If you are considering releasing the built up capital in your company, you need to act soon, there are strong rumours emanating from Downing Street that the much fettered Entrepreneurs Relief, a 10% tax rate on capital gains will be abolished in the coming budget on March 11th.
Boris Johnson speaking to a meeting of female entrepreneurs said the rate [ER] was helping people who were already ‘staggeringly rich’ to become even richer, the Times reported.
This move seems ludicrous given the Brexit situation and the fact the country will be in desperate need of entrepreneurs and companies who are risk seeking, but these are the noises we are hearing from the Treasury office and Downing Street.
In its 2019 election manifesto the Conservative party pledged to review the rate, which in 2018 was worth an estimated £2.4 billion to company founders.
Johnson again added: ‘I have to tell you the Treasury is fulminating against it because there are some people who are staggeringly rich who are using that relief to make themselves even more staggeringly rich.’
If you have reserves in your company and wish to release these claiming Entrepreneurs Relief, we are able to provide the advice and execution which will ensure you secure the 10% tax rate on the bulk of your reserves pre-budget.
We are only able to offer this for the next few weeks so if you don’t want to miss out, or simply want to take risk off the table, contact us now for a free consultation.
If you do not act and the relief is removed, you could find your tax liability will DOUBLE!