This could be because the business itself has reached a point where a step change expansion will need resources beyond those available to the current owners, or that the passage of time has meant that the people running the business wish to reap the reward of their hard work and leave the business to the next generation of management.

Tax planning at this point of the business life cycle is crucial, as failure to take appropriate steps can result in wealth unnecessarily leaking out into the hands of the taxman. The TACS Partnership can assist to deal with issues such as:

  1. If your client sells shares in the business, what tax will he pay?
  2. If your client sells the trade his business undertakes, what are the tax issues?
  3. Should your client take out a dividend from my business before selling shares?
  4. Your client may wish to pass on the business to the family. How best does he do that?
  5. Your client’s management team want to take over the business. What does your client need to think about?
  6. Your client is selling the business to another company, but they want your client to stay on after the sale for a year. What are the tax issues on the sale proceeds and salary after the sale?
  7. Share options will mature when your client sells the business. What are the tax impacts?
  8. When your client sells the business, he will be investing the proceeds. What tax will he pay on those investments?

The TACS Partnership can guide you and your client through the maze of tax issues your client will face when a business is sold or the ownership of the business changes. This is a time of real risk that wealth will be dissipated by unnecessary tax charges and timely advice can be crucial.