Can Entrepaneurs Relief and individual CGT allowance query

Mr_Friendly

Can the directors of a LTD claim Entrepreneurs' relief and their individual capital gains tax allowance of £9600 each on the sale of a website (which is technically an asset of the limited company) to a third party?

Basically if someone were selling a website at £60000
The website is owned by a LTD company
Entrepreneurs' relief gives a certain amount of reduction from the tax liability
On the remaining liability can the two directors legally claim their £9600 individual allowance to further reduce the tax burden.

Just trying to find the rights and legal stand point before getting in touch with an accountant to handle the rest.
Please be assured this isn't about tax avoidance in any way, it's about the rights and reliefs available and whether they can legally be combined or not.

Knowing this information will determine whether or not the sale is worth it or not.

Thank you in advance of anyone knowing the answer

Pennywise

If the company owns the asset, it is the legal entity liable to tax and company's aren't eligible for entreprenneurs relief nor annual CGT exemptions, so no, these exemptions aren't available to the company which will pay corporation tax on the sale price less the original cost price.

Mr_Friendly

Well it reads very differently here Pennywise:

Entrepreneurs' relief provides relief for disposals by smaller business owners. It produces a net tax rate of 10% on the disposal.
The relief is available on material disposals of business assets which covers businesses operated as a sole trader, partnership or through a limited company.

http://www.cromptonward.co.uk/content/taxcentre_yetg/entrepreneurs_relief.html

James,_Oxford

Pennywise is right. The quote is slightly misleading.

The company is making the disposal, so it is the company which has a gain and will pay tax. The tax cannot be reduced by any reliefs or allowances of any director/shareholders.

Entrepeneur's relief is not available to companies.

00ec25

In case you have not read the HMRC guidance as to what is allowed see here:
http://www.hmrc.gov.uk/manuals/cg4manual/CG63955.htm

entrepreneurs relief is not available to Ltd companies