HMRC chasing o/due CT whilst bankrupt - what can I do?

PierreB

I filed to have a limited company that I traded through to be struck off in May 2010.

I had a corporation tax debt of over £5,000 relating to accouting period 2008/9.

I did not trade in 2009, and petitioned for bankruptcy in September 2009. For months between the last day I traded (31/12/08) and the bankruptcy date (30 September '09), I had no income to live on and no savings. I therefore used the money I set aside for CT to get by on. I eked things out as long as possible in terms of paying for day to day life - and gave the maximum time to find new work. However, by August '09 I had exhausted the CT money. No work had come in and bankruptcy seemd the most suitable route personally.

In informed HMRC of the fact that the company had ceased trading and that I had personally gone bankrupt. In 2010, I have had several letters chasing the overdue amount. However, I corresponded with them, and in about April this year, they had informed me verbally that they should not chase me for the overdue CT. However, when submitting forms to strike off the company at Companies House, their was an objection from HMRC.

I have explained the situation - the company has no assets and neither do I. I make regular telephone calls to chase the status of what they are doing. The matter is being dealt with by their technical team who are deciding what they can do next. There is no contact for the technical team and no suggestion of how long it will take for them to decide.

In the meantime, I have been discharged from bankruptcy. I am not working and I think the best thing for me to do earn money again is to set up another company. My only problem is that I feel that they may link the CT debt with my new existence and chase me personally for it. I just want to get on with things again and don't want this hanging over me and holding me back.

Does anyone have any advice about the situation? Would be gratefully received.

Best regards,

Pierre

Flyright

If HMRC have objected to the striking off then they may well pursue to wind up the company, in which case you will have to attend an interview with the OR as a director of the company and they could ultimately disqualify you from being a director and would would prevent you from setting up another company as a director

debtinfo

