ACCA Taxation F6 Practice Exam 2026 – Complete Study Resource

Question: 1 / 400

To qualify for entrepreneurs' relief, what is the minimum holding period for shares?

12 months

18 months

24 months

To qualify for entrepreneurs' relief, shareholders must hold their shares in an eligible company for a minimum of 24 months before a disposal. This relief is designed to encourage entrepreneurship by reducing the capital gains tax burden on individuals who sell their businesses. The 24-month holding period ensures that only those who have made a significant commitment to the business can take advantage of this tax benefit. Therefore, it reflects a longer-term investment and involvement in the business, which is in line with the goals of promoting sustainable entrepreneurship and business growth.

The other options do not meet the criteria required for this specific tax relief, as they do not reflect the established minimum holding period that must be adhered to for entrepreneurs' relief eligibility.

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36 months

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