215Meaning of “receipts of insignificant value”U.K.
(1)This section applies for the purposes of section 214.
(2)“A receipt of insignificant value” means a receipt of an amount of insignificant value, that is, an amount of value which—
(a)is not more than £1,000, or
(b)if it is more than £1,000, is insignificant in relation to the amount subscribed by the investor for the relevant shares.
This is subject to subsection (3).
(3)If at any time in the period—
(a)beginning 12 months before the issue of the relevant shares, and
(b)ending at the end of the issue date,
repayment arrangements are in existence, no amount of value received by the investor is treated as a receipt of insignificant value.
(4)For this purpose “repayment arrangements” means arrangements which provide for the investor to receive, or to be entitled to receive, any value from the issuing company at any time in period C relating to the relevant shares.
(5)For the purposes of this section—
(a)the references to the investor include references to any person who at any time in period C relating to the relevant shares is an associate of the investor (whether or not that person is such an associate at the material time), and
(b)the reference in subsection (4) to the issuing company includes a reference to a person who at any time in period C relating to the relevant shares is connected with that company (whether or not that person is so connected at the material time).