From tomorrow, 6 April 2023, it is proposed that the companies will be able to raise up to £250,000 of SEIS investment (an increase from the current limit of £150,000).
Currently a company raising SEIS funds must have gross assets of no more than £200,000. From 6 April 2023, it is proposed that the gross asset limit will be increased to £350,000.
The business being funded by SEIS investment must currently be less than 2 years old. It is proposed to increase this to 3 years for share issues on or after 6 April 2023.
And finally, it is proposed that the annual investor limit will be increased to £200,000 from £100,000.
It should be noted that under current and proposed legislation, if a company has already received EIS or VCT funding, it cannot receive any further SEIS investment, even if it is with the revised age and gross assets limits for SEIS.
Please also note, that whilst it is expected that these increases will be enacted and effective for share issues on or after 6 April 2023, HMRC will not be able to provide advance assurance or approve SEIS1 submissions for the increased limits until the Finance Bill is substantially enacted and receives Royal Assent. This usually takes place in July.
You can also view our updated EISA guides to the SEIS and EIS here: