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It is always worth bearing in mind that when you sell certain types of business asset, it is possible to postpone the gain by reinvesting in a qualifying asset for roll-over relief purposes.

This is quite a restricted relief these days and care should be taken before relying on the availability of the relief.

The best feature about this relief is that you can claim it on more than one new purchase, and can include assets purchased one year before to three years after the date of sale of the original asset.

Example:
John sells a qualifying business asset for £100,000, making a gain of £50,000.

He re-invests the entire proceeds into a new qualifying asset and the gain is entirely rolled over into the new asset.

The base cost of the new asset is reduced and capital gains tax payable on the sale of the old asset is postponed. This creates a cash-flow advantage.