165:Micheal Chin (Kap)

Sir,
The goodwill and freehold property were
Not owned 2 yrs prior..
So why is disposal qualified fir BAD-R

Ques:
On 30 June 2020 Michael sold a business that he had run as a sole trader since 1st January 2016. He realised the following gains and losses on the chargeable assets of
the business:

Goodwill 60,000  
Freehold property 64,000  
Storage unit (13,000)

The goodwill has been built up since 1 January 2016. The freehold property had been
acquired 6 months prior to the date of disposal and the storage unit had been acquired
on 1 June 2017.