Entrepreneurs relief

Question 1

ER Assets?

Answer 1

1. Disposal of entire business
2. Cease business (sell assets in 3 years)
3. Personal service company shares (5% ownership atleast, employee of company and trading company)

Question 2

ER Conditions?

Answer 2

1. Assets used in trade.
2. ER takes up basic band first.
3. Ownership of at least 2 years prior to disposal.

Question 3

ER exam tips?

Answer 3

1. No individual assets
2. No investment assets
3. A/E + Capital losses can be used for other gains taking up higher band.

Question 4

ER Claim?

Answer 4

31/01 following tax year.

For ex: for 18/19 claim on 31/01/21