Yesterday, George Osborne, banned the use of Entrepreneurs Relief (ER) to be claimed when an unincorporated business incorporates and creates Goodwill which is then credited to the Driectors Loan Account and ER is then claimed on the Capital Gain and future drawings being relatively tax free.
Is this not another case (like Gordon Brown did) of shutting the door after the horse has bolted? Anyone who has not incorporated already and used the Goodwill facility (it worked even better when we had Taper Relief), deserves to suffer (or sue their accountant for not advising it!). I have advised clients to use the facility many times since incorporation became a tax (NIC) saving tool. As a result, none of my clients will need to use it in the future. Sorry, George, the horse has bolted!