I have been trading using a limited company as my trading vehicle. I have recently decided to get a job and give a trading. There are some losses that are carried forward in the company. A friend suggested that I may be able to recover some of my losses by selling the company with its losses. Apparently it might be attractive to a successful trader to purchase a business with a loss, obviously at a price. Can any one tell me whether this is correct or not. Many thanks.
I'm no tax genius but that sounds like a nifty idea. Would be interested in someone with extensive tax knowledge to chime in. MIght redflag the IRS like a son of a gun though for an audit.
First, you probably need to clarify which country your company is registered in? And over how many years the losses are accumulated? And how much each year, for each of the last few years?