What are people’s views on relief under Sch 29 FA 2002 where the goodwill is inherent in the property. Sch 29 puts the onus on the company accounts and that may be the answer, but if the goodwill is inseparable from the property value then is it intangible on a question of fact?
Interesting question.The accounting treatment governs (as you suggest). FRS 10 defines intangible assets as ‘identifiable’ assets capable of being sold separately from the business which could include a sale of land and inherent goodwill. IAS 38 supports this by allowing it to be sold with a related asset. This suggests that inherent goodwill is within Sch 29. Para 73 Sch 29 which excludes rights enjoyed by virtue of an interest in land seems to be dealing with a separate category of rights such as covenants although the line gets fuzzy if the covenant supports the existence of the goodwill.