Advising on Farm Business Entities: Getting it Right for R&D, IHT & Beyond

Introduction

Historically the main trading vehicle for the family farm was a trading partnership. However, several developments have made other legal entities a possible choice for the farm operation.

With Research & Development (‘R&D’) Relief at 130% only applying to limited companies there is a need to consider the interaction of the corporate entity into the operation.

Likewise, the business may be run by a sole trader through choice.

With 50% Agricultural Relief (‘AR’) and 50% Business Relief (‘BR’) proposed from April 2026 or 2027 the impact of the IHT positives and negatives must be considered.

Strong legal agreements to support all choices and changes will be essential, and this new virtual classroom seminar will explore the current position and the pitfalls for your clients.

What You Will Learn

This live and interactive course will cover the following:

• No ‘one size fits all’
• Must forensically analyse the current farm trading operation and to understand the farm trading plans moving forward and the tax needs of all the partners/directors
• Explanation of fundamental disadvantages and advantages of the business alternatives, e.g. sole trade, partnership, LLP partnership, limited company
• Must see business plans, valuations, and cashflow in current format
• Must have sight of the basic succession plans and wills as appropriate of the parties concerned to move forward
• What is wrong with current structure - what to look for
• What is right with current structure - what to look for
• Changing structures can cost money in legal fees and the tax must weigh up to the cost

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.