EIS CGT Deferral Relief Calculator 2025/26

Calculate EIS capital gains tax deferral relief. Defer CGT by investing in Enterprise Investment Scheme shares plus 30% income tax relief. No annual limit on CGT deferral.

EIS CGT Deferral Relief Calculator

Capital gain to defer (£)

Amount invested in EIS shares (£)

Your CGT rate

Expected annual return on deferred tax amount (%)

Years until EIS shares sold (deferral period)

Frequently Asked Questions

What is EIS CGT deferral relief?

EIS CGT deferral relief allows you to defer a capital gains tax liability by reinvesting the gain into shares in an Enterprise Investment Scheme (EIS) qualifying company. The deferred CGT does not become payable until you dispose of the EIS shares (or they cease to qualify). Unlike income tax relief, there is no annual limit on EIS CGT deferral.

Which gains can be deferred?

Any chargeable gain realised in the period from 3 years before the EIS investment to 1 year after qualifies. The gain does not need to be from shares — property, business assets, and other gains all qualify. The amount deferred cannot exceed the amount invested in EIS shares.

How does EIS deferral differ from SEIS?

SEIS provides a 50% CGT exemption on gains reinvested (capped at £200,000 SEIS investment), but only applies to specific gains in the year of SEIS investment. EIS deferral works differently — it defers any gain by reinvesting in EIS (no cap), but does not exempt the gain permanently; the CGT crystallises when EIS shares are sold.

What is the EIS income tax relief rate?

Separately from deferral, EIS provides income tax relief at 30% on up to £1,000,000 invested per tax year (£2,000,000 if investing in Knowledge Intensive Companies). This is a direct reduction in your income tax bill, not just a deferral.

When does the deferred CGT become payable?

The deferred CGT crystallises when you: (1) dispose of the EIS shares (including gifts and transfers, other than between spouses), (2) the company ceases to qualify as EIS, (3) you receive value from the company above permitted limits, or (4) you become non-UK resident while holding EIS shares.

Is EIS CGT deferral available for residential property gains?

Yes — from April 2023, residential property gains (taxed at 18%/24%) can also be deferred via EIS investment. The 60-day NRCGT reporting rule still applies for the initial CGT return; the deferral claim is made separately.

How do I claim EIS CGT deferral?

You receive an EIS3 certificate from the company after HMRC compliance approval. You then claim deferral relief in your Self Assessment tax return. Deferral can be backdated to the prior year if invested within the EIS window.

What happens if the EIS company fails?

If EIS shares become worthless, you can claim EIS loss relief — the loss (net of income tax relief) can be set against income or capital gains. This significantly reduces the downside risk of EIS investment.