- Original Poster
- #1
We read a lot about tax planning in anticipation of making a profit but I wonder if anyone had any thoughts on tax planning to deal with scenarios where there is a good chance of a loss occurring?
For example, investing in a company where EIS might apply (which is not in the same trade as the investor's) is it better made as an individual or for that individual's company to make the investment?
The risk profile would be a 4 out of 5 chance of losing all the investment and a 1 in 5 chance of making 10 times ones investment. It's unlikely that the investment would return any dividend income so it's just a capital gain (if it succeeds)
For example, investing in a company where EIS might apply (which is not in the same trade as the investor's) is it better made as an individual or for that individual's company to make the investment?
The risk profile would be a 4 out of 5 chance of losing all the investment and a 1 in 5 chance of making 10 times ones investment. It's unlikely that the investment would return any dividend income so it's just a capital gain (if it succeeds)