Exit and Capital Gains

The Business Asset Disposal Relief rate rose to 18% for disposals on or after 6 April 2026, the final step in the schedule set at Autumn Budget 2024: 10% to 5 April 2025, 14% for 2025/26, 18% now. Which rate applies to a given sale turns on the disposal date rules and the Finance Act 2025 anti-forestalling provisions. Here is the full schedule, the timing law, and the numbers at several gain sizes.

Business Asset Disposal Relief taxes qualifying gains at 18% for 2026/27 instead of the standard 24%, on the first £1 million of lifetime gains. The relief is a claim with strict conditions tested to the day, and most failed claims fail on details an adviser would have caught: the second 5% test, the trading status of the company, a resignation that broke the officer condition. Here is what a BADR accountant actually checks, and when to bring one in.

For 2025/26 the main CGT rates are 18% and 24% on all chargeable assets, including shares and residential property. Business Asset Disposal Relief is 14% this year and rises to 18% from 6 April 2026. The annual exempt amount is £3,000. This guide sets out every rate, the 2026/27 changes, worked examples that show the maths, and the reporting deadlines.

Good exit planning starts two to three years before completion, not the month you decide to sell. This guide sets out the exit routes, the tax runway that locks in Business Asset Disposal Relief at 18%, the EOT 50% timing lever after 26 November 2025, and a year-by-year plan to make your business genuinely sellable.

Employee ownership trusts still offer a clean, phased exit and a strong culture story, but the tax case changed on 26 November 2025 when CGT relief was cut from 100% to 50%. This is an honest, up-to-date weigh-up of the real advantages and disadvantages for a UK owner-director deciding how to exit.

At the Autumn Budget on 26 November 2025 the Capital Gains Tax relief on a sale to an Employee Ownership Trust was cut from 100% to 50%, with immediate effect. Half of the gain is now taxable at the point of sale, BADR cannot rescue it, and the other half is held over onto the trustees. Here is exactly how the new charge works, with the numbers.

Accountancy practices are priced on gross recurring fees, not profit, and most of the price is held back against client retention. This guide covers the GRF multiple, how clawback works, and the CGT, BADR and EOT position at 2026/27 rates.

Care homes are valued differently from most trading businesses: on EBITDARM against a yield, or per registered bed, with the freehold often the largest single asset. This guide covers how a care home is priced, who buys them, the CQC registration and property traps that sink deals, and the CGT position for 2026/27.

Construction businesses sell on lower, lumpier multiples than most sectors: typically 2 to 4 times EBITDA, propped up by net assets and work in progress. This guide covers what a contractor is worth, who buys them, and the CIS, retention, novation and latent-defect traps that decide your final price, plus the tax on exit at 2026/27 rates.

Ecommerce businesses are valued on a multiple of seller's discretionary earnings, usually 2.5 to 4x for smaller stores. The deal lives or dies on whether the buyer can actually take over your Amazon, Shopify and ad accounts. Here is how to value it, who buys, the platform-transfer trap, and the CGT, BADR and EOT position for 2026/27.

Selling a law firm turns on things a normal trade sale never touches: SRA change-of-control approval, six-year PII run-off cover, unbilled WIP and disbursements, and the client account. Here is how firms are valued, who buys them, and what tax you pay at 2026/27 rates, including the EOT relief that was cut to 50% on 26 November 2025.

A manufacturing sale runs through a fixed sequence, and each stage in it has a tax consequence you can still change while the stage is open. This page walks the sequence from the grooming year through heads of terms, diligence, completion accounts and the earn-out, and works one Blackburn factory sale both ways, as a share sale and as an asset sale, to a net-of-tax figure at 2026/27 rates.

What a UK recruitment agency is really worth, why a temp and contractor book sells for more than a perm desk, the diligence traps around consultants, covenants and invoice finance, and the tax on exit at 2026/27 rates.

Setting up an Employee Ownership Trust means meeting strict qualifying conditions, building a compliant trustee structure, valuing the company and funding the sale from future profits. This guide walks through each step, the 3 to 6 month timeline, typical costs, and the tightened trustee rules that now apply.

A practical, do-it-yourself walkthrough for putting a defensible number on your own company before you speak to a buyer or adviser. Adjust your profit, pick a method, apply a sensible multiple, then bridge from enterprise value to what actually lands in your pocket, with a full worked example at 2026/27 figures.

