Thomas Dalby (Gabelle) answers a query on the practicalities of setting up an employee ownership trust by the retiring founders of a company.
Question
OneState Ltd is a company specialising in aeronautical design and which employs 150 people most of whom are engineers or designers. The company is owned in equal shares by its three founders who are now contemplating retirement and looking at their options. One possibility that they are actively considering is a sale of the company to an employee ownership trust (EOT) which would allow the existing management team to take the company forward while giving the founders access to an exemption from CGT. What are the practicalities around setting up an EOT?
Answer
The rules on EOTs were enacted in FA 2013 and can be found...
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Thomas Dalby (Gabelle) answers a query on the practicalities of setting up an employee ownership trust by the retiring founders of a company.
Question
OneState Ltd is a company specialising in aeronautical design and which employs 150 people most of whom are engineers or designers. The company is owned in equal shares by its three founders who are now contemplating retirement and looking at their options. One possibility that they are actively considering is a sale of the company to an employee ownership trust (EOT) which would allow the existing management team to take the company forward while giving the founders access to an exemption from CGT. What are the practicalities around setting up an EOT?
Answer
The rules on EOTs were enacted in FA 2013 and can be found...
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:
