# Capital Gains Exposure **URL:** \ **Category:** T2\ **Created:** [April 30, 2020, 3:59pm UTC](https://www.protaxcommunity.com/t/capital-gains-exposure/3437 "2020-04-30T15:59:05Z")\ **Posts on this page:** 3\ **Page:** 1
**Author:** ![barbsbookkeeping56](https://avatars.discourse-cdn.com/v4/letter/b/ce73a5/32.png) [@barbsbookkeeping56](https://www.protaxcommunity.com/u/barbsbookkeeping56)\ **Post date:** [April 30, 2020, 3:59pm UTC](https://www.protaxcommunity.com/t/capital-gains-exposure/3437/1 "2020-04-30T15:59:05Z")
Is there a capital gain exemption for corps? The situation is a liquor license is being sold for a lot of money; the owner was told the first $750K would be exempt from capital gains. I am looking to CRA for confirmation but thought I would pose the question here. ---
**Author:** ![laurie](https://avatars.discourse-cdn.com/v4/letter/l/13edae/32.png) [@laurie](https://www.protaxcommunity.com/u/laurie)\ **Post date:** [April 30, 2020, 4:19pm UTC](https://www.protaxcommunity.com/t/capital-gains-exposure/3437/2 "2020-04-30T16:19:22Z")
The $750k - which is now up to almost $900k actually - is only for the sale of small business shares/farm land. Not general capital gains within the corporation unfortunately. As far as I am aware the capital gain will be fully taxable at the high rate (since it is not subject to small business rates on sch 7) after excluding the normal 50% that is tax free (which will then be paid out tax free as a Capital Dividend). If he sold the company containing the liquor license as opposed to just the liquor license he might be in luck. ---
**Author:** ![helga\_spence](https://sea2.discourse-cdn.com/flex016/user_avatar/www.protaxcommunity.com/helga_spence/32/268_2.png) [@helga\_spence](https://www.protaxcommunity.com/u/helga_spence)\ **Post date:** [April 30, 2020, 7:21pm UTC](https://www.protaxcommunity.com/t/capital-gains-exposure/3437/3 "2020-04-30T19:21:30Z")
The owner should talk to a professional about corporate restructuring which may allow the sale of shares from a a corporation with the liquor license as the only asset. Depending on the value of the license, it may be worth pursuing but there would be legal and accounting costs.