Where we are on SEIS.
There's a fundamental question about whether we can yet file our SEIS1 to get you guys your tax relief.
HMRC in some places state that we must have spent 70% of the money or have been trading 4 months.
In other places, namely the SEIS1 form and the guidance for that, only the 70% spend is mentioned, and we still haven't spent that much and would not yet be eligible for relief.
On the 4 months trading thing, the definition of this is vague and the accountants believe it means from the moment we launched the prototype and/or have taken in any revenue. Not the moment the company was founded or work began on the product.
If that is the case, then we still haven't met that requirement either.
The accountant has a tax expert assigned to basically resolve this, and to tell us whether the definition of trading allows us to file the SEIS1 soon, or whether we actually have to wait another couple of months to have triggered the 70% spend or the 4 months trading.
Filing this form incorrectly (a false statement) carries a penalty of £3k, hence our hesitation to file if we are not confident the statements we are making are accurate... which comes down to the definition of the word trading.
This is incredibly dull stuff, but it is still being worked on.
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