I'm obviously being completely stupid here. The title deeds are registered to Sole Trader T/As Business Name. I assumed the asset had to be transferred out of the business to the Sole Trader personally, thereby triggering CGT calculations.
I assumed that as the land and buildings are a business asset I would have to account for a notional sale upon cessation. Do I need to get an official market valuation and transfer at that value?
Re. the s162 incorporation, we were thinking not to transfer in exchange for shares.
I was ignoring the rent issue for the moment, but thank you, I will look at it sooner rather than later.
My answers
They charged the insurance company labour at their normal hourly rate and parts with the usual mark-up, so yes, there is a profit.
I'm obviously being completely stupid here. The title deeds are registered to Sole Trader T/As Business Name. I assumed the asset had to be transferred out of the business to the Sole Trader personally, thereby triggering CGT calculations.
I am absolutely delighted to be wrong!
Thank you.
I assumed that as the land and buildings are a business asset I would have to account for a notional sale upon cessation. Do I need to get an official market valuation and transfer at that value?
Re. the s162 incorporation, we were thinking not to transfer in exchange for shares.
I was ignoring the rent issue for the moment, but thank you, I will look at it sooner rather than later.