ACCA Taxation F6 Practice Exam 2026 – Complete Study Resource

Investors' relief is a tax relief aimed at encouraging investment in unlisted trading companies in the UK. A key aspect of this relief is that it is available without a minimum shareholding requirement. This means that individuals can benefit from the relief even if they invest a small amount and hold only a tiny percentage of shares, as long as the other conditions are met, such as the investment being into an eligible company and held for a certain period.

This aspect of investors' relief allows for broader participation in investment opportunities without the need for a substantial initial stake. By removing a minimum shareholding requirement, the tax relief is more accessible to a wider range of investors, encouraging investment in smaller businesses that might not be publicly listed.

In contrast, other options suggesting various minimum shareholding percentages are incorrect because they imply that a threshold exists when, in fact, the absence of any minimum requirement is what characterizes investors' relief.