Corporation Tax Act 2010 section 237

Securities or shares: no claim after disposal or excessive receipts of value

Section 237 sets out two conditions that must be met before a community investment tax relief (CITR) claim can be made for any accounting period where the investment consists of securities or shares.

• The investor must have held the securities or shares continuously as sole beneficial owner from the date of investment until the day before the qualifying date for the accounting period in question.
• The qualifying date for an accounting period is the next anniversary of the investment date that falls after the end of that accounting period.
• No claim can be made if, before the qualifying date, the investor has received (or is treated as having received) value from the community development finance institution (CDFI) in excess of the permitted limits over the six-year period.
• Both the continuous ownership condition and the excessive receipts of value condition must be satisfied; failure of either will prevent a valid claim for that accounting period.