Taxes Consolidation Act 1997 section 600J

Qualifying investment (investor perspective)

Section 600J defines what constitutes a qualifying investment from the perspective of the investor for the purposes of angel investor relief.

• The investor must subscribe for eligible shares in a qualifying company and hold them for at least three years from the date of investment.
• The minimum investment is €20,000, reduced to €10,000 where the investor acquires at least a 5 per cent shareholding with corresponding entitlements to profits, voting rights and assets, and no arrangements exist to dilute that 5 per cent holding.
• Throughout the three-year holding period, the investor's total shareholding in the qualifying company or any member of its relief group must not exceed 49 per cent of ordinary share capital, profits, voting rights or distributable assets.
• The investor must retain a copy of the qualifying company's certificates of qualification that were valid on the date of investment.