Income Tax Act 2007 section 257MNA

Maximum amount where investment made in first 7 years

Section 257MNA caps the total relevant investments a social enterprise can receive at £1.5 million where the investment falls within, or has a connection to, the first seven years following the enterprise's first commercial sale.

• The section applies where the investment is made within seven years of the social enterprise's first commercial sale, or where it is made after that period but follows on from an earlier qualifying investment used for the same activity.
• The cumulative total of all relevant investments made in the social enterprise up to and including the date of the current investment must not exceed £1.5 million.
• For accredited social impact contractors, the seven-year period runs from the date the enterprise first entered into a social impact contract, rather than from its first commercial sale.
• Where this section does not apply — for example, because no investment was made within the initial seven-year window — separate rules on maximum amounts apply under section 257MNC.