The Capital Gains Tax rate on MVLs that qualify for Business Asset Disposal Relief (BADR) increases to 14% on 6th April 2025
If you are a Company Director considering closing your solvent company/companies using Members Voluntary Liquidations (MVL), you must act soon, if you qualify for Business Asset Disposal Relief (BADR), to benefit from the significant tax advantage of the current 10% Capital Gains Tax (CGT) rate.
Following the Chancellor’s budget announcement last October, the CGT tax rate for BADR is set to increase to 14% on 6th April 2025. This means that if you delay your MVL until after this date, you will lose out on a substantial tax saving.
Talk to us about Members Voluntary Liquidations
The MVL process can take several weeks to make an initial distribution, so starting the process now (mid-February) is important. Delaying even a few days could result in missing out on the current lower tax rate.
Contact Antony Batty & Company to ensure you can take full advantage of the current 10% tax rate before it increases. With over 25 years of experience, our team of Licensed Insolvency Practitioners has a strong track record of efficiently and effectively handling Members Voluntary Liquidations and maximising benefits through Business Asset Disposal Relief (BADR).
Our expertise and dedication to achieving the best outcomes for our clients mean you can trust us to guide you through the MVL process with professionalism and integrity.
MVL Case Studies
These case studies highlight Antony Batty & Company’s expertise and experience in efficiently handling MVLs and maximizing benefits through Business Asset Disposal Relief.
- Circus Minds Limited: Terry Runham, the former director, praised our smooth and efficient handling of his company’s MVL. The process involved the speedy extraction of retained profits, allowing shareholders to claim Entrepreneurs’ Relief (now known as BADR) on the distribution.
- Marine 123: Glen Andrew, the retiring director, was delighted with the well-executed and organised MVL, with the winding -up being completed in less than 11 months. The liquidation delivered a cash distribution to the sole shareholder of both Companies.
- APT.64 Limited: Gary Bonilla-Latoni, the sole shareholder, appreciated the support and great work during the MVL of his management consultancy. The liquidation was smooth, with the final cash distribution made across four separate payments.
Here at Antony Batty & Company, we have successfully completed hundreds of MVLs since we started in 1997.
The initial consultation is FREE and without obligation. Contact us at any of our offices:
