CPDStore Ireland

Parents and others who own substantial business assets should give serious consideration to how and when the business will be passed to the next generation. Some of the key considerations when contemplating any such transfer include: 

• The financial security of the parents, nature and value of the business;
• Taxed on lifetime transfer versus transfer on death 
• Tax reliefs available, and 
• Certainty as to valuations

The tax considerations for business succession planning are varied and complex. While the lifetime transfer of business assets may give rise to Capital Acquisitions Tax (CAT), Capital Gains Tax (CGT) and Stamp Duty, the transfer is at a point in time when its value is known with certainty. 

This can provide security as to the ability of all parties involved (transferor and transferee) as to qualification or otherwise for the relevant tax reliefs. On the other hand, the transfer of a business on death does not give rise to a CGT or Stamp Duty charge, but there is no absolute certainty as to what the value of the business will be on the valuation date or indeed whether the intended beneficiary will satisfy all of the qualifying criteria for CAT relief and where that recipient will have sufficient funds to cover their tax liability. 

Business owners look to their accountants and tax advisors for guidance on these matters. This webinar will cover the tax treatment of lifetime and post business transfers. 

In this session, Mairead Hennessy covers the following:

• CGT treatment of lifetime business transfers within the family including CGT Retirement Relief and CGT Entrepreneur Relief planning 
• CAT treatment of lifetime and post death business transfers within the family including CAT Business Relief and CAT Agriculture Relief planning
• Stamp duty considerations of lifetime transfers 
• Family Partnerships for Family Business Succession
• Holding Company Structures