Illustration - investors' relief
In this lesson, you'll learn how Investors' Relief works in practice and understand when it applies—or doesn't. Using a worked example with three shareholders in a trading company, you'll see how to identify who qualifies for Investors' Relief (14% relief), who qualifies for Business Asset Disposal Relief (BADR)
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In this lesson
- 0:00 Investors Relief illustration setup
- 1:22 Calculating proceeds and cost basis
- 2:25 Applying BADR to employee shareholders
- 2:54 Applying Investors Relief to non-employees
- 3:13 Capital gains tax with no relief available
About this lesson
instead, and who pays the standard capital gains tax rate. This is essential for TX (Taxation) and ATX (Advanced Taxation), where relief claims directly affect your final answer. By the end, you'll be able to distinguish between these reliefs based on subscription timing, employment status, and ownership criteria—and apply the correct rate to each shareholder's gain.
Duration: 4m
Transcript
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