Income Tax Act 2007 section 257PA

Entitlement to claim

Section 257PA sets out the conditions under which an individual investor is entitled to claim social investment (SI) relief in respect of an investment in a social enterprise.

• An investor can claim SI relief only if they hold a compliance certificate from the social enterprise for the amount invested.
• SI relief is disregarded for PAYE purposes unless a proper claim has been made.
• An investor cannot apply to postpone tax payments pending an appeal on the grounds of SI relief entitlement unless a valid claim has already been submitted.
• The compliance certificate acts as the gateway document — without it, no claim for SI relief can proceed.