# Buy out business partner tax: Partner Buyout Rules

> The Partner Buyout Rules carries 6 published figures read from 4 sources' own pages, from 5 to 75 percent, read 28 October 2026.

Buying out a business partner · https://buyingoutabusinesspartner.co.uk/datasets/partner-buyout-rules/ · computed 2026-10-29

**Range of the published figures:** 5 to 75 % (range 5 to 52.5 %; 4 published figures; 7 of 13 sources read publish one).

7 of the 13 named sources read in full publish a figure; 9 publish none, read 28 October 2026.

## Every figure, with its source

One row per source: the figure the source's own page publishes, the page, and the day it was read.

| Source | Figure | Read |
|---|---|---|
| [Companies Act 2006 s692: financing the purchase](https://www.legislation.gov.uk/ukpga/2006/46/section/692) | 15,000 GBP | 2026-10-28 |
| [GOV.UK: CGT rates and allowances](https://www.gov.uk/guidance/capital-gains-tax-rates-and-allowances) | 3,000 GBP | 2026-10-06 |
| [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction) | 75 % | 2026-10-28 |
| [GOV.UK: stamp duty on shares](https://www.gov.uk/guidance/stamp-duty-on-shares) | 30 day | 2026-10-24 |
| [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction) | 30 % | 2026-10-28 |
| [Companies Act 2006 s707: return to the registrar](https://www.legislation.gov.uk/ukpga/2006/46/section/707) | 28 day | 2026-10-28 |
| [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief) | 18 % | 2026-10-23 |
| [GOV.UK: CGT rates and allowances](https://www.gov.uk/guidance/capital-gains-tax-rates-and-allowances) | 18 % | 2026-10-06 |
| [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief) | 5 % | 2026-10-23 |
| [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction) | 5 year | 2026-10-28 |
| [HMRC PM134300: death or retirement of a partner](https://www.gov.uk/hmrc-internal-manuals/partnership-manual/pm134300) | 5 % | 2026-10-28 |
| [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief) | 2 year | 2026-10-23 |

## The sentence each figure was read from (12)

- [Companies Act 2006 s692: financing the purchase](https://www.legislation.gov.uk/ukpga/2006/46/section/692), read 2026-10-28: "If authorised to do so by its articles, a private limited company may purchase its own shares out of capital otherwise than in accordance with Chapter 5, up to an aggregate purchase price in a financial year of the lower of— £15,000, or"
- [GOV.UK: CGT rates and allowances](https://www.gov.uk/guidance/capital-gains-tax-rates-and-allowances), read 2026-10-06: "Tax year Annual exempt amount for individuals, personal representatives and trustees for disabled people Annual exempt amount for other trustees 2026 to 2027 £3,000 £1,500 2025 to 2026"
- [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction), read 2026-10-28: "Step 2: check if the seller’s interest as shareholder immediately after purchase is not more than 75% of the seller’s interest immediately before If the seller retains shares in the company after the purchase, their interest as a shareholder in the company must be substantially reduced after the purchase."
- [GOV.UK: stamp duty on shares](https://www.gov.uk/guidance/stamp-duty-on-shares), read 2026-10-24: "pay the Stamp Duty within 30 days of the stock transfer form being signed and dated"
- [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction), read 2026-10-28: "are entitled to receive more than 30% of the assets on a winding up of the company"
- [Companies Act 2006 s707: return to the registrar](https://www.legislation.gov.uk/ukpga/2006/46/section/707), read 2026-10-28: "Where a company purchases shares under this Chapter, it must deliver a return to the registrar within the period of 28 days beginning with the date on which the shares are delivered to it."
- [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief), read 2026-10-23: "18% on all gains on qualifying assets disposed of from 6 April 2026"
- [GOV.UK: CGT rates and allowances](https://www.gov.uk/guidance/capital-gains-tax-rates-and-allowances), read 2026-10-06: "The following Capital Gains Tax rates apply: 18% and 24% for individuals"
- [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief), read 2026-10-23: "This means that you have at least 5% of both the: voting rights You must also be entitled to at least 5% of either: profits that are available for distribution and assets on winding up the company disposal proceeds if the company is sold"
- [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction), read 2026-10-28: "the seller must have owned the shares for five years or more ending with the date of the purchase; this may be reduced to 3 years if the seller acquired the shares under the will or intestacy of a former shareholder"
- [HMRC PM134300: death or retirement of a partner](https://www.gov.uk/hmrc-internal-manuals/partnership-manual/pm134300), read 2026-10-28: "On the death of a partner, the estate of the deceased person is entitled, in the absence of any other agreement, at the option of their personal representatives, to the share of the profits made since death attributable to the use of their share of the partnership assets, or to interest at 5% per annum on their share, until their share of the partnership is paid out."
- [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief), read 2026-10-23: "To qualify, both of the following must apply for at least 2 years up to the date you sell your shares:"

