If you are selling a business, the most important consideration (as far as tax is concerned) will normally be whether or not you will qualify for Business Asset Disposal Relief (BADR) – this means that you only pay 10% Capital Gains Tax on any qualifying gains on the first £1m. But, following the recent Budget, things are changing as most business owners should be aware. At present, you only pay 10% Capital Gains Tax on any qualifying gains on the first £1m, but 14% from 6 April 2025 and 18% from 6 April 2026.
For businesses worth over £1m, the new rate will be 10% on the first £1m and 24% above; from 6th April 2025, the rate will be 14% on the first £1m and 24% above; and from 6th April 2026, the rate will be 18% on the first £1m and 24% above.
For further information, simply CLICK HERE!