The following Owner-Managed Businesses guidance note by Tolley provides comprehensive and up to date tax information covering:
In situations where capital treatment applies to the repurchase of a company’s own shares, it is possible to obtain advance clearance from HMRC. The same clearance procedure may also be used for a repayment or redemption of shares.
Regardless of whether advance clearance is sought, taxpayers seeking to treat the full amount received from selling shares back to the company as capital must report details to HMRC within 60 days of the share buyback.
For details of the conditions for capital treatment, see the Capital treatment for purchase of own shares guidance note.
An application for clearance must:
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