## Read in full, publishes no figure

- [Companies Act 2006 s690: power to purchase own shares](https://www.legislation.gov.uk/ukpga/2006/46/section/690), read 2026-10-28: read in full and no accepted figure on the page
- [Companies Act 2006 s694: authority by resolution](https://www.legislation.gov.uk/ukpga/2006/46/section/694), read 2026-10-28: read in full and no accepted figure on the page
- [Companies Act 2006 s994: unfair prejudice](https://www.legislation.gov.uk/ukpga/2006/46/section/994), read 2026-10-28: read in full and no accepted figure on the page
- [CTA 2010 s1033: capital treatment of a buyback](https://www.legislation.gov.uk/ukpga/2010/4/section/1033), read 2026-10-28: every candidate on the page was refused
- [CTA 2010 s1044: advance clearance](https://www.legislation.gov.uk/ukpga/2010/4/section/1044), read 2026-10-28: read in full and no accepted figure on the page
- [Partnership Act 1890 s42: outgoing partner's share of profits after dissolution](https://www.legislation.gov.uk/ukpga/1890/39/section/42), read 2026-10-28: read in full and no accepted figure on the page
- [Partnership Act 1890 s43: retiring partner's share a debt](https://www.legislation.gov.uk/ukpga/1890/39/section/43), read 2026-10-28: read in full and no accepted figure on the page
- [Partnership Act 1890 s32: dissolution by expiration or notice](https://www.legislation.gov.uk/ukpga/1890/39/section/32), read 2026-10-28: read in full and no accepted figure on the page
- [Boyle v Burke [2019] EWHC 3364 (Ch)](https://caselaw.nationalarchives.gov.uk/ewhc/ch/2019/3364), read 2026-10-28: every candidate on the page was refused

## Methodology

Every row is a verbatim sentence read from the named source's own page through our fetch service on the date shown, hash-pinned to the stored read (the sha of the page's visible text; the raw page is mirrored to R2). 7 of the 13 named sources that could be read published a usable figure; 9 published none and are recorded as not published, never filled in; 5 could not be read (blocked, dead or unreachable) and count nowhere. The headline figures (median, minimum, maximum, quartiles) are over ONE figure per source in % (a source's median where its page yielded several accepted sentences), so N counts sources, never sentences; 142 candidate sentence(s) were refused by a reviewer with the reason recorded. The fuller derivation this dataset is chartered to grow into (not yet what the figures above are; they are each source's own published figure as read): a decision table by structure: company (buyback from distributable reserves by special resolution, SH03 in 28 days, capital treatment if s1033 holds else income; or a direct purchase with 0.5% stamp duty) or partnership (the deed, else the 1890 Act's s42/s43 defaults); the leaver's tax at BADR 18% or CGT 18%/24%

