Business Asset Disposal Relief
Tax reliefs are implemented on time and in accordance with the detailed legislation
Tax incentives and tax reliefs
A healthy economy very much depends on its entrepreneurs and wealth creators. In recognition of this, UK tax legislation contains a number of tax incentives and tax reliefs designed to encourage them to create and grow new businesses.
One tax relief available is Business Asset Disposal Relief. This relief is complex, but with the right professional advice and implementation, substantial tax savings can be achieved.
Friend Partnership’s services for entrepreneurs and investors will ensure that planning involving tax incentives and tax reliefs are implemented on time and in accordance with the detailed legislation. Maximising it's full potential.
Business Asset Disposal Relief
Business Asset Disposable Relief (formerly Entrepreneurs Relief, which itself was introduced as a successor to Taper Relief) is available to individuals who dispose of their trading businesses. It can also be claimed on the disposal of shares and other assets associated with those trading businesses.
The relief allows the individual to pay Capital Gains Tax on any disposal at a rate of only 10% (as opposed to 20%).
There is a lifetime limit to gains which can qualify for BADR. That limit was reduced from £10 million per individual to £1 million in 2020. Despite this reduction the relief is still potentially very valuable.
Friend Partnership has helped many clients structure their businesses to ensure that, on an eventual sale, the relief is available. We have also advised on pre-sale planning and restructuring to maximise reliefs.
Expert Advice Required
The disposal of a business or an asset requires careful tax planning, and as such, it is advisable to obtain detailed guidance on the matter.
Friend Partnership has been dealing with business tax reliefs for a number of years. We have detailed knowledge and understanding of Business Asset Disposable Relief.
For any queries regarding this matter or any other reliefs you may be eligible for, please contact us directly.
Make A BADR Enquiry
KNOWLEDGE BASE
OTHER SERVICES WE PROVIDE
Contact us
+44 (0) 121 633 2000
enquiries@friendllp.com
Birmingham office:
Eleven Brindleyplace,
2 Brunswick Square,
Birmingham, B1 2LP
Registered to carry out audit work in the UK and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales
Company registration number: 07746831