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Tax Implications of Selling Business Property

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If you own a business (or business property), you (or, at least, your beneficiaries) will benefit from a reduction in the Inheritance Tax (IHT) payable on your estate on your death.

The sale of such assets leads to a loss of Business Property Relief (BPR) as the value is turned into cash. The taxable value of your estate can be increased very significantly as soon as the sale is made.

Re-investment of the proceeds into other assets qualifying for BPR enables you to retain the IHT relief. The investment can be made up to 3 years after the sale but, of course, your estate is exposed to the tax risk during any period up to the making of the new investment.

We can help you to reduce the impact of IHT and advise you about tax-favoured investment.  We may also be able to help you to reduce the Capital Gains Tax liability following the disposal of business assets.

Why not give us a call?

SWLaw Investment & Financial Planning Ltd  01752 205205