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HMRC internal manual

Investment Funds Manual

IFM09605 - Ceasing to be a RIF: Introduction

Regulation 5 sets out the circumstances in which a scheme might cease to be a RIF, and the processes involved.

A scheme may cease to be a RIF when any of the following occurs:

  • the scheme ceases to meet one or more of the conditions in section 20(1) F(No2)A 2024  IFM9610
    • the scheme becomes an authorised co-ownership scheme
    • the scheme ceases to be an AIF as defined by Regulation 3 of the Alternative Investment Fund Managers Regulations 2013
    • the scheme no longer meets the conditions in FSMA 2000 S261E(2) and (3)
    • the scheme breaches one or more of the RIF qualifying conditions set out in the regulations (Regulation 5(2)) and is not rectified in the cure period (if applicable) – IFM9620
  • the operator of the RIF submits an exit notice to HMRC (Regulation 22) – IFM09640
  • designated HMRC officer determines by notice that the RIF is to be treated as if the entry notice had never been given (Regulation 23) – IFM09650
  • an HMRC officer issues a cessation notice to the operator of the scheme (Regulation 24) – IFM09660