HMRC have now made available an advance assurance form to be used by companies seeking assurance, in advance of a share issue, that it will meet the qualifying conditions under the schemes.

The form contains details of suggested supporting documentation to help HMRC reach their decision. Before giving an assurance, the HMRC officer considering the application will need to be satisfied that:

• the company can be expected to be a qualifying company;
• the shares to be issued will be eligible shares;
• the shares will be issued to raise money for a qualifying business activity; and
• the money raised is to be employed only by companies which satisfy the rules of the Scheme.

The advance assurance procedure does not cover the issue of relief to any particular subscriber. However, individuals considering investing can contact the Small Company Enterprise Centre for advice on whether or not they would be eligible for EIS or SEIS reliefs on their subscriptions.

The form and its related guidance are available at http://www.hmrc.gov.uk/forms/eis-seis-aa.pdf