1. Plan, prepare, prevent panic....
Helen King

4. Succession planning Day-to-day running of the business
Ownership of the farm
Inheritance tax implications

5. Check your documents
Partnership agreement
Wills
Accounts

6. Check your documents
What do you own, how do you own it, and what do you use it for?
Who owns what (BENEFICIALLY)?
What is partnership property?
Is any rent paid?
Held as tenants in common or joint tenants?

7. The Business Retirement Introduce the next generation
What will the business look like?

8. Ownership of the farm Transfer of assets during lifetime or on death?
Inheritance tax on value in excess of £325,000
Availability of inheritance tax reliefs
Agricultural Property Relief
Business Property Relief

9. Inheritance Tax Watch non-agricultural value – eg hope value
Farmhouses – do they qualify?
Non-qualifying assets – eg let buildings
Make gifts to next generation
Consider non-farming children

10. Other tax reliefs Protection of value from tax Entrepreneurs’ Relief
Rollover relief

12. Entrepreneurs’ Relief
Main rate of CGT – 28%
With Entrepreneurs’ Relief – 10%
18% tax saving on £1m = £180,000
Amounts involved are significant

13. Rollover relief Sale of one asset and reinvest the money
Do you qualify?
There needs to be a link between the asset and the business
Watch where asset ownership and business are different

14. Summary
All businesses should review their succession plans and potential IHT liabilities
Restructure if necessary
Consider other tax reliefs
Entrepreneurs’ Relief
Rollover relief

15. Before 5 April/ business year end
Plan, budget, take advice
Income tax/NI
Business structure
Capital Allowances
Pension contributions
Top up ISAs
Pay dividends
Capital Gains Tax
Inheritance Tax

16. Thankyou for listening Questions?
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No responsibility for the loss arising to any person acting or refraining from acting as a result of the material in these slides or presentation can be accepted by the speakers or by Ellacotts LLP