Quantcast Venture Capital Trusts | Financial Advisers | Downing

Venture Capital Trusts

Investment Week 'Tax-Efficient Group of the Year 2018'.


Venture Capital Trusts (VCTs) are an opportunity for investors to support the growth of small UK businesses while receiving attractive tax reliefs in return. They were introduced by the UK Government in 1995 to encourage individuals to invest in this crucial area of the economy. In the 2013/14 tax year alone, over £435 million was raised by VCTs.

By investing in a VCT, the tax reliefs you can benefit from include:

  • 30% income tax relief – this is on investments up to £200,000 per tax year and shares have to be held for at least 5 years.
  • Tax-free dividends
  • Tax-free capital gains

VCT tax reliefs only apply to people aged 18 years or over who are UK income tax payers, and are only available if the trust maintains VCT status. The relief you get depends on your individual circumstances and the tax rules may change in future. HM Revenue & Customs law and practice can change over time and investors who are unsure about their tax status should get independent advice from a professional adviser.

For more information on VCTs, please read our guide.


Venture Capital Trusts products

Aims to provide attractive returns to...
A generalist VCT with a portfolio of...

Important Notice

Investing in our products will place your capital at risk and you may not get back the full amount invested. Any tax treatment may be subject to change and the availability and value of the reliefs depend on the individual circumstances of each investor. The availability of tax reliefs also depends on the investee companies maintaining their qualifying status.

Further information can be found at HMRC’s website. Neither past performance or forecasts are reliable indicators of future results and should not be relied upon. Unquoted or smaller company shares are likely to have higher price fluctuations and are likely to be more difficult to sell than shares quoted on the London Stock Exchange Official List. Website content is not intended to constitute investment, tax or legal advice. We recommend you seek independent advice before investing in any of our products.

Important Notice

Downing’s investments place your capital at risk and you may not get back the full amount invested. Past performance and forecasts are not a reliable guide to future results. Tax treatment may be subject to change and depends on individual circumstances. Smaller company shares are likely to have higher volatility and liquidity risks than other types of main market listed instruments. We recommend that you seek professional independent financial advice before investing. We do not offer investment or tax advice.

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