Business Asset Disposal Relief
Business Asset Disposal Relief (formerly known as Entrepreneurs' Relief) applies from 2020/21 onwards. It is available for "qualifying business disposals". Where it is available the rate of capital gains tax is reduced to 10%. For disposals on or after 11 March 2020, there is a lifetime limit of £1million of gains in respect of qualifying business disposals.
Business Asset Disposal Relief
Add Business Asset Disposal Relief
- Open the Capital Gains section in the data entry list.
- Enter the type of asset disposed of under Type e.g. land
- Enter the details under Description.
- Click on the Full Details button.
- Enter the disposal date in Disposal Date.
- Enter the amount received in Proceeds.
- Enter the purchase date in Acquisition Date.
- Enter the purchase price in Cost.
- Tick the box beside the Business Asset Disposal Relief hyperlink and click on the link.
- Enter the name of the trade (if applicable to this disposal).
- Click Save and Close.
Note : the Proceeds and Cost sections are hyperlinked to enable full details of incidental costs of sale and acquisition costs to be entered.