Social Investment Tax Relief | Big Society Capital
Social Investment Tax Relief
A tax break for trading charities & social enterprises

SITR is the government's tax relief for social investment which encourages individuals to support charities and social enterprises by helping them access new sources of repayable finance.

Individuals receive a 30% tax break when investing into an eligible organisation.

SITR has been introduced to encourage new investment into charities and social enterprises and level the playing field with tax reliefs currently available to more traditional business.

New free resources that provide guidance on different aspects of SITR are now available.  If you are a charity or social enterprise find these here, if you are an advisor find these here.

View our Essential Guide to Social Investment Tax Relief

News Update

The proposed changes to the SITR legislation laid out in the 2016 Autumn Statement have now been made law. HMRC should now be accepting advance assurance applications for the higher limit (up to £1.5 million) for certain eligible organisations. Please review our guide to all of the changes in legislation here.


Here is guidance on the 2017 rule changes:


Are you a charity or social enterprise?

Find useful resources to help you learn more about SITR.

Are you an adviser?

SITR may enable the organisations you work with to raise smaller amounts of investment in a more cost-effective way.

Are you an investor?

Explore how you could use SITR as an investor.

Cabinet Office on SITR

SITR Funds 

A SITR fund is a pool of money obtained from several individual investors under the tax break.

Funds that focus on SITR

Investment Manager: Resonance, partnered with UBS  
Investment Manager: Social Investment Scotland  
Investment Manager: Kin Capital Partners LLP advised by Social Finance  

Example documents

Big Society Capital has supported a legal consultant to develop example SITR documents by working with some of the first charities and social enterprises using SITR. 

The below documents provide examples of documents that have been used in the application process, notably the clearance letter sent to HMRC and the individual transaction documents.

These documents are provided by way of example only and are not precedent documents. As such no reliance should be placed on these documents or the information contained herein. You should be aware that this document or the information contained therein may not be appropriate for your particular circumstances. These documents should only be used in conjunction with independent tax advice.

Social Impact Bond: Example clearance letter and loan note agreement (social impact bond contractor)

Loan: Example clearance letter and loan agreement (charity)

Contact us

Strategy and Market Development Associate
Social Sector Engagement Director
Financial Relationships Director