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Where Taxpayers and Advisers Meet

Entrepreneurs Relief

27Spots
Posts: 27
Joined: Mon Jul 04, 2016 10:37 pm

Entrepreneurs Relief

Postby 27Spots » Wed Feb 13, 2019 6:19 pm

Evening,
I’d be grateful for confirmation of my thinking here - holding company owned 50:50 by two shareholders. Holding company owns 100% of trading company.
Holding company shareholders wish to ‘sell the business’ - ER is available on the disposal of their shares, isn’t it?
(All ownership criteria are met.)
Is there anything else to consider?
Thanks.

SteLacca
Posts: 446
Joined: Fri Aug 07, 2015 2:17 pm

Re: Entrepreneurs Relief

Postby SteLacca » Thu Feb 14, 2019 12:57 pm

What does the rest of the group look like? The criteria is not a disposal of of shares in the holding company of a trading company, but is a disposal of shares in the holding company of a trading group. If there are other subsidiary companies that hold investments, then you need to consider whether or not it is a trading group in accordance with TCGA S165A (See 165A(8))


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