you do receive a suspect call, we strongly suggest that you hang up as soon as possible, and contact Teodora Petkova from our investor relations team by email at info@beringea.co.uk or by telephone on 020 7845 7826.
For more information on how to spot share scams and how to avoid them, please visit the FCA website or read the FCA Be Scam Smart leaflet.