Corporation Tax Act 2010 section 233

Investor must not be accredited

Section 233 prevents a community development finance institution (CDFI) from claiming community investment tax relief (CITR) on an investment it makes in another CDFI.

• The investor must not itself be an accredited CDFI on the date the investment is made.
• Accreditation refers to recognition as a CDFI under Chapter 2 of Part 7 of the Income Tax Act 2007.
• This rule stops one CDFI from benefiting from tax relief when investing in a fellow CDFI.
• The check applies specifically at the investment date — later accreditation is not relevant to this condition.