Andrew Lines looks at capital taxes from the shareholders' perspective when selling a company
When advising clients of their personal tax consequences on the sale of a company of all the taxes that spring to mind CGT should be first and to a lesser extent IHT.
This article will concentrate on minimising CGT and will also consider IHT planning in the context of a forthcoming sale of trading company shares.
Optimising entrepreneurs’ relief
The most important CGT relief is entrepreneurs’ relief (ER) having been raised to £5 million in the Emergency Budget in June of this year whilst the main CGT rate was increased to 28%. At first blush where shareholders of a trading company are concerned ER is available provided that:
the shareholder owns 5% of the ordinary share capital and voting rights;
the shareholder is employed or holds...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
Andrew Lines looks at capital taxes from the shareholders' perspective when selling a company
When advising clients of their personal tax consequences on the sale of a company of all the taxes that spring to mind CGT should be first and to a lesser extent IHT.
This article will concentrate on minimising CGT and will also consider IHT planning in the context of a forthcoming sale of trading company shares.
Optimising entrepreneurs’ relief
The most important CGT relief is entrepreneurs’ relief (ER) having been raised to £5 million in the Emergency Budget in June of this year whilst the main CGT rate was increased to 28%. At first blush where shareholders of a trading company are concerned ER is available provided that:
the shareholder owns 5% of the ordinary share capital and voting rights;
the shareholder is employed or holds...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
