Revised and expanded Community Shares Handbook posted online

29th Aug 2014

The Community Shares Unit has produced a revised and expanded handbook, to bring it into line with the Co-operatives and Community Benefit Societies Act 2014, as well as including a new chapter on the tax treatment of community share offers.

The 2014 Act is the fourth consolidation overall, and the key development is that any new societies registered on or after 1 August will be referred to as a co-operative society or a community benefit society.  The previous reference to Industrial and Provident Society is no longer utilised.

The revised version also takes into account the new pieces of legislation that were introduced as part of the consolidation, in particular the increase in the limit of the amount of withdrawable share capital that a person other than another society can hold in a society, from £20,000 to £100,000.

Finally, a whole new section has been included which covers the tax implications of co-operatives and community benefit societies undertaking community share offers. It was drafted with support from HMRC, and seeks to alert practitioners to relevant matters on the various forms of tax and tax reliefs, directing readers towards more detailed guidance in HMRC manuals where appropriate. 

The new handbook is available to view and download here.