Part 7 Community investment tax relief

Chapter 2 Qualifying investments

228 Conditions to be met in relation to shares
(1) Condition A of this section is that the shares must be—
(a) subscribed for wholly in cash, and
(b) fully paid up on the investment date.
(2) Condition B is that the shares must not carry—
(a) any present or future right to be redeemed during the 5 year period, or
(b) any present or future right to be converted into or exchanged for a loan which is, or securities, shares or other rights which are, redeemable within that period.
(3) For the purposes of subsection (1)(b) shares are not fully paid up if there is any undertaking to pay cash to the CDFI at a future date in connection with the acquisition of the shares.