The disposal by sale, gift or destruction of every asset owned personally needs to be considered from a tax perspective – despite general belief to the contrary. The asset could include your own home, stocks and shares in an investment portfolio or even the sale of a business.
The amount of tax due, if any, will be determined by the type, value and cost of the asset, the actual transaction, the length of ownership, as well as any availability to one, or many, reliefs and exemptions. Circumstance and objectives should drive decisions, however a clear understanding of potential tax liabilities in advance of making a disposal is important and often with correct planning transactions can be structured to minimise tax liabilities.
If you are looking to sell or dispose of an asset our private client team can advise you on any relevant exemptions and also ensure that the timing of the disposal has been fully considered to most effectively manage your tax liability.
It is estimated that 85,000 people a year need to report the sale of UK land and property to HMRC within 60 days of completion. If you miss the deadline you will face charges as a reprocussion. To identify if this applies to you, discover our “Selling Your Property” guide displayed on the webpage.
The advice we give may include:
- Calculate the gain arising on actual and potential disposals of assets
- Exempt assets
- Advice on optimising reliefs and exemptions available to mitigate tax
- Principal residence relief
- Entrepreneur’s relief
- Holdover and Rollover relief
- Spouse and annual exemptions