Corporation Tax when you sell business assets
Your limited company usually pays Corporation Tax on the profit (‘chargeable gain’) from selling or disposing of an asset.
Corporation Tax on chargeable gains is also paid by:
- most unincorporated associations, eg clubs and co-operatives
- foreign companies with a UK branch or office
If you’re a self-employed sole trader or business partner, you payCapital Gains Tax when you sell business assets instead.
Assets are things your company owns, eg:
- land and property
- equipment and machinery
There are different rules for intangible assets, eg intellectual property and business reputation (‘goodwill’).