Tax implications for sellers often influence the optimum time to sell a company. UK corporate sellers should consider whether the substantial shareholding exemption is available to exempt a gain on sale; the potential for tax de-grouping charges; and how to maximise group relief claims, where relevant, by ensuring that a target company does not leave a loss group prematurely. Corporate sellers should also consider the position of manager sellers who might be expecting to claim business asset disposal relief, where timing is key. Delaying the sale for a matter of months could in some cases reap significant tax benefits.
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Tax implications for sellers often influence the optimum time to sell a company. UK corporate sellers should consider whether the substantial shareholding exemption is available to exempt a gain on sale; the potential for tax de-grouping charges; and how to maximise group relief claims, where relevant, by ensuring that a target company does not leave a loss group prematurely. Corporate sellers should also consider the position of manager sellers who might be expecting to claim business asset disposal relief, where timing is key. Delaying the sale for a matter of months could in some cases reap significant tax benefits.
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If you do not subscribe but are a registered user, please enter your details in the following boxes:
