You may be selling your business promises. The timetable could be uncertain.
HMRC will want their share in the form of CGT.
If the sale is associated with the sale of a business, then you may get BADR and only pay £10% tax.
But the conditions for BADR are broadly:
- The business has carried on for at least 2 years
- The property was used for the business at the time it ceased trading
- It is sold within 3 years of the sale of the business.
So, it may have been loss-making but keep trading to secure the 2 years of actual trading and 3 years since cessation.
So, come and speak to us before you actually cease trading.
We want you to preserve the BADR 10% rate.