so if i am paid £100k for my shares and reinvest £100k as working capital to the business i am still liable to pay £8810 in CGT?
does the fact i have invested £100k and will ultimately receive a lesser shareholding and not repayment of loan not count as a loss?
eg. i sell 50% of company for £100k. reinvest £100k but only receive 25% back in shares and no loan repayment. would that class as a loss? or would i still have CGT liability of £8810?
I had thought that i would get relief or deferral based on EIS reinvestment in the same company? would i not qualify for that?
it just does not seem practical or fair that i would be liable for tax on something that i have not gained .i.e. £100k in and 100k straight out that could well be never repaid and never recovered via the shares purchased
how very true
so( finally), if i were to reinvest the 100k as a loan but it is not repaid, or is defaulted on or i only get `£50k of shares in return for the investment would this then class as a capital loss the next year? so i would ultimately be able to get to a balanced position in that case?