.png)
.png)
21 July 2015
Practical advice to preserve entrepreneurs’ relief for corporate partners is needed.
The new definition of trading company (effective from 18 March 2015) moves the goal posts substantially for corporate partners. Craig Simpson’s article “Narrowing the angles” (Taxation 4 June 2015 page 14) is particularly pertinent.
Presumably interests in corporate partner companies (mainly shares) will no longer attract entrepreneurs’ relief (on disposal) for capital gains tax and will not attract business property relief for inheritance tax purposes.
Although it is early days yet for advisers what actions – if any – might be taken in the future to reinstate the trading position? Is it simply a matter of each partnership company member starting a trade as well or would some other mechanism of incorporation of the full original business succeed? Are any other routes possible?
I am concerned about the sale...
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.
