Submission to the HMT consultation on the tax treatment of carried interest

The BIA has responded to the HM Treasury’s consultation on the tax treatment of carried interest. For further details about the consultation, please visit the consultation page on gov.uk.

The BIA understands and supports the principle of fairness in the tax system. Yet, there is a risk that changes to the tax treatment of carried interest could lead to a reduction in domestic venture capital activity. Our submission therefore urges caution and careful consideration of the impacts on life sciences as the government determines how to move forward with the taxation of capital gains.