Entrepreneur's Relief - why stop at £1m?
10% tax on up to £1m of lifetime gains is a great tax break but if you make the right plans with your family you can do better still.
 
Securing the first £1m
The first priority is making sure your first £1m in relief is safe. Many people assume the relief is automatic but there are strict conditions. Just two examples: if you’re selling shares then the company must be a trading company and you must have been an officer or employee with at least 5% of the votes. If you’re selling a business, trade must have been carried out as a sole trader or via a partnership. In both cases there is a qualifying period of one year before the relief is available.
 
Going beyond £1m
Once your own tax break is ensured, think about family members. Again, conditions have to be met but there is no reason in principle why you can’t make the most of your combined reliefs, enjoying a 10% tax rate on gains of £2m, £3m or even more.
 
Let us help you to make the right plans and show you how to make the most of Entrepreneur’s Relief. Call Susan Day on 01225 486 390