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.
- PAYE & NIC 229 22
- Corporation Tax disallowed entertaining 221 5
- Interim dividends 195 6
- How do I tackle fraudulent use of a clients SA tax return? 1,098 7
- What does PITA mean? 832 20
- proposed dividends 688 23
- Business loan not in client's name 109 1
- Car fuel benefit - changing basis 164 2
- VAT on Exhibition services 150 4
- Company Payroll 170 2
- Dates, more dates and cessation 113 2
- Any printer recommendations? 199 6
- Out of date tax returns 274 2
- Filling in my self assessment 991 17
- ACCA CPD verifiable units 185 2
- Any chance of winning an Appeal with HRMC for late self assessment charges 360 7
- Deductible or not ? Working out of hotels /coffee shops 469 6
- FPS responses ... 535 16
- Nominal Codes 291 9
- Charging VAT to a Swedish Company 225 7
- Sanzar 500
- Digital marketing focus group 399
- Sage troubleshooting for employee who has previously claimed SMP 380
- Sainsbury's mangement 332
- Are commercial mortgage cashbacks subject to Corporation Tax ? 331
- Continuity Agreement 327
- Avanti Accounts 327
- Buyback 287
- Entrepreneurs' relief (ER) for EMI shares 234
- Aggresive sales from Iris 204