• We are pleased to announce that the winner of our Feedback Prize Draw for the Winter 2024-25 session and winning £150 of gift vouchers is Zhao Liang Tay. Congratulations to Zhao Liang. If you fancy winning £150 worth of gift vouchers (from a major UK store) for the Summer 2025 exam sitting for just a few minutes of your time throughout the session, please see our website at https://www.acted.co.uk/further-info.html?pat=feedback#feedback-prize for more information on how you can make sure your name is included in the draw at the end of the session.
  • Please be advised that the SP1, SP5 and SP7 X1 deadline is the 14th July and not the 17th June as first stated. Please accept out apologies for any confusion caused.

Private Equity Tax

C

cjno1

Member
In the core reading it says, about Private Equity:

"There are unlikely to be tax cashflows or debt cashflows as the fund will typically be in a zero tax environment"

Why is this? I thought you only paid zero tax if you didn't make any income or capital gains.
 
Tax and P Eq

Hi
The funds that invest in Private equity benefit from special tax regimes. And the investors who invest in those funds often benefit from tax benefits like the "enterprise initiative scheme" which exempts a lot of investors from any tax on private equity investment. I think it was introduced to help fund new companies. But as a result tax is not a big issue.
 
Back
Top