VCM60400 - VCT scheme: general: maintaining approval: where full approval given
ITA/S274(2)
Where a company has full approval, or where provisional approval has become full (see VCM60120 and VCM60370), it must ensure that in relation to each accounting period:
| The nature of income condition | its income in that accounting period was derived wholly or mainly from shares or securities (see VCM60130); |
| The 70% qualifying holdings condition | at least 70% by value of its investments were in qualifying holdings of shares or securities throughout that accounting period (see VCM60135 onwards); |
| The 30% eligible shares condition | at least 30% by value of its qualifying holdings were in holdings of eligible shares throughout that accounting period (see VCM60140); |
| The 15% holding limit condition | no holding in any company represented more than 15% by value of the VCT’s investments at any time during that accounting period (see VCM60160); |
| The listing condition | its ordinary share capital was included in the official UK list throughout that accounting period; and |
| The income retention condition | it did not retain more than 15% of its income derived in that accounting period from shares and securities (- see VCM60170). |
However, if further ordinary shares are issued
VCM60180 will apply.
Where any of these conditions are not met, approval may be
withdrawn (ITA/S281).
