hi
hope someone can advise me ( i am an accountant looking for a second opinion)
friend of mine sold a small building he used for his trade in april this year. consideration was 38k. I worked out CGT liability of 6.8k.
Just wanted to see if he might qualify for retirement relief on the asset and have no tax to pay. I dont think so but just want some second opinions.
he is 78 years old but he stopped working at 65 and the building hasnt been used since then, it has been vacant. I know a qualifying asset for retirement relief is as follows:
"The individual’s chargeable business assets (defined below) which he/she has owned for at least 10 years ending on the date of the disposal and which have been his or her chargeable business assets throughout that 10 year period. "
-A chargeable business asset being an asset used for the purposes of the trade
Does the fact that the building has been lying idle for the past 13 years rule him out of retirement relief? It was used solely for his trade for the 13years prior to it being idle.
Hope someone can help
Thanks
Bren
hope someone can advise me ( i am an accountant looking for a second opinion)
friend of mine sold a small building he used for his trade in april this year. consideration was 38k. I worked out CGT liability of 6.8k.
Just wanted to see if he might qualify for retirement relief on the asset and have no tax to pay. I dont think so but just want some second opinions.
he is 78 years old but he stopped working at 65 and the building hasnt been used since then, it has been vacant. I know a qualifying asset for retirement relief is as follows:
"The individual’s chargeable business assets (defined below) which he/she has owned for at least 10 years ending on the date of the disposal and which have been his or her chargeable business assets throughout that 10 year period. "
-A chargeable business asset being an asset used for the purposes of the trade
Does the fact that the building has been lying idle for the past 13 years rule him out of retirement relief? It was used solely for his trade for the 13years prior to it being idle.
Hope someone can help
Thanks
Bren