The Knowledge Centre

Group Reorganisation & Corporate Simplifications What are they and when are they appropriate? A group reorganisation usually involves the transfer of assets, which may be shares in another group company or the business of another group company, from one group company to another. Why do we carry these out? There are a number of reasons […]

CAPITAL REDUCTION DEMERGERS: A POWERFUL TOOL FOR CORPORATE REORGANISATIONS Introduction The capital reduction demerger provides a powerful tool for facilitating the splitting of activities of companies and corporate groups. It is often possible to undertake a capital reduction demerger without giving rise to adverse tax implications, even if the company wants to split out its […]

TOP TIPS: HMRC Clearances The UK tax code is notoriously complicated. Accountants and tax professionals will often encounter scenarios which give rise to uncertainty of tax treatment. The position is made worse by legislation offering statutory relief qualified by a ‘bona fide commercial’ or ‘main purpose’ test calling for a judgement to be made on […]

Capital assets on the incorporation of your business For a general overview of incorporation or transferring a business to a Company then please see here. Introduction – capital assets on the incorporation of your business This article deals with the treatment of capital assets when transferring a business to a Company. It should be read […]

Transfer of a business to a Company (incorporation) – the tax issues Introduction Incorporation, or the transfer of a business to a Company, involves the transfer of an existing business to a new or existing company. This will generally take place at market value (though if a trading business one might gift the assets and […]

Catch 22: Company purchase of own shares – Multiple buy-backs and Entrepreneurs’ Relief Company purchase of own shares – introduction In this article we look at a potential issue – the availability of entrepreneurs’ relief (ER) where there is a multiple completion company purchase (buy back) of own shares. Before exploring the specific issue in […]

What is a Capital Reduction Demerger? Capital reduction demerger: breaking up, no longer so hard to do? We have become familiar with businesses, as they expand, developing corporate structures such as groups, to better manage the various activities they undertake. For example, one might have a holding company and underneath that holding company, various trading […]

Demergers We have become familiar with businesses, as they expand, developing corporate structures such as groups, to better manage the various activities they undertake. For example, one might have a holding company and underneath that holding company, various trading subsidiaries undertaking different activities. There may also be subsidiaries holding other trading and non-trading assets, whether […]

Business Reorganisation Advice There are many reasons why you might consider a reorganisation –  corporate simplification or efficiency for example; preparation for the sale of whole or part of your company or business or one of the companies within a group; or post- acquisition – for example the transfer of an asset or the whole […]