SCHEDULES

SCHEDULE 6Venture capital trusts

Qualifying holdings

6

1

Section 286 (qualifying holdings: introduction) is amended as follows.

2

In subsection (2), omit the “and” at the end of paragraph (a) and after paragraph (b) insert

, and

c

those shares or securities were first issued by the relevant company in order to raise money for the purposes of promoting growth and development of—

i

if the relevant company is a single company, the business of that company, and

ii

if it is a parent company, what would be the business of the group if the activities of the group companies taken together were regarded as one business.

3

In subsection (3)—

a

in paragraph (ea), for “capital schemes” substitute “ finance investments ”,

b

after that paragraph insert—

eaa

the maximum risk finance investments when the relevant holding is issued (see section 292AA),

eab

the maximum risk finance investments during the 5-year post-investment period (see section 292AB),

c

omit paragraph (eb),

d

after paragraph (g) insert—

ga

the permitted company age requirement (see section 294A),

e

after paragraph (ja) insert—

jb

the proportion of skilled employees (see section 297B),