SEIS - Seed Enterprise Investment Scheme

[s1962a]

Anyone invested via the Seed Enterprise Investment Scheme as a higher rate taxpayer? I'm wondering what the pitfalls are and whether anyone has used it successfully to offset some tax.

https://www.seedrs.com/academy/seis-tax-relief-the...

[plenty]

As I understand it, there isn't a catch. 50% of your investment can be offset against income tax in the tax year the investment is made. And if the enterprise you invest in fails, you get 25% of your investment back. So your total exposure, assuming you're in a position to claim back the 50%, is only 25%.

[alscar]

s1962a said:

Anyone invested via the Seed Enterprise Investment Scheme as a higher rate taxpayer? I'm wondering what the pitfalls are and whether anyone has used it successfully to offset some tax.

https://www.seedrs.com/academy/seis-tax-relief-the...

I’ve invested many times in EIS and VCT ( both allow relief at 30%) but never Seed as whilst not necessarily awful companies they are certainly much more fledgling and tbh the additional tax relief over the standard EIS relief didn’t to me balance the additional risk.

[anonymous-user]

Yes! But only because it’s local to me and I know about it. Otherwise burn the money so you at least generate some heat!

https://www.seedrs.com/cherans-bakery