Investments In The Eclipse 35 Film Scheme
Many investors who put money into the Eclipse 35 film scheme are regretting their decision to do so. Are you one of them?
Eclipse 35 built an impressive capital stake with money from about 750 investors. The investor pool included several celebrities, including club managers and footballers. Although the film scheme raised a staggering sum – £2.2 billion – its ending is leaning hard towards tragedy. Eclipse 35 has been unmasked as a tax avoidance scheme. Some of the scheme’s investors have been forced to repay huge sums, far more than they originally invested.
Some of Eclipse 35’s investors may be able to help themselves. Evidence suggests that in some cases, Eclipse 35 investments were mis-sold by financial advisers.
On Film Partnership Schemes
The government introduced Film Partnership Schemes to bolster the UK film industry. These Schemes enjoyed highly favourable tax rules. Film Partnership Schemes quickly developed a reputation as an effective tool that high net worth individuals could use to defer a portion of their tax burden.
When you invest in a film scheme, you become an LLP partner. This organisation uses investors’ money to buy the rights to an unmade film and lease them back to the company producing it.