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Selling my dental practice - capital gains tax?

I am selling my dental practice and would like to understand more about the capital gains tax


I am selling my dental practice which I have been operating as a sole trader for some time. I am selling the goodwill (value is nil in the accounts as it has been amortised by my previous accountant) and would like an idea of the tax payable. Am I right in thinking this will be treated as a capital gain and taxed as such. I have also read about entrepreneurs relief. Would I be allowed to claim this? I have no connection with the limited company that is buying my business but I will be doing some sub-contracting dental work for them (classed as self-employed income) until I retire.

I would be grateful of any information.

Thanks in advance


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11th Jan 2019 12:03

What does your current accountant advise?

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11th Jan 2019 12:07

Ask your current accountant - they know your personal situation better than us. You might want to consider building in some handover / consultancy time in the sales price.

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11th Jan 2019 12:07

You need to discuss this with your accountant. If you didn't engage someone else after ditching your "previous accountant", now's the time to think again.

Essentially, you'll be taxed on the difference between the cost and sale prices of the goodwill. The amortisation is irrelevant to your CGT bill.

"Some time" is a bit vague - five minutes, five years, five decades ? However, there's a good chance you'll qualify for Entrepreneur's Relief.

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11th Jan 2019 12:09

You need some face to face professional advice, from; a tax adviser/accountant, or other agent.
It is very naive to think that a forum such as this, can provide the safeguards which you need.

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11th Jan 2019 12:20

Thank you for your answers.

I just wanted a bit of information about the Entrepreneurs Relief. I have run the practice for 23 years.

I will look into it some more.

Many thanks

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to Mr Dentist
11th Jan 2019 12:41

Ok, you still don't need an accountant, then.

I get it. My great uncle would never go to a dentist. Over the years he progressed from tying string to a suspect tooth with the other end looped over the door handle and slamming the door shut to using plyers on his gnashers.

He was a pretty tough old-school chap. Over the years he must have saved himself a lot of money, despite enduring pain. Of course in later life he had no teeth.

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By mrme89
11th Jan 2019 12:38

I've had toothache for a couple of weeks now, but don't wont to have to pay towards a new Merc for my dentist.

Please can you tell me how I can get rid of the toothache without having to pay to see my dentist?

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11th Jan 2019 13:34

As a dentist you are in the highest earning profession there is, as you earn top dollar from the day you qualify to the day you retire.

I would imagine the goodwill you are selling will have a substantial value so it is worth paying for some advice as to how you will structure the deal before it is agreed so that you don't trip up later.

ER is a good deal on a disposal of this nature so it is worth paying for a few quid to box it off neatly with your existing accountant.

You need to get some paid for advice.

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11th Jan 2019 13:43

Talk to your accountant and to the agent who you used to market your practice for sale. One or both should be able to advise you how to structure the sale to limit your tax liabilities.

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11th Jan 2019 14:35

If you are serious about wanting advice on the sale of your dental practice and your future accounts and tax as a self-employed dental associate then my practice works exclusively with dentists based all over the UK. Please feel free to call me on 01844 260111.

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to Nick Stewart
11th Jan 2019 14:47

Define 'exclusively' Nick, because your website shows that your practice specialises in just about everything.

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to andy.partridge
11th Jan 2019 15:19


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17th Jan 2019 13:37


I think you must be looking on the wrong website!

If you Google Dental Business Solutions we are right at the top

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to Nick Stewart
17th Jan 2019 13:51

Sorry Nick, are you saying that the Nick Stewart, partner at this firm that has the same phone number you urged the OP to contact you on, isn't actually you?

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to andy.partridge
17th Jan 2019 14:46

Brilliant, the double bust.

Andy you should work for the FBI.

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to Red Leader
17th Jan 2019 16:39


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