Targeted anti-avoidance rules, known as TAAR, are designed to stop businesses from liquidating and ‘phoenixing’ the trade.

They could apply to you, if  for example, you carried on running the same business after winding up your previous one, or if you continued to trade through another company.

If you’re caught by these rules, then you could be taxed on your capital distributions at a higher rate – not at the capital gains tax rate which may attract BAD relief.