Tax Planning for Business Succession: Keep More, Lose Less
Planning to hand over your business? Whether you’re selling to a third party, passing it to family, or organising a gradual buyout — the tax implications can be significant.
That’s where strategic tax planning makes all the difference.
Here’s the 5-step process we guide clients through:
- Assess Business Value & Tax Exposure
Get a formal valuation to estimate potential CGT, income tax, and other liabilities. - Choose a Tax-Efficient Succession Structure
- Outright sale (lump sum or instalments)
- Gradual buyout (profit-share, ESOP, etc.)
- Family transfer (trusts, gifting, discounted sale)
- Utilise Tax Concessions & Strategies
- CGT small business concessions
- Rollover relief for reinvestment
- Super contributions for tax-free retirement withdrawals
- Structure the Sale for Tax Efficiency
- Spread payments across years, use seller financing, or revenue-based payouts to reduce tax spikes.
- Engage Tax & Legal Experts
- A collaborative team ensures tax compliance, legal protection, and the best possible outcome.
Why tax planning for succession matters:
- Reduces capital gains & income tax
- Preserves personal and business wealth
- Ensures a smooth, compliant transition
- Protects family, employees, and legacy
Thinking about exiting your business in the next few years? Now is the time to start planning.
Speak to Success Tax Professionals to begin your succession strategy — the smart, tax-efficient way.
Posted in accounting, Business