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A taxi driver inquired whether they could reduce the capital gains tax resulting from the sale of their licence upon retirement. The DGT ruled that if the individual continues to carry out the activity after retiring, the sale is not motivated by retirement but by the cessation of activity, which prevents the application of the reduction.
Taxpayers who continue working after formal retirement may be ineligible for specific capital gains tax reductions related to the sale of business assets or licences.
The tax team reviews your specific situation.
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