Does taper relief still exist?

[zadumbreion]

I thought that the 10% effective tax rate on selling a business had been scrapped and replaced by the 18% rate - but someone suggested that the 10% rate still applies for selling a small business...?

Is this correct?

ETA: looks like the 10% applies for up to £1M. So if you sold for £1.2M, would you pay a flat 18% on the lot, or 10% on the first £1M and 18% on the rest?

Edited by zadumbreion on Monday 12th January 18:35

[UpTheIron]

10% up to £1m, assuming the disposal qualifies for Entrepreneurs Relief. The £1m is a lifetime limit - if I ever get there I'll almost be happy to pay 18% on the rest!

[Eric Mc]

Taper Relief was abolished on 6 April 2008.

Following a climb down by the Government, a special CGT rate of 10% was introduced for the disposal of business assets. This isn't Taper Relief as such, more a special rate for the sale of businessses or business assets. As has been said, it only covers the first £1 million of business asset disposals over an individual's entire life.