I have a client that is a husband and wife farm partnership and 2018-19 is the first year for their partnership. Before this my clients were trading as a four-partner partnership but due to circumstances they have decided to cease the original partnership and continue their trade as two separate entities.
What I would like to know is whether two or five-year averaging is available to the partners in the final year of the old four-partner partnership? I am aware that averaging is not available in the year of starting the trade (or joining a partnership) or in the year of cessation of trade (or leaving a partnership). However it is clear that the farming trade has continued just within a different legal partnership. My client is farming on part of the same farmland and farming in the same nature as the previous partnership.
Any...
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.