TC09530 - [2025] UKFTT 00566 (TC)

This decision relates to appeals against one assessment and two closure notices in respect of capital gains tax arising on disposals of shares by the Appellants – Ms Tamzin Eyre (“TE”), Mrs Zayne MacLeod (“ZM”) and Mr Conrad Phoenix (“CP”). The amount under appeal in each case is as follows:

The shares which were the subject of the disposals in question were in a company called Phoenix Spencer Sandbanks Limited (“PSSL” or the “company”). The Appellants consider that the disposals were “qualifying business disposals” for the purposes of Section 169H of the Taxation of Chargeable Gains Act 1992 (the “TCGA”) and therefore qualified for a lower rate of capital gains tax under Chapter 3 of Part 5 of the TCGA (“Chapter 3”). At the time when the disposals occurred, this lower rate of capital gains tax was known as “entrepreneurs’ relief”.

The Respondents consider that the disposals did not meet the conditions necessary to be “qualifying business disposals” and that therefore the disposals were subject to the normal rate of capital gains tax.

The Appellants have taken no issue in relation to the validity of the assessment or the closure notices as a procedural matter. The sole point in issue in this decision is therefore whether the disposals met the conditions necessary to be “qualifying business disposals”.