A conflicting view

Mark Morton’s article Conflict of views on the subject of entrepreneurs’ relief set me off looking at the legislation.

While I agree that the situation is a bit of a mess I disagree with the particular point in the article about partnership disposals.

Mark’s article discusses a conflict between the legislation and HMRC’s views when it comes to the sale of assets by a partnership that is continuing in business where all the partners are also continuing. In reality I don’t think that there is any conflict.

The article describes the second situation where partners can obtain entrepreneurs’ relief as ‘where a partner disposes of the whole or part of their interest in partnership assets...’. On that wording it is reasonable to conclude that any sale of assets of a partnership should qualify for the relief. As Mark points out HMRC take the...