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TonyTax, Tax Consultant
Category: Tax
Satisfied Customers: 15979
Experience:  Inc Tax, CGT, Corp Tax, IHT, VAT.
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Can someone advise please. I sold my business in Dec 2014 and

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Can someone advise please. I sold my business in Dec 2014 and want to know if I can claim Business Asset Rollover Relief if I invest £150k into my sons business who is in Denmark. Or is it possible to claim Personal Tax Relief?
Hi. Can you tell me exactly what the investment will get you in terms of new business assets please. Is the company registered in Denmark or the UK?
Customer: replied 2 years ago.
Its registered in Denmark I will be one of the Directors. The company he is starting is to renovate houses. So the benefit will come when selling the property or if it goes rental. Money will go to starting company and buying a house that needs renovating
Can you tell me how much of the company you already own please.
Customer: replied 2 years ago.
I will owe 80% of it. its being registered as we speak (email)
Leave this with me while I draft my answer. It will take a while so please bear with me.
Customer: replied 2 years ago.
Okay thank you very much for your time :)
Hi again.
The fact that the business is abroad doesn't preclude you from claiming business asset rollover relief as you will read at:
so long as the disposal of your previous business assets and the acquisition of assets for the new business meet the qualifying criteria as set out in HS290 here:
My concern is that you intend to buy a property to renovate and sell or rent. Letting is probably not a good idea unless it is a very small part of the business. The properties you renovate and sell will not so much be business assets as stock.
Normally, business asset rollover relief is given for the disposal and acquisition of assets which have been and will be used in the business on an ongoing basis such as offices, factories, plant and machinery etc. See the list under "Getting relief for the assets you have disposed of in HS290.
If you look at CG60970 at the link below, to my mind this pretty much kills off any chance of a successful claim for BARR in your case.
If you cannot claim business asset rollover relief, you might consider a claim for entrepreneurs' relief which if successful will limit any CGT charge to 10% of the net taxable gain made on the disposal of your business. Take a look at HS275 at the link below for more information on ER.
I hope this helps but let me know if you have any further questions.
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