'Don't rush to sell shares in surgeries'

GPs contemplating selling shares in surgeries for tax reasons after a recent government announcement have been urged not to rush into it.

Last month GP reported that GPs thinking of selling surgery premises or shares in them after April 2008 would face a tax bill of up to £15,000 higher than now.

In his first pre-budget report, chancellor Alistair Darling announced that the system of exceptions and taper relief would be abolished and a lower base rate of 18 per cent capital gains tax would apply.

This affects all those who bought property after March 1982 and before April 1998 and are set to retire or sell their shares in premises after 6 April 2008.

However, Valerie Martin, medical director with accountants PKF, writing in GP, said: ‘The most important thing is not to rush into selling your share of the surgery purely for tax reasons.’

She explained that they were only proposals and the Confederation of British Industry, the Federation of Small Businesses, the Institute of Directors and the British Chambers of Commerce were attempting to persuade the chancellor to modify his plans.

She added: ‘There is a possibility that the old reliefs might at least be frozen at March 2008 values so that indexation and taper relief could be available against gains up until then.’

Ms Martin added that GPs approaching retirement and contemplating selling a surgery share anyway might want to bring ‘that sale forward to the current tax year rather than risking a higher tax charge in 2008/9’.

neil.durham@haymarket.com

Comment below and tell us what you think

Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register

Already registered?

Sign in

Follow Us:

Just published

Most children could be removed from shielded patient list, deputy CMO suggests

Most children could be removed from shielded patient list, deputy CMO suggests

Most children could be removed from the shielded patient list in a future wave of...

GPs can provide some care for shielded patients in clinical settings, NHS England confirms

GPs can provide some care for shielded patients in clinical settings, NHS England confirms

GPs can provide care to shielded patients in 'infection-controlled clinical settings'...

How digital assistants can help patients manage their health and wellbeing

How digital assistants can help patients manage their health and wellbeing

A project in Staffordshire has shown how practices can make use of digital technology...

Coronavirus: Key guidance GPs need to know about COVID-19

Coronavirus: Key guidance GPs need to know about COVID-19

GPonline provides an overview of the key guidance relating to coronavirus, including...

Fair death-in-service deal for locums vital before second COVID-19 wave, warns BMA

Fair death-in-service deal for locums vital before second COVID-19 wave, warns BMA

The government must do ‘the right thing’ and secure adequate death-in-service benefits...

GP workload fears over antibody testing rollout for 'no clinical benefit'

GP workload fears over antibody testing rollout for 'no clinical benefit'

GP practices are being contacted by patients asking for antibody tests as the government...