While many founders and business owners will implement succession plans to sell or pass their business to a new generation of owners, sometimes it is clear that you have reached the end of the road and the best decision is to call it a day and close the...
Crombie Wilkinson offers a range of legal services to individuals and businesses in the equine community.
From our base here in Yorkshire, which we are proud to say is one of the leading equine regions, we offer a wealth of advice to clients, these include jockeys, equine vets, horse owners and trainers.
Don’t gamble on your horse’s future: Succession Planning for Racehorse Owners
If you own a racehorse outright, it is important to include provisions in your Will detailing what will happen to your horse after you die. Your horse is an asset and like the rest of your property, you need to decide who should take ownership after you die.
Your Will should state whether your horse is sold or left to a specific person. You should discuss this with your trainer and executors before finalising any arrangements in your Will.
It is possible to leave a lump sum of money in a Will to cover your horse’s upkeep. This money is normally left on trust to a specified person who will deal with any payments such as trainer’s fees. This person should be someone you trust to handle your money sensibly and ideally who understands what racehorse ownership involves.
You could write a separate letter of wishes setting out how the money is to be used. You could include other plans for your horse such as specific races you would like it to enter or what will happen to the horse if it is injured or retired.
With careful advance planning, you can avoid taking a gamble on your racehorse’s future.
Setting up a horse riding or trekking centre
Spring into action with new ventures - advice on setting up a horse riding or trekking centre and what you should consider about your business when you come to pass it on to the next generation.
Racehorse owners have you got your tax affairs in order?
For some years now, breeding thoroughbred racehorses has been considered easy pickings for tax receipts by HM Revenue and Customs (HMRC). Perceived as a “rich man’s hobby,” tax inspectors have been instructed to carefully examine whether thoroughbred studs are commercial businesses. If HMRC consider this to not be the case, the so-called breeding enthusiast may find themselves receiving a large tax bill either during their lifetime or even after their death. Obviously, anyone involved with horses knows that they don’t often make you rich – quite the opposite in fact! Read our full blog on the best way to stay on the right side of HMRC while also being able to claim Agricultural Property Relief and Business Property Relief on death and making loss claims for Income Tax during a breeder’s lifetime.
Do I need planning permission to graze horses?
On the face of it, using a field to keep horses is no different to keeping sheep or cattle in the field, so surely planning permission would not be required to use it for equine purposes. However, keeping horses on the land may be seen as a material change in use of the land under the Town and Country Planning Act 1990. Not only does this mean that planning permission is required but it can also have wider implications, for example in relation to tax consequences. Read our blog for further information and advice on needing planning permission to graze horses.