Q&A: enterprise investment scheme (EIS) deferral relief

In this week’s Q&A, Croner Taxwise apprentice tax advisor Ria Dillon considers whether gains from business asset disposal relief (BADR) can be invested in an enterprise investment scheme (EIS) tax free

Q. My client has disposed of a business asset qualifying for business asset disposal relief (BADR) and has realised a gain. They would like to reinvest the proceeds into shares in an enterprise investment scheme (EIS) company. Their plan is to hold the shares for five years before disposing of the entire holding. Is there a way for them to roll over or defer the gain without losing the benefit of business asset disposal relief?

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