[F1257QAValue received: insignificant receiptsU.K.
(1)In this section “insignificant receipt” means a receipt whose amount—
(a)is not more than £1,000, or
(b)is more than £1,000 but is insignificant in relation to the amount invested.
(2)Section 257Q(1) does not apply to an insignificant receipt, subject as follows.
(3)Section 257Q(1) applies to all receipts within the longer applicable period if, at any time on the investment date or in the preceding 12 months, arrangements are in existence providing for the investor to receive, or to be entitled to receive, value from the social enterprise at any time in the longer applicable period.
(4)Once section 257Q(1) has applied to a receipt, it applies also to all other receipts within the longer applicable period except any earlier insignificant receipts.
(5)The amount of the first receipt to which section 257Q(1) applies is treated as increased by the total amount of any earlier insignificant receipts.
(6)In subsection (3)—
(a)the reference to the investor includes any person who at any time in the longer applicable period is an associate of the investor (whether or not an associate at the material time), and
(b)the reference to the social enterprise includes any person who at any time in the longer applicable period is connected with the social enterprise (whether or not connected at the material time).]
Textual Amendments
F1Pt. 5B inserted (17.7.2014) by Finance Act 2014 (c. 26), Sch. 11 para. 1