My client's company sold some of its goodwill/customer base making a capital gain for CT purposes (original cost nil) and intends to reinvest some of the proceeds into a similar intangible asset in the tax year following the sale.
I wish to make a provisional claim to reinvestment relief for the intended reinvested proceeds to delay/avoid paying CT on all the gain this year - but how do I do it? Advice so far has been to deduct the intended reinvested proceeds in the tax comp, and explain in the white space what I have done. This deduction is then added back the following year when the acquisition is made. Is this all there is to it?
Many thanks