PART 1Direct taxes
Income tax: investments
11EIS and SEIS: the no pre-arranged exits requirement
1
ITA 2007 is amended as follows.
2
In section 177 (EIS: the no pre-arranged exits requirement), for subsection (2) substitute—
2
The arrangements referred to in subsection (1)(a) do not include—
a
any arrangements with a view to such an exchange of shares, or shares and securities, as is mentioned in section 247(1), or
b
any arrangements with a view to any shares in the issuing company being exchanged for, or converted into, shares in that company of a different class.
3
In section 257CD (SEIS: the no pre-arranged exits requirement), for subsection (2) substitute—
2
The arrangements referred to in subsection (1)(a) do not include—
a
any arrangements with a view to such an exchange of shares, or shares and securities, as is mentioned in section 257HB(1), or
b
any arrangements with a view to any shares in the issuing company being exchanged for, or converted into, shares in that company of a different class.
4
The amendments made by this section have effect in relation to shares issued on or after 5 December 2016.