We've looked into the various ways of facilitating the purchase of the departing shareholder shares and have considered a company purchase of own shares, for which I think we satisfy all of the conditions and I'm confident we could get approval for the capital method to apply.
My question is this, whilst we can see how this benefits the seller as the capital method will result in a much lesser tax bill than the distribution method, what are the benefits to us, the remaining shareholders?
Is there any reason why a company purchase of own shares would be more beneficial to us that us buying the shares from the departing shareholders as individuals?
Other than the logistics of having to find the money to do so, is there any tax benefit to it?
Many thanks in advance for any advice given.
- do i pay vat when buying a business 21 2
- ideas for a bonus scheme for accountants 564 9
- Loss Relief 108 2
- Tax case reference request 191 3
- are receipts needed? 284 9
- How to? 119 1
- Cheque alternative - letter to HMRC re undeclared income 137 1
- Company overdue but wants to be struck off 574 19
- New accountant 356 6
- Working out a daily rate 254 6
- Santander Scrip Dividend Scheme 164 2
- Amending prior year accounts for the first time? 1,400 25
- Unusual Self Employment Expense Claims? 486 6
- Sage Instant cash based flat rate 112 2
- Loan notes payment of principal and interest 105 2
- HMRC VAT misstatement disclosure 212 2
- How to account fot Cross-border vat. 221 5
- Paint Manufacturer Flat Rate Scheme 472 27
- Sage 50 208 2
- sole trader - operating under cis 244 7
- Skandia using wrong address 1,586
- Nil Rate Band Trust - index linked debt by way of charge over property 882
- International interest certificate 492
- NOVA 346
- Can Limited Company Buy Share of Rental Property? 269
- Have we escaped Gift with Reservation of Benfit & Pre-owned asset charges? - Gift after benefit 253
- Management expenses for investment company 241
- Bonus Bonds 237
- Help with tax codes on Sage 184
- Capital reduction 171