A management buyout lets your existing team buy the business you built. This guide explains the Newco structure, how MBOs are funded in principle, how an MBO compares with an EOT or trade sale, and the seller's CGT and BADR position at 2026/27 rates.

A ready business sells for more, faster, and with fewer price chips at completion. This is the practical pre-sale checklist: cleaning the financials, cutting owner dependence, tidying contracts, building the data room, and fixing the value-killers before a buyer finds them.

The tax you pay on selling a business depends on the route, not just the price. This page compares a trade sale with BADR at 18%, a sale to an EOT under the new 50% charge, a members' voluntary liquidation and a family share gift on the same £4m business, at 2026/27 rates.

A collective investment scheme (CIS) pools money from multiple investors into professionally managed assets like stocks, bonds, or property. This guide explains the main types (AUTs, OEICs, UUTs), the tax treatment, and the risks of unregulated schemes. Essential reading for business owners considering investment funds.

Accumulated cash in your company can complicate a BADR claim. HMRC may argue the cash is a separate asset, not a business asset. We explain how to structure the sale to protect your 18% BADR rate (the current rate for disposals from 6 April 2026).

If you sold your company shares two years after resigning as director, you may still qualify for BADR. The key condition is the qualifying period: you must have been an officer or employee for 2 years ending with the date of disposal. But there are traps around the personal company test and your actual role during those final years.

Selling shares across multiple tax years changes how Business Asset Disposal Relief applies. You need to track the £1m lifetime limit, the qualifying holding period, and the changing CGT rates. This guide shows you exactly how to calculate BADR relief when disposals span different tax years.

A dormant period can jeopardise your Business Asset Disposal Relief claim if it breaks the two-year trading test. We explain when HMRC accepts dormancy, when it doesn't, and what planning steps protect your BADR rate (18% from 6 April 2026).

Business Asset Disposal Relief (BADR) gives a lower 18% CGT rate on company share disposals from 6 April 2026 (14% applied for disposals between 6 April 2025 and 5 April 2026), but only if the company has been a trading company for two years. A dormant period can break that test. We explain when it matters and how to handle it.

Business Asset Disposal Relief (BADR) lets you pay 18% CGT (from 6 April 2026) on qualifying share disposals, but the rules are strict. If your company owns a property investment subsidiary, HMRC may treat the group's activities as wholly or mainly investment, blocking the relief. Here is what you need to check before you sell.

Selling shares across multiple tax years can complicate your BADR claim. We explain how the £1m lifetime limit interacts with partial disposals, share pooling, and the rising CGT rates from April 2025.

If you left your director role two years ago and then sold your shares, BADR may still be available. The key condition is that you were an employee or officer for at least two years ending with the date of disposal. But the personal company and trading company tests also apply.

Capital gains tax on UK property changed significantly from October 2024. This guide covers the current rates, reliefs like BADR, the 60-day reporting rule, and how to calculate your gain. We use real examples for landlords, second home owners, and company directors.

Capital gains tax on property has changed significantly since October 2024. This guide covers the current rates for residential and commercial property, the 60-day reporting deadline, and the reliefs that still apply to UK business owners selling property.

If you sell a property that isn't your main home, you'll likely pay capital gains tax on the profit. Rates are 18% and 24% for residential property in 2025/26, with a £3,000 annual exempt amount. This article explains how the calculation works, what reliefs are available, and when you need to report the gain to HMRC.

Capital gains tax on property changed significantly from 30 October 2024. Residential property gains are taxed at 18% (basic rate) or 24% (higher rate). Commercial property gains follow the same rates. Business Asset Disposal Relief drops to 14% from April 2025 then 18% from April 2026. Here is exactly how it works for limited company directors, sole traders and landlords.

Capital gains tax on property in the UK changed significantly from October 2024. This guide covers the current 18% and 24% rates for residential property, how commercial property is treated, the 60-day reporting rule, and the reliefs that can reduce your bill. Includes worked examples for landlords, company directors, and sole traders.

Capital Gains Tax (CGT) on UK property changed from 30 October 2024. Residential property gains are taxed at 18% (basic rate) and 24% (higher rate). Non-residential property follows the same rates. Business Asset Disposal Relief (BADR) drops to 14% from April 2025. You must report and pay within 60 days of completion for residential property. This article explains the rates, the calculations, the reliefs, and the deadlines for the 2025/26 tax year.

