I have a client who owns a garden centre personally and he has let this to his own personal trading company.
He intends to sell the garden centre and also his shares in the trading company, at the same time, and would like to purchase a fishery using most of the proceeds. We are considering whether rollover relief under s.152 TCGA 92 is available.
The HMRC manuals and Simon's Taxes make it clear the old and the new asset should be used in the same personal trading company.
The legislation at s.157 TCGA (personal company) is unclear on the situation although I have to say it does not look like it intends to dissalow relief in our circumstance.
This is impossible if you have, in our case, sold the personal trading company shares. We could set up a new personal trading company but the strict interpretation seams to be that rollover relief is not available. Also, what if he runs the fishery as a sole trader?
Do readers have any experience with making claims in such circumstances? It seams unfair that you cannot make a claim.
Many thanks in anticipation of your replies.
- Identity Checks 117 3
- RTI Rollback to delete incorrect data 408 1
- Property pages or self-employed? 184 3
- Software for Accounts layout 26 1
- Need help with How much or do I charge to much 252 5
- Allowable expenses on retal property 185 2
- Mandatory Capitalisation 139 2
- Running Sage on a Mac 125 1
- Why are so many UK accountants reticent to make use of Indian outsourcing providers? 4,336 94
- HMRC CT600 TOOL 292 5
- Cash bashed (FRS) vs cash accounting (standard VAT)? 149 2
- notarising & legalising documents 192 4
- question 456 4
- Am I the only one who finds this annoying 425 11
- Income prior to company formation 228 8
- VAT on farm machinery sold 155 2
- Seeking advice: Tax on investing in a subsidiary 166 6
- Any thoughts on Capium? 431 3
- When to register or not for PAYE 468 8
- Can criminal action be a defence? 230 5
- Motor Traders Assistant Bookkeeping Programme queries 290
- Tracesmart/Lexis Nexis AML software? Any opinions? 262
- Continuity of practice-ACCA 262
- French ConnectionUK 206
- Fundraising for friend - minimise tax? 194
- Recommended International mobile phone coverage and costs? 187
- Can anyone explain Indian Minimum Alternate Tax 185
- APN's 175
- Penalties for late filing of P11D forms 151
- FRS 101 Software 140