Dilution of Husband Wife Company Shares

[eek]

I mean, if he's going to claim ER on one company and immediately set up a new one doing exactly the same thing. Do you not consider that a bad idea?

You are reading things into his post without explicitly stating what they were.

All I saw was the quick fix of replacing 1 company with another as we've seen before for multiple reasons (accountancy recommendation or separation/divorce).

You made a jump in logic to claiming BADR which wasn't mentioned by the OP nor anyone else.

[yamyam]

There isn't enough in the company to consider ER. I'd just take the retained profit as dividends & move on.

[Lance]

There isn't enough in the company to consider ER. I'd just take the retained profit as dividends & move on.

you sure about that???

Some thoughts
- You appear to be confusing ER (BADR) with a capital distribution. ER is simply a tax relief on capital gains tax. The amount of money involved is immaterial.
- If the cash value is small (<£25k if I recall correctly) then you can do a capital distribution with a voluntary strike off, AND claim ER/BADR, and not worry about TAAR legislation.

Maybe now is the time to ask a professional. You are in danger of making a costly mistake, based on insufficient information, provided to unqualified bozos, over the internet.
Your problem is primarily based on the fact that you don't even know what questions you should ask. Why don't you start again and tell us what you have, what you want, and where you want to be (or pay a professional)?

[yamyam]

you sure about that???

Some thoughts
- You appear to be confusing ER (BADR) with a capital distribution. ER is simply a tax relief on capital gains tax. The amount of money involved is immaterial.
- If the cash value is small (<£25k if I recall correctly) then you can do a capital distribution with a voluntary strike off, AND claim ER/BADR, and not worry about TAAR legislation.

Maybe now is the time to ask a professional. You are in danger of making a costly mistake, based on insufficient information, provided to unqualified bozos, over the internet.
Your problem is primarily based on the fact that you don't even know what questions you should ask. Why don't you start again and tell us what you have, what you want, and where you want to be (or pay a professional)?

You're right I should get some professional advice on the matter. But pointing back to my original post, I only want to change the share split (again), but that was indicated as a bad idea.

Thanks for all the info, I'll speak to an accountant once I've got away from SJD.

[northernladuk]

Maybe now is the time to ask a professional. You are in danger of making a costly mistake, based on insufficient information, provided to unqualified bozos, over the internet.
Your problem is primarily based on the fact that you don't even know what questions you should ask. Why don't you start again and tell us what you have, what you want, and where you want to be (or pay a professional)?

Oiii. I'm a fully qualified bozo with plenty of experience thank you very much. I'm not, however, a qualified accountant.