Tax Aspects Of Succession Planning For Family Company Shareholders

Introduction

Individuals who own and run family companies always endeavour to achieve the optimum post-tax return on sales of their shares.

Those who pass down their holdings to the next generation are invariably concerned with ensuring that their IHT exposure is minimised and that advantage has been taken of all the available reliefs.

This course examines the key taxation issues which need to be considered in these areas.

If you advise clients and their families on succession planning issues then this course is for you.

What You Will Learn

This course will cover the following:

Issues on the sale of a family company

• Ensuring maximum business asset disposal relief
• The implications of the Upper Tribunal's decision in Allam v HMRC (2021)
• Using S110 Insolvency Act 1986 reconstructions
• The attraction of an own share purchase
• Pre-transaction clearance procedure

Issues on passing down shares in a family company

• Relief for relevant business property - planning and pitfalls
• Deathbed planning with rights issues
• Buy and sell agreements
• Mortgages and other facilities
• The impact of S162B(7) IHTA 1984
• Is it a trading company?
• Excepted assets
• Freezing operations
• Related property planning
• Recycling business relief
• HMRC's non-statutory clearance procedure and business relief