Knowledge Bank >Business Tax >Selling a Business
01: Introduction
Selling your business can have a variety of tax consequences. Good planning at an early stage will ensure that you do not pay more tax than necessary. Indeed it is not too early to think about the eventual sale of the business when you are setting it up.
In the Pre-Budget Report on 9 October 2007, the Chancellor announced that special business taper relief would be abolished from 6 April 2008. There is to be a new flat rate capital gains tax charge of 18% on both business and non-business assets. This could have important implications for you if you are considering disposing of business assets before the end of the tax year 2007/08.
You may have to consider several different taxes, depending on what form your business takes.
