Online SA and Capital gain tax

jimmo

nomunnofun wrote: »

No problem. I would say, by way of caution, that I am not 100% sure that the claim to entrepreneurs relief is valid - just not my area.

I’m not really familiar with Entrepreneurs’ Relief either but I am familiar with its predecessor, Retirement Relief. That included the same issues about whether the asset sold was a part of the business as opposed to merely a business asset.

Also, the HMRC staff manual actually refers to Retirement Relief cases in its examples.

On the following link it considers whether 2 shops constitute a single business or 2 separate businesses and I think that might apply to you.

http://www.hmrc.gov.uk/manuals/cgmanual/CG64015.htm

In the sense that you appear to have been marketing the same product both before and after your disposal of the trademark and domain name I tend to think that the trademark and domain name were merely business assets and you do not qualify for Entrepreneurs Relief.

You therefore need to consider whether you can produce a credible argument that, prior to the sale of the trademark and domain name, you were effectively running multiple businesses under one banner and that you have disposed one of those businesses.

When you are looking at the link above you should also take a look at the next 4 pages. They may give you clues to construct your argument.

00ec25

jimmo wrote: »

In the sense that you appear to have been marketing the same product both before and after your disposal of the trademark and domain name I tend to think that the trademark and domain name were merely business assets and you do not qualify for Entrepreneurs Relief

OP you say in #6 that you have sold your assets . As Jimmo identifies it is critical to the integrity of your entepreneurs relief claim whetehr the sale of your trandemark ends that business or not, or is a slae of a discrete part of your business

you say you are not producing trademarks and domain names as a trading activity, but #6 implies you will continue to do so. You also imply that the domain name sold and associated (?) trademark represent discrete assets so in that sense you claim to have sold (part of) a busienss

therefore the issue of whether you have sold part of your business or merely a business asset is, to my mind, not yet clarified, so the relief claim is by no means yet substantiated