Not sure that gets me any further
Do i go for residential status ?
Will this jeopardise the relief on my shares
Are the shares valued at £1 for the gain
Which it states on my certificate.
The properties are let on only a 30 day max let like a hotel
If i get residential status on the property i can sell it as a house or offer long term lets
I think a ltd company with rental properties cannot get entrepreneurs relief
But i am not sure
Do i go for planning to increase value or do i leave as they are because i will lose the entrepreneurs relief.
Dont think i am getting my message across
I believe i have a good chance of c3 permission.
If i get this then sell shares does this affect the relief. I did not think shares in ltd companies that
holds just residential lettings gets the relief
I am unsure whether to continue my app for
C3 without knowing the tax situation
I have quoted the relevant part of HMRC advice [edited] on this matter below. You will see that there is no mention of the relief not being available to companies of your type
'Disposal of shares in or securities of your personal company
If the business is owned by a company in which you dispose of the shares or securities, then throughout the qualifying period of one year the company must be:
• your personal company, and
• either a ‘trading company’, or the holding company of a ‘trading group’, and
• you must be either an officer or employee of that company (or an officer or employee of one or more members of the trading group). A Contacts A company is your personal company if you hold at least 5% of the ordinary share capital and that holding gives you at least 5% of the voting rights in the company.
It is possible for shares acquired under the Enterprise Management Incentive Scheme to qualify for Entrepreneurs’ Relief where the ‘personal company’ requirement is not met (see guidance at CG64052). The one-year qualifying period ends generally on the date of disposal of the shares or securities. The exceptions are where the company ceases to be a trading company, or to be a member of a trading group, within the period of three years before the date of disposal. In such cases the qualifying period ends on the date the company ceased to qualify as a trading company or a member of a trading group. The relief is also available where either:
a) the company is wound up and dissolved with your shares being cancelled and a capital distribution is made in the course of that winding up, or
b) any other capital distribution is made. In these cases, the qualifying conditions must all be met throughout the year ending with:
a) either the date on which the capital distribution is made, or
b) if earlier, the date of cessation of the trading qualification and the capital distribution is made within three years of the cessation.'