Income Tax Act 2007 section 292B

The spending of money raised by SEIS investment requirement

Section 292B formerly required that money raised through SEIS (Seed Enterprise Investment Scheme) investment be spent in a qualifying manner, but has since been removed from the legislation.

• Section 292B was introduced by Finance Act 2012 as part of the SEIS qualifying holdings rules.
• The section imposed requirements on how companies spent money raised through SEIS investment.
• The provision was removed by Finance (No. 2) Act 2015, effective for shares or securities issued on or after 6 April 2015.
• From that date, this spending requirement no longer applies when determining whether shares or securities form part of a company's qualifying holdings.

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