Taxes Consolidation Act 1997 section 507

The relief (Chapter 5)

Section 507 sets out the relief available to a specified individual who makes a relevant investment in a qualifying company whose activities constitute a qualifying new venture, including the percentage of the investment qualifying for relief, the annual investment limit, and the option to backdate the relief to earlier tax years.

• A specified individual who invests in a qualifying new venture is entitled to relief as a deduction from total income, with the percentage of the investment qualifying for relief depending on the type and stage of the investment: 125% for an initial investment in a group not yet operating in any market, 87.5% for an initial or follow-on investment within the 7- or 10-year eligibility periods, and 50% for an expansion investment or a follow-on investment beyond those periods.
• The relief may not exceed the maximum tax relief thresholds provided for in paragraph 5 of Article 21a of the General Block Exemption Regulation, and the maximum relevant investment on which relief can be claimed in any one year of assessment is €140,000.
• A claimant may elect in writing to have the relief given as a deduction from income of any one of the six tax years immediately preceding the year in which the shares were issued, and where a second relevant investment is made in the same company within the following two tax years, a similar election may be made in respect of that second investment; no more than two relevant investments may benefit from this treatment.
• Where a specified individual claims SURE relief under this section, no relief may be claimed under section 502 (the Employment and Investment Incentive) in respect of the same qualifying company.