Law of association

[Mikeytez1005]

Hi there!

I currently own a business building boats and I am looking to retire and completely close the company and claim 10% entrepreneurs tax relief.

Currently my son works for me and wants to start his own business in boat propellers and repairs etc when I retire.

I am having nothing to do with this company he wants to start but we are worried that the "law of association" will come into play and I won't be eligible for my 10% tax relief because he is starting a business in the marine sector.....

Are we right to worry or is this completely free of being accused of tax avoidance on my behalf and then end up paying the full tax on the money in my company.

I appreciate all the help.

[pawncob]

What is this law of association?

If you have no connection with the new business, why would it affect you?