If you are a UK taxpayer, you may be able to reclaim a significant proportion of the sum you invest from HMRC, subject to HMRC rules on eligibility. The actual amount of tax relief you can claim will depend on your personal tax circumstances.

We have applied for "advance assurance" from HMRC that the shares in LWCE are eligible for tax relief under the Seed Enterprise Investment Scheme (SEIS). This is a government backed schemes designed to encourage investment in smaller enterprises.

Under the SEIS your investment may attract a one off tax relief at 50% of the sum you invested if your shares are within the first £150,000 of shares issued. LWCE has issued its first share offer for £142,000 so, provided you are a UK taxpayer, you should be able to recover up to 50% of any investment from HMRC in the year after LWCE starts trading.

Please see the attached link to the government's SEIS
www.gov.uk/seed-enterprise-investment-scheme-background

In the unlikely event that when someone eventually withdraws their shares they are worth less than they paid for them this loss can be set (minus the initial 50% tax relief) against income for tax purposes in that year or the previous year.

Please note:
The rules for SEIS tax relief require the investment to be held for at least 3 years from the start of trading (not the date of the investment).

The actual amount of tax relief you can claim will depend on your personal tax circumstances. For example, if you invested £1,000 you can claim £500 tax relief only if your tax bill for the year is equal to or greater than that amount.