VCT, EIS & SEIS compared

An at-a-glance comparison of tax efficient schemes.

At Pitt Godden & Taylor we can advise individuals in the Gloucester area on a range of tax-saving opportunities. The following article compares Venture Capital Trusts, the Enterprise Investment Scheme and Seed Enterprise Investment Scheme.

The reliefs for Venture Capital Trusts (VCT), the Enterprise Investment Scheme (EIS) and Seed Enterprise Investment Scheme (SEIS) are similar in many respects, but there are some significant differences. The table below highlights the main reliefs. For further details see the factsheets for each type of investment.

  VCT EIS SEIS
Annual investment limit £200,000 £1 million * £200,000
Income tax relief for subscribers 30% 30% 50%
Clawback if held for less than 5 years 3 years 3 years
Reinvestment relief period
– before gain made N/A 1 year Same tax year
– after gain made N/A 3 years  
Tax free dividends? Yes No No
Tax free capital gains? Yes Yes (after 3 years) Yes (after 3 years)
Tax relief for losses? No Yes Yes
IHT business property relief? No Yes Yes

* This is increased to £2 million provided that anything above £1 million is invested in knowledge-intensive companies. There is no limit on CGT deferral for EIS.

For more information on Venture Capital Trusts, the Enterprise Investment Scheme and Seed Enterprise Investment Scheme, individuals in the Gloucester area should contact Pitt Godden & Taylor.


Hot topics, business news & firm news

Keep up with the latest business news, as well as what's happening at our firm.

Hot Topic

Will the late payment crackdown ease pain?

27 Aug 2025

A review of the problem of late payments and the government's response.

Read more »
Latest Business News

'More must be done' to reform Lifetime ISAs

12 Sep 2025

The Treasury Committee has stated that the government has 'not heeded warnings' that the Lifetime ISA requires reform.

Read more »
Our latest news

Charity of the year

14 Feb 2025

We’re pleased to share that our chosen charity for 2025 is The Pied Piper Appeal, an organisation dedicated to supporting children in Gloucestershire facing serious illnesses or medical conditions.

Read more »