EIS company paying out new funds as salary
The question is pretty much in the tittle.
I thought initially this would be a problem. New co. recently received £90,000 in exchange for some EIS shares which we have EIS certificates for.
It then uses about £20,000 of this to pay out various salaries (including to directors). We have satisfied ourselves that the salary is commensurate with time input and for the benefit of the trade.
I can't see in the HMRC manuals or leg that there is a problem with any claw-back or am I missing something?