Further Changes to Entrepreneurs’ Relief?

Further Changes to Entrepreneurs’ Relief?

Another tax relief that may be further restricted or even abolished is Capital Gains Tax entrepreneurs’ relief. This relief allows business owners to pay just 10% Capital Gains Tax on the first £10 million of capital gains when they dispose of their business and was tightened up in the Autumn 2018 Budget.

When first introduced, the relief only applied to the first £2 million of gains but the limit has been increased twice since 2008 to the current lifetime limit so the relief may be limited again in the March Budget.