taper relief

taper relief

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A client company (which has been trading for 4 years) will cease trading at the end of June. Its only asset at that time will be cash.

Will full taper relief (75%) be available if it has not conducted any investment activities?
Alexander

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By pondfield
22nd Apr 2006 13:08

Yes
As long as the Company was a trading company throughout the 4 years, there is no reason why full business asset taper relief shouldn't be available. There is something somewhere about allowing it even if there is a (reasonable ?) gap between cessation and when the monies are eventually distributed to the shareholders.

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By spike418
24th Apr 2006 08:57

Maybe not?
How much cash is on hand and how long has it been there?
The existence of substantial sums could compromise business taper relief if it can not be shown that the cash was needed for business purposes.

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By Portia Nina Levin
13th Feb 2017 15:12

Who cares. Just claim entrepeneurs' relief.

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