Tag Archives: TAAR

Selling your company? How dare you!

A targeted anti-avoidance rule (TAAR) was introduced (from 6 April 2016) to prevent ‘phoenixism’. In broad terms, this practice involves company owners winding up their ‘old’ companies and extracting profit reserves as capital (instead of income) and repeating the exercise in one or more successive businesses. The effect of the TAAR applying is that an… Read More »

Disincorporation and downsizing (Part 2)

Disincorporating a business has potential tax implications for the company and its shareholders. The first part of this article looked at tax implications for the company. In part two, tax implications for individual shareholders are considered.  Business owner(s) may well perceive there to be a ‘double tax charge’ on the basis that the company is… Read More »