## Sources

- [Companies Act 2006 s690: power to purchase own shares](https://www.legislation.gov.uk/ukpga/2006/46/section/690) (the publisher's own terms; quoted for reporting and comment)
- [Companies Act 2006 s692: financing the purchase](https://www.legislation.gov.uk/ukpga/2006/46/section/692) (the publisher's own terms; quoted for reporting and comment)
- [Companies Act 2006 s694: authority by resolution](https://www.legislation.gov.uk/ukpga/2006/46/section/694) (the publisher's own terms; quoted for reporting and comment)
- [Companies Act 2006 s707: return to the registrar](https://www.legislation.gov.uk/ukpga/2006/46/section/707) (the publisher's own terms; quoted for reporting and comment)
- [Companies Act 2006 s994: unfair prejudice](https://www.legislation.gov.uk/ukpga/2006/46/section/994) (the publisher's own terms; quoted for reporting and comment)
- [CTA 2010 s1033: capital treatment of a buyback](https://www.legislation.gov.uk/ukpga/2010/4/section/1033) (the publisher's own terms; quoted for reporting and comment)
- [CTA 2010 s1044: advance clearance](https://www.legislation.gov.uk/ukpga/2010/4/section/1044) (the publisher's own terms; quoted for reporting and comment)
- [HMRC CTM17505: purchase of own shares, capital treatment](https://www.gov.uk/hmrc-internal-manuals/company-taxation-manual/ctm17505) (the publisher's own terms; quoted for reporting and comment)
- [GOV.UK: seeking clearance](https://www.gov.uk/government/publications/seeking-clearance-or-approval-for-a-transaction) (the publisher's own terms; quoted for reporting and comment)
- [GOV.UK: stamp duty on shares](https://www.gov.uk/guidance/stamp-duty-on-shares) (the publisher's own terms; quoted for reporting and comment)
- [GOV.UK: Business Asset Disposal Relief](https://www.gov.uk/business-asset-disposal-relief) (the publisher's own terms; quoted for reporting and comment)
- [GOV.UK: CGT rates and allowances](https://www.gov.uk/guidance/capital-gains-tax-rates-and-allowances) (the publisher's own terms; quoted for reporting and comment)
- [Partnership Act 1890 s42: outgoing partner's share of profits after dissolution](https://www.legislation.gov.uk/ukpga/1890/39/section/42) (the publisher's own terms; quoted for reporting and comment)
- [Partnership Act 1890 s43: retiring partner's share a debt](https://www.legislation.gov.uk/ukpga/1890/39/section/43) (the publisher's own terms; quoted for reporting and comment)
- [Partnership Act 1890 s32: dissolution by expiration or notice](https://www.legislation.gov.uk/ukpga/1890/39/section/32) (the publisher's own terms; quoted for reporting and comment)
- [Partnership Act 1890: contents](https://www.legislation.gov.uk/ukpga/1890/39/contents) (the publisher's own terms; quoted for reporting and comment)
- [HMRC PM134300: death or retirement of a partner](https://www.gov.uk/hmrc-internal-manuals/partnership-manual/pm134300) (the publisher's own terms; quoted for reporting and comment)
- [Boyle v Burke [2019] EWHC 3364 (Ch)](https://caselaw.nationalarchives.gov.uk/ewhc/ch/2019/3364) (the publisher's own terms; quoted for reporting and comment)

## Cite or embed

- The Partner Buyout Rules carries 6 published figures read from 4 sources' own pages, from 5 to 75 percent, read 28 October 2026.
- 7 of the 13 named sources read in full publish a figure; 9 publish none, read 28 October 2026.

Cite as: "buyingoutabusinesspartner.co.uk Partner Buyout Rules", updated 2026-10-29, https://buyingoutabusinesspartner.co.uk/datasets/partner-buyout-rules/.

CSV: https://buyingoutabusinesspartner.co.uk/datasets/partner-buyout-rules.csv
JSON: https://buyingoutabusinesspartner.co.uk/datasets/partner-buyout-rules.json
Embed (plain HTML, static link back): see https://buyingoutabusinesspartner.co.uk/datasets/partner-buyout-rules/#median