It's for outside investors: you can't use it on a company you or your family already own. It's often how small companies and EII funds raise money.
Quick facts
- Hold 4 years
- Relief on up to €250,000 a year
- Hold 7 years
- Up to €500,000 a year
- Timing
- Full relief in the year of investment
- Minimum hold
- 4 years
- Your own company
- Not eligible
What it is
"EII is a tax relief which aims to encourage individuals to provide equity based finance to trading companies." "For shares issued after 8 October 2019, the relief is available in full in the year of the investment."
The limits
The yearly maximum is "€500,000 in respect of the years after 2019, subject to those shares being held for a minimum period of seven years or €250,000 in respect of the years after 2019 where those shares are held for a minimum period of four years only."
"You need to hold those shares for at least four years." "You will qualify if you, or your family, do not own any capital in the company."
Common questions
How much can I invest under EII?
Relief on up to €250,000 a year if you hold the shares for 4 years, or €500,000 a year if you hold them for 7 years.
When do I get EII relief?
For shares issued after 8 October 2019, in full in the year of the investment.
Can I claim EII on my own company?
No. You qualify only if you and your family don't own any capital in the company.