Enterprise Investment Scheme (EIS) Tax Relief Calculator 2026

Calculate your EIS income tax relief. 30% tax relief on investments up to £1M per year (£2M for knowledge-intensive companies). CGT deferral included.

EIS Tax Relief Calculator

EIS benefits: 30% income tax relief • CGT deferral • Tax-free growth after 3 years • Loss relief if company fails • IHT exemption after 2 years
Max £1M per tax year (£2M for knowledge-intensive companies)
Gains from any asset can be deferred via EIS reinvestment

Frequently Asked Questions

What is the EIS income tax relief?

Under the Enterprise Investment Scheme, you can claim 30% income tax relief on investments up to £1M per tax year (£2M for knowledge-intensive companies). The relief reduces your income tax bill directly.

When can I claim EIS relief?

Once the company has been trading for 4 months and HMRC issues EIS3 certificates. You can claim in the same tax year or carry back to the previous year.

How long must I hold EIS shares?

At least 3 years from the date of investment or the date the company starts trading (whichever is later). Selling before 3 years triggers clawback of the relief.

What is EIS CGT deferral relief?

You can defer a capital gain from the sale of ANY asset (not just shares) by reinvesting the gain in EIS shares. The deferred gain becomes payable when the EIS shares are sold or the deferral ends.

What is EIS loss relief?

If the EIS company fails and shares become worthless, you can claim loss relief. The loss (net of income tax relief received) can be set against income or capital gains at your marginal rate.

Does EIS qualify for IHT Business Relief?

Yes — EIS shares that have been held for 2 or more years typically qualify for 100% Business Property Relief (BPR), making them exempt from inheritance tax.

What are knowledge-intensive companies?

Companies that spend a minimum proportion of their operating costs on R&D and innovation, or employ a minimum proportion of skilled employees in R&D. KICs can raise up to £20M under EIS with higher investor limits.

Can you use EIS in a pension?

No. EIS investments cannot be held inside a SIPP or other pension wrapper. The tax reliefs are claimed personally against your income tax.

Is EIS income tax relief capped?

It's capped at the amount of income tax you actually owe. If your tax bill is less than the 30% relief, you can only reclaim up to your actual liability.

Can basic rate taxpayers invest in EIS?

Yes. Basic rate taxpayers receive 30% relief (not their marginal 20% rate), but with less benefit from loss relief and CGT deferral than higher-rate taxpayers.

What is the difference between EIS and SEIS?

SEIS (Seed EIS) targets very early-stage companies with 50% income tax relief on up to £200,000. EIS targets slightly later-stage companies with 30% relief on up to £1M.

Are EIS investments risky?

Yes — EIS companies are typically small, unquoted businesses with a high failure rate. The tax reliefs partially offset the risk of loss, but you could lose your entire investment.