Client has invested £20,000 for a 24% share in a qualifying trading company. However, his brother is a director, although not a shareholder of the trading company, the other director (who is not connected with the brothers) owns the other 76%. Is the income tax and capital gains exemption available?
Gary
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Available
Both reliefs should be available if the individual has subscribed for the shares, and is not connected in any way to the company and has no influence over any further stake.
You'll be glad to hear that a brother isn't an associate. See http://www.hmrc.gov.uk/manuals/vcmmanual/VCM25200.htm
NeilW