Moving abroad to reduce CGT

arambol

Hello,

My father owns the majority shareholding in his business. He is now retired and wished to transfer the shares as a deed of gift or similar to his children but maybe there is a better way.

We understand that he will need to live 7 years to avoid inheritance tax but by changing the ownership of his share in the business he will be liable for 28% CGT.

The business is a shopping centre with income from the rents received from the tenants. It is technically an investment company but structured as a family partnership. It is not an LLP or Limited.

We have sought advice but the advice varies. It has been suggest he could move abroad for 5 years and the CGT would be avoided.

In theory could he gift the shares, move abroad and minimise the IHT (if he lives 7 years) and CGT?

Appreciate any help.

00ec25

for the sums of money involved why not pay for professional advice rather than trying to do it on the cheap and get it wrong - becoming a "tax exile" is a specialist area and you need specialist advice

arambol

We have sought advice and the opinions have varied so I thought I'd ask here as the advice is alway independent.

Thanks