Sole Trade to Ltd assets

Discussion in 'Accounts & Finance' started by kirstie27488, Sep 18, 2015.

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  1. kirstie27488

    kirstie27488 UKBF Newcomer Free Member

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    Hi There,

    Can someone please tell me at what value do I clear out my assets when going from ST to LTD? Is it WDV, TWDV or Nil.

    I have found posts where it says to write to HMRC to waive any balancing charge but these date back to 2012 so I was thinking this may not be the case now.

    Any help would be greatly appreciated.
    Posted: Sep 18, 2015 By: kirstie27488 Member since: Apr 6, 2010
  2. UK Contractor Accountant

    UK Contractor Accountant UKBF Legend Full Member - Verified Business

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    Any of the above - take your pick.

    Are you asking what is the best value to use to maximise tax reliefs?- thats a completely different question altogether?
    Posted: Sep 18, 2015 By: UK Contractor Accountant Member since: Sep 18, 2013
  3. Philip Hoyle

    Philip Hoyle UKBF Ace Free Member

    2,255 1,093
    Basic rule is transfer at market value, which may trigger a balancing charge or balancing allowance in the final s/t tax comps.

    You have the option to make an election to transfer at tax WDV instead to avoid a B/C or B/A.
    Posted: Sep 18, 2015 By: Philip Hoyle Member since: Apr 3, 2007
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