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Better to do it yourself or let Inland Revenue do it to you

dave_turbo
dave_turbo Posts: 4 Newbie
in Bankruptcy & living with it
I have been thinking of going bankrupt for quite some time

I owe about 120K including 33K to the IR

The other day I got a letter from them saying that as I have not paid my file has been passed to their collections department and are looking to make me Bankrupt

I own a small shop, small stock, little turnover. I live in rented accomodation and have no real assets

What do you think

Better to let them do it?:wink:

Comments

  • fiveyearplan
    fiveyearplan Posts: 10,145 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    I would save the fees and let them do it. They will get no preferential treatment and the only difference is it will happen at the High Court in London and I believe you will have to have a face to face interview (I had face to face even though I declared myself BR).

    :j :j


  • peachyprice
    peachyprice Posts: 22,346 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    fiveyearplan wrote: »
    I had face to face even though I declared myself BR.

    Me too, it wasn't so bad.

    When you say you own a small shop, do you own it outright?
    Accept your past without regret, handle your present with confidence and face your future without fear
  • dave_turbo
    dave_turbo Posts: 4 Newbie
    peachyprice wrote: »
    Me too, it wasn't so bad.

    When you say you own a small shop, do you own it outright?


    No it is rented month by month
  • Addicted2Chocolate
    Addicted2Chocolate Posts: 747 Forumite
    either way not much difference. I would try and cease trading before you go BR though. Otherwise the OR will come out and close down the shop. Do you have any employees? They would be dismisssed by the OR after the bankruptcy order. Spend the time you have now getting your books and records in order. the OR will want you to deliver up to them all books and records for self employment for the last 2 years of trading. For a shop I would expect bank statements, cheque book stubs, purchase receipts, till receipts, cash book.
  • fiveyearplan
    fiveyearplan Posts: 10,145 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    peachyprice wrote: »
    Me too, it wasn't so bad.
    I actually preferred a face to face interview as opposed to telephone interview. I thought it would be lot easier explaining things.

    :j :j


  • dave_turbo
    dave_turbo Posts: 4 Newbie
    I do not have any business depts and the shop is my only income

    The only things I have in the shop is tools and a PC

    This is my only income

    Would they want me to stop trading?
  • fiveyearplan
    fiveyearplan Posts: 10,145 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Are you a sole trader? If so you should be able to carry on. If you are ltd co then you cannot be a director.

    :j :j


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