CPDStore Ireland

For family businesses, the matter of succession planning will eventually rear its head and can be one of the more challenging issues for them with the interests of a number of parties – including the retiring owners, their family and the business itself – to consider. This session will feature a discussion of the main tax and commercial issues that should be considered including an overview of the key tax reliefs that may be applicable, including some recent changes that may impact significantly on those considering such transactions in the near term. It will consider both a transfer of the business to the next generation and a third-party sale, and will look at how the proceeds of any sale might be managed tax-efficiently. The broader issue of how business assets, proceeds of sale and investment and other assets might be transferred to the next generation in a manner that is both tax-efficient and takes account of the interests of all parties will also be considered. On completing this course, attendees should have a good understanding of the key tax issues and reliefs relevant to this area as well as an overview of some of the main non-tax issues to consider. They should leave the session with an appreciation of the types of structures that may be useful, which they should find useful in advising family businesses, a key client base for most practices.

In this session Michael O’Scathaill will cover the following topics:

• The major commercial issues that should be considered in the context of a transfer of the business to the next generation or its sale.
• An overview of key tax reliefs in this area including Retirement Relief, Entrepreneur Relief, Business Assets Relief and Agricultural Relief, to include recent developments and legislative changes to these reliefs.
• A look at some more complex structures that can be put in place to facilitate a tax-efficient disposal of a business, including the use of personal holding companies and equity structures that facilitate the introduction of family members as shareholders at an earlier stage.
• The use of family partnership structures and family holding companies to hold investment assets.
• Structures and strategies for minimising tax on inheritance or lifetime transfers of assets.

By attending this session, you will get a good understanding of the main tax and commercial issues that should be considered by owner-managers contemplating their exit from the business. You should leave the session with a good understanding of the key tax reliefs in this area, including recent changes, and how they may apply either to a transfer of the business to the next generation or to a sale of the business, as well as an appreciation of more complex structures that might be put in place to improve the tax and commercial outcomes. You should also get a good overview of some structures to facilitate the transfer of wealth, either in the disponer’s lifetime or on death, in a tax-efficient manner.

The session will be of particular interest to professionals in the tax, corporate finance and business advisory sectors who advise clients on how to structure their business with a view to facilitating its disposal in a tax-efficient manner and to professional advisors who advise on estate planning.

Course level: Advanced