The capital gains tax rate on real estate investment property depends on whether it is residential or commercial, and which Income Tax band you sit in. For 2025/26, residential property gains are taxed at 18% (basic rate) or 24% (higher rate). Commercial property gains follow the same rates, but the rules around Private Residence Relief and reporting differ significantly.

Selling your company with an earn out clause? The tax treatment depends on how HMRC views the deferred consideration. Get the rules right before you sign.

Gifting shares to a spouse triggers no CGT on the transfer itself. Gifts to adult children are a disposal at market value, which creates an immediate charge unless holdover relief under TCGA 1992 s.165 applies. The interaction with Business Asset Disposal Relief (BADR at 18% from 6 April 2026) makes timing and structuring decisions material.

If you sell a UK residential property and make a capital gain, you must report it to HMRC and pay the tax within 60 days of completion. The 60-day window applies to residential property only. Commercial property and bare land are reported through your annual Self Assessment return. This guide covers who is affected, how to report, the penalty structure and a worked example for the 2026/27 tax year.

Closing a limited company is straightforward if you know which route to take. We explain the difference between striking off and a Members’ Voluntary Liquidation (MVL), the tax implications of each, and how to choose the right one for your situation.

A members voluntary liquidation (MVL) is the formal process for closing a solvent limited company and distributing retained profits as capital gains rather than income. For directors with significant reserves, capital gains treatment at 18% (or 18% with Business Asset Disposal Relief where you qualify) compares favourably with dividend tax at 35.75% for higher rate payers from 6 April 2026.

When one director wants to leave, a share buyback can be the cleanest exit. But if structured badly, the remaining directors can face unexpected CGT bills. We explain how to plan the transaction so the tax burden falls where it should.

The UK capital gains tax rates for residential property in 2026/27 are 18% for basic rate taxpayers and 24% for higher rate taxpayers. Business Asset Disposal Relief (BADR) rises to 18% from April 2026. You must report and pay within 60 days of completion. This guide covers rates, reliefs, and real examples for UK property owners.

UK capital gains tax rates for residential property in 2026 are 18% for basic rate taxpayers and 24% for higher rate taxpayers. The annual exempt amount has been cut to £3,000. Here is how the rates apply, when you must report, and what reliefs are still available.

Capital Gains Tax on residential property in the UK stands at 18% for basic rate taxpayers and 24% for higher rate taxpayers for 2025/26 and 2026/27. The 60-day reporting window still applies. This article breaks down the rates, how they interact with your overall income, and what you need to report to HMRC.

From April 2026, UK CGT rates for residential property remain at 18% (basic rate) and 24% (higher rate). Principal Private Residence relief still protects your main home. The 60-day reporting window for UK property gains continues. This guide covers the rates, reliefs, and practical steps for property owners.

UK CGT rates on residential property in 2026 are 18% for basic rate taxpayers and 24% for higher rate taxpayers. These rates apply above your annual exempt amount (£3,000). You must report and pay within 60 days of completion. Principal Private Residence relief still exempts your main home.

Current UK CGT rates on residential property gains are 18% (basic rate taxpayers) and 24% (higher rate taxpayers). From 6 April 2026, these rates remain the same for property, but Business Asset Disposal Relief changes may affect property investors. Here is the full breakdown of rates, allowances, and reporting rules.

Capital Gains Tax on UK residential property changed on 30 October 2024. The rates are now 18% for basic rate taxpayers and 24% for higher rate taxpayers. This guide explains who pays, how to calculate your gain, and the 60 day reporting deadline.

From 30 October 2024, the CGT rates for UK residential property are 18% (basic rate) and 24% (higher rate). This guide explains who pays what, how the 60-day reporting rule works, and what the 2025/26 BADR changes mean for property investors.

Property transactions can trigger capital gains tax, SDLT, VAT, and income tax issues for UK business owners. A property tax advisor helps you structure deals correctly, claim reliefs, and avoid costly mistakes. Here is when you need one.

Selling a business, shares, or investment property? Capital Gains Tax rules changed significantly from 2024. A CGT accountant UK helps you calculate the right gain, claim the right reliefs (like Business Asset Disposal Relief), and avoid late-filing penalties. Here is when you need one and what they do.