Part 7Community investment tax relief
Chapter 2Qualifying investments
227Conditions to be met in relation to securities
1
Condition A of this section is that the securities must be—
a
subscribed for wholly in cash, and
b
fully paid for on the investment date.
2
Condition B is that the securities must not carry—
a
any present or future right to be redeemed within the 5 year period, or
b
any present or future right to be converted into or exchanged for a loan which is, or securities, shares or other rights which are, redeemable within that period.
3
For the purposes of subsection (1)(b), securities are not fully paid for if there is any undertaking to pay cash to the CDFI at a future date in connection with the acquisition of the securities.