With the surprising decision handed down recently in Corbett, James Austen examines the facts and asks what planning opportunities, if any, the First-tier Tribunal decision could afford to other taxpayers who might qualify for entrepreneurs’ relief.
In its recent judgment in Corbett v HMRC [2014] UKFTT 298 (TC) the First-tier Tribunal held that Mrs Corbett was entitled to entrepreneurs’ relief notwithstanding her apparent removal as an employee of Optivite International Ltd (‘the company’) eight months before the disposal of her shares in the business. The decision which is surprising on first sight causes one to consider afresh the requirement in TCGA 1992 s 169I(6)(b) that to obtain entrepreneurs’ relief one must be either an officer or an employee of the relevant company throughout the whole of the period of one year...
