John Davies: Will Covid-19 create a dividend dilemma for VCTs?

John Davies: "Investors will have a keen eye on this year's open offers and the objectives behind their fundraising."

John Davies: "Investors will have a keen eye on this year's open offers and the objectives behind their fundraising."

No part of the economy has been left untouched by the coronavirus pandemic and VCT dividend payments are not immune, writes John Davies. However, he believes tax-advantaged capital has a role to play in the economic bounceback

Tax-free dividends have been a long-standing and fundamental attraction for VCT investors and generally have been well rewarded in recent years. However, with the economy in the grip of coronavirus...

To continue reading this article...

Join Professional Adviser


  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Members-only access to the editor’s weekly Friday commentary
 Be the first to hear about our events and awards programmes.



Already a Professional Adviser member?


More on Tax Planning

Andrew Aldridge: "Venture capital investing is of course to be considered as high risk, but if introduced to well-diversified portfolios then it can be effective without overstretching the total portfolio's risk level."

Andrew Aldridge: How advisers can use venture capital to target long-term above inflation

EIS opportunities

Andrew Aldridge
clock 08 August 2022 • 3 min read
Richard Burgess: "Gifts made for tax-saving purposes are unlikely to be considered in the donor's best interest and consequently should not be made without the permission of the court."

Richard Burgess: Attorneys should always look 'gift horses in the mouth'

LPAs and gifting explained

Richard Burgess
clock 04 August 2022 • 4 min read
In the 2020 /2021 tax year, 45% of CGT came from those who made gains of £5 million or more, HRMC said

CGT receipts for 2020/21 reach record £14.3bn - HRMC data

Up 42% from previous year

clock 04 August 2022 • 4 min read