Claiming Business Asset Disposal Relief before it goes from 10% to 14%

[smudger]

I'm moved into PAYE (Inside IR35) contracts and this seems to be the future so I'm thinking of closing down my company before the rate of BADR goes form 10% to 14% on the 6th April 2025.

I know the process of closing down a company can take many months but what date is taken when calculating BADR?. If the process slips into next year before closure is complete will a rate of 14% be applicable?

[Maslins]

Our understanding is it's the distribution dates that are relevant here. Exactly how/when funds are distributed will vary from liquidator to liquidator.

Generally for an MVL you'd expect to get a decent chunk immediately following their appointment. Though be warned you'll have a fair few steps to go through before they are legally appointed.

They'd then typically retain a bit until HMRC have had a decent timeline to lodge a claim and the period for other potential creditors to object has expired until they distribute remaining funds and move to finalise the case.