The company was set up in May 2017 for ‘exploiting intellectual property rights’ in a pre-school cartoon called Coconut Bay.

This appeal followed the First Tier Tribunal (FTT) decision in favour of HMRC’s view that the compliance certificates for the SEIS under section 257EC of the Income Tax Act 2007 in respect of shares issued by Coconut Animated Island between 19 March 2018 and 5 April 2018 were not eligible for tax relief. The maximum claim for SEIS is £150,000.

On 6 September 2017, the company contacted HMRC to ensure the shares would qualify for investment under the SEIS.