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JamesMillar
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Every asset within the one legal entity is exposed to whatever activities that entity is involved in. So if one business activity within that entity is high risk (and if legal action were taken for something) then the assets of the other business in that entity would also be at risk.

With regard to capital gains tax. The default position on the disposal of a business capital asset (generally other than a fixed asset subject to depreciation) is that if you sell if for more than you paid for it (or what the law implies that you paid for it) then the gain will be taxed as a capital gain. Disposal includes sale to arms length parties and generally any change in beneficial ownership (so transfer to other entities that you may own in part or full). However despite the default position, there are some “roll over” concessions to this that allow transfer of assets between some related entities without triggering a capital gains tax event. The gain is essentially rolled over or deferred until a true change in beneficial ownership occurs. You need to evaluate this very carefully BEFORE transferring the business to a new entity. The main issue tends to be around the disposal of goodwill which is considered a CGT asset for the purposes of the Act. There are also some small business concessions which may mitigate any taxable CGT event of this nature.

You need a good accountant that is familiar with these matters. It can produce costly tax mistakes.