I have a couple with large personal capital losses.
They also own a company which has a large capital gain in current tax.
Can the company pay the CT (CGT) on the gain and then be liquidated with the net proceeds, triggering CGT charges to shareholders which can then be used against their capital losses?
Or will the transactions I securities legislation bite and the liquidation distribution be treated as a dividend?
Is it worth going for clearance or is their no chance?
Thanks
Replies (2)
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what are they planning to do in the future?
Are they planning to carry on trading via a new company or is the business ceasing completely?