HMRC are calling on powers to recoup taxes from directors, which their companies have failed to pay due to insolvency. Directors are being asked to repay overdrawn loan accounts and dividends that have been withdrawn where there were insufficient retained profits. HMRC were seen to exercise their powers in the case of Parmar v HMRC . … Continue reading HMRC Look to the Directors of Failed Companies
In recent months there has been news of large corporations and even football clubs falling into liquidation, with many jobs lost and well known household names disappearing. However, the situation is not restricted to prominent companies, with millions of pounds passing through their bank accounts. Any company, of any size, can drift into insolvency. If your … Continue reading How healthy is your company?
Liquidation is a type of insolvency proceeding that applies only to companies, according to the Insolvency Service. It is distinct from bankruptcy, which is limited to individuals. Liquidation requires a liquidator who will “wind up” a limited company’s legal affairs by performing a series of specific steps. The company will cease to exist once this … Continue reading Tips for Small Businesses to Avoid Liquidation