Business asset disposal relief
Business Asset Disposal Relief (BADR) support
Looking to maximise your financial gains on selling or winding down your business?
Procure generous tax saving by paying less Capital Gains taxes!
Starting from £500.00 + VAT
When you have invested your time in building a business, you want to make sure you retain as much of the profit as you can when you sell it.
Capital gains tax can take your breath away, but you can utilise a vital tax relief when ‘disposing’ of business assets.
Through BADR, you can reduce the capital gains tax rate to 10%.
Our specialists can make sure your business qualifies for this valuable tax break.
We believe it’s essential to begin your tax planning at least a year before the proposed sale so 3E’S can move quickly to get you the most value out of BADR.
When you become qualified for the relief
Business Asset Disposal Relief is available on disposals of:
- the whole or a part of a business
- assets in use when the business shuts down
- shares or securities in a trading company
The following must be the case for at least two years up to the date you sell your business
- You’re a sole trader or business partner
- You’ve owned the business
What you get with 3E’S Business Asset Disposal Relief service
- Auditing of your tax position and recommending changes to ensure you qualify for the relief.
- The legal review or drafting of relevant documentation — no more dealing with multiple advisors.
- Proactive negotiations with HMRC if the need arises — we are prompt and efficient.
Our clients love us for our brilliant services.
Ms Irena P
Franchise partner, Courier and Delivery company
I am delighted and happy with the services provided regarding my tax return, both my return and business return, including annual accounts and submission. I would describe 3E’S Accountants as professional, highly trustworthy, quick and empathetic. They handled HMRC compliance check and investigation proactively and confidently that I didn’t realise when it was started and completed. They know what they are doing, and I found them highly professional and knowledgeable. I would highly recommend 3E’S Accountants to everyone.
Manish D
AI Consulting Company
With 3E’S accountants, you get to actually feel that you are a privileged customer. A personal one to one service, updates on latest products and the patience to answer even the smallest of queries that you might have. I have been with these guys for years and have got years of good service and great advice.
Amit J
Financial advisor
3E’S Accountants are efficient, simple, and provide good value service. I think they’ve struck the right balance between being forward-thinking in their application of technology and the professional support and experience essential to accountancy. They provide payroll, bookkeeping, and tax consultancy services for my business. So far, they have saved me thousands of pounds. Whenever we face any problem, the friendly and professional 3E’S team always resolve it quickly.
Nishant S
Property investor
I am extremely glad that my friend introduced me to the 3E’S Accountants. I found they are knowledgeable, professional, timely and who provide excellent value for money. My accountant Tushar and his team has been nothing short of stellar in their approach to managing my accounts and for the high level of service received. Thank you very much.
Bhaumik S
Convenience Store
I have been using 3E’S Accountants and their varied services ever since I established my own business back in the day. Since then, Tushar and his team have been extremely helpful and always prompt in their response. Be it tax specific or general issue — they know it all. Professional, efficient, and experienced — their staff goes the extra mile for their clients. Very highly recommended.
Swapn P
Pharmacy Store
3E’S Accountants has been my accountant ever since I started my career as a Locum Pharmacist. Today, they’re looking after three of my pharmacy accounts. The entire team is responsive, professional, and patient. As a medical professional, I needed an accountant who understood the financial specifics of my job, and that is exactly what 3E’S offers.
Is 3E's the right choice
for your business?
Speed up the asset disposal process with our streamlined tax relief strategies.
Optimise tax benefits from business asset disposal with our specialised advice.
Our professionals provide bespoke strategies to maximise your relief benefits.
We ensure you get the most out of your asset disposal without overpaying for services.
Let us handle the complexities of asset disposal while you plan your next business move.
Frequently asked questions
The tax rate for Business Asset Disposal Relief (formerly known as Entrepreneurs’ Relief) is 10% (2024-25). This relief allows eligible individuals to pay a reduced capital gains tax rate of 10% on qualifying gains up to a lifetime limit of £1 million.
To claim Business Asset Disposal Relief, you need to:
- Include details of the qualifying disposal on your Self Assessment tax return
- Fill in the capital gains summary pages and indicate that you are claiming Business Asset Disposal Relief
- Include any additional information required by HMRC, such as details of the assets disposed of and the date of disposal
- Submit your completed Self Assessment tax return by the relevant deadline
If you have already submitted your return and need to claim the relief, you can amend your return within 12 months of the original filing deadline.
Yes, there are several restrictions and conditions that must be met to qualify for Business Asset Disposal Relief:
- You must be a sole trader, business partner, or hold shares in a personal trading company
- You must have owned the business assets for at least 2 years before the disposal
- For company shares, you must hold at least 5% of the company’s shares and voting rights, and have done so for at least 2 years
- The company must be a trading company or the holding company of a trading group
Yes, Business Asset Disposal Relief can be claimed multiple times, provided that the total qualifying gains do not exceed the lifetime limit of £1 million. Once you reach this limit, any further gains will be subject to the standard capital gains tax rates.
Yes, you must claim Business Asset Disposal Relief within 12 months from the 31 January following the end of the tax year in which the disposal took place. For example, if you disposed of an asset in the 2022/23 tax year, you have until 31 January 2025 to make the claim.
In some cases, Business Asset Disposal Relief can be combined with other tax reliefs, such as:
Gift hold-over relief: This allows you to defer the gain when gifting business assets or shares.
Incorporation relief: This defers the gain when transferring a business to a company.
Rollover relief: This defers the gain when you reinvest the proceeds from the sale of business assets into new qualifying assets.
However, the interaction between different reliefs can be complex, and it is advisable to seek professional advice to ensure you maximise your tax benefits and comply with all applicable rules and regulations. Please contact us for more information.
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