6 February 25

Why tax-free dividends are the ‘secret weapon’ of VCTs

While much of the discussion around venture capital trusts (VCTs) focuses on upfront income tax relief or long-term capital growth, their ability to deliver regular, tax-free income through dividend payments is underappreciated and deserves more attention among advisers and their clients. Traditional dividends are taxed heavily As a reminder, traditional dividend-paying investments are taxed...