Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration
Home Saved articles Viewed items Login Contact Free Trial
|

I’ll be back

© Copyright LexisNexis 2024. All rights reserved.

22 January 2013
Issue: 4387 / Categories: Forum & Feedback , Companies
The owner of 25% of a trading company retired and HMRC gave clearances under CTA 2010, s 1044 for a company purchase of own shares to be treated as a capital transaction. The ex-shareholder is now to resume employment at the same business

My client owned 25% of the shares in a UK trading company and at the beginning of 2011 he decided to retire as he was approaching his 65th birthday.

Applications were made to HMRC for the appropriate clearances under CTA 2010 s 1044 for capital treatment as to the purchase of own shares.

Clearance was obtained and in July 2011 the company duly purchased the shares back from my client who also resigned as a director of the company and took up his retirement. Regrettably our client has become bored with retirement.

In addition the company he left behind has thrived under its remaining younger directors/shareholders to the point where they have now asked him if he would be interested in coming back to assist them.

My client is more than happy to go back to work for a normal commercial salary...

If you or your firm subscribes to Taxation.co.uk, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Subscribe Now...

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.

READERS' FORUM premium icon
Read All
Readers’ forum: Impact of voluntary restitution on taxpayers Practice tip: January struggles Readers’ forum: Should we add student loan repayments in disclosure? Readers’ forum: Claiming capital allowances on equipment upgrade Readers’ forum: Is there VAT on furniture insurance?
FIVE WAYS TO MAKE ACCOUNTS PRODUCTION AND TAX EASIER.
Download the exclusive Xero
free report here.

New queries
Please email any questions you might have
to: taxation@lexisnexis.co.uk.

NEWS premium icon
Read All
High level of claim refusal may deter claimants Employers seeking ways to mitigate NI increase Registration: teething problems for private schools Non-doms not deterred by 2017 deemed domicile reforms In brief: 21 November 2024
DEADLINE DATES
CASES premium icon
Read All
Office servicing business is not a trade Retrospective application of apportioning a mixed supply No infringement of human rights Failure to seek time-to-pay arrangement Overturned warrant does not guarantee return of documents
MOST POPULAR
Readers’ forum: Impact of voluntary restitution on taxpayers This week's opinion: 21 November 2024 Office servicing business is not a trade Retrospective application of apportioning a mixed supply No infringement of human rights
Copyright © 2024 LexisNexis
back to top icon