Does CGT Retirement Relief apply on liquidation of business

B

Brook

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What criteria do you need to meet to avail of CGT Retirement Relief. In particular can you liquidate a limited company rather than selling the business as a going concern? The revenue in its guidelines refers to a disposal. Is a company liquidation at retirement deemed to be a disposal ?

Revenue Guidelines Extract:
Summary of relief

Relief from Capital Gains Tax may apply where an individual, who is at least 55 years of age at the time of disposal, disposes of the whole or part of his/her qualifying assets.
 
Yes it can but be aware of full time working director for a wife owning shares.

Be aware of non qualifying assets. Investments

Assets liquidated out will not qualify.

Get professional advice specific to your case.
 
Under Revenue concession you have six months between cessation of business and liquidation of company. If past this it will not qualify. Agree with Joe_90 there are lots of traps there so get professional tax advice. A general practice accountant may not have the specialist knowledge to deal with the ins and outs of the relief. I'm trying to fix a case at the moment where an accountant missed a step and it is causing a big headache.
 
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