SPEAKERS
- Peter Rayney Peter Rayney Tax Consulting
- Andrew Hubbard Tenon
- Jane Wolstenhome Speechly Bircham
- Sharon Smeeth KPMG
Earn-outs
There is little tax advantage now in structuring a disposal as an earn-out said Peter Rayney as most taxpayers will want to maximise the charge on disposal in order to qualify for entrepreneurs’ relief rather than defer the gain but pay 28% tax when it is eventually received.
He suggested that alternative structures might be used to achieve the same commercial effect such as a sale at full price but with a warranty that profits would reach a certain level with a repayment of some of the sale proceeds if they do not.
ESC C16
Peter...