CT600G Corporate Venturing Scheme

CT600G Tax Return Form for Corporate Venturing Scheme

CT600G Corporate Venturing Scheme section needs to be completed if for shares issued on or after 1 April 2000 but before 1 April 2010 the company is claiming under the CVS:

• Investment Relief on the amount subscribed for shares
• Relief against income for losses on certain disposals of shares, whether effect is to be given to the claim in this period or an earlier period
• Postponement of certain chargeable gains where the gains are reinvested in shares under the CVS.

Investment Relief

A company must not claim the relief on any investment unless it has received a compliance certificate on form CVS 3. Company may be asked to produce the certificate relating to that investment. Investment Relief takes the form of a reduction in the investing company's Corporation Tax liability for the accounting period in which the shares were issued. Except as mentioned below, the amount of that reduction is 20% of the amount of any subscription(excluding any associated costs) or, if that would exceed the Corporation Tax liability, such an amount as will reduce that liability to nil. The amount subscribed will be shown on form CVS 3. Where the investing company (or any person connected with it) has received value from the issuing company (or from any person connected with that company) so that Paragraph 47 Schedule 15 FA 2000 applies, the amount of relief is reduced.

Loss Relief

A claim to set an allowable loss on a share disposal against income may be made under the CVS only if:

• Investment Relief was attributable to the shares disposed of at the time of the disposal
• The Investment Relief is not withdrawn in full as a result of the disposal
• The shares were held continuously from the date the shares were issued until disposal

Deferral Relief

A claim may be made to postpone if either:

• A chargeable gain accruing on a disposal of shares to which Investment Relief was attributable immediately before the disposal, provided that the shares were held continuously from the date they were issued until the disposal, or
• A chargeable gain previously postponed under the CVS in respect of an investment in shares which is revived because of a 'chargeable event' (that is a disposal or an event other than a disposal which causes any Investment Relief attributable to the shares to be reduced or withdrawn).

HMRC have provided following Company tax return guide to form CT600 (2024) Version 3 for accounting periods starting on or after 1 April 2015 to assist Companies complete the Corporation tax returns. Further information can also be found on GOV.UK website.