Commentary

B7.529 Partnership business transferred to a company

Business tax
Business tax | Commentary

B7.529 Partnership business transferred to a company

Business tax | Commentary

B7.529 Partnership business transferred to a company

Where a business carried on by an individual or a partnership of individuals is transferred as a going concern to a company in consideration for an issue of shares in the company a chargeable gain will be triggered on the disposal of the business assets.

All or part of this gain arising can usually be rolled over and deducted from the allowable cost of the shares1; see Division B9.1.

Where the transfer to the company took place before 6 April 1988 and the business assets transferred were acquired by the partnership before 31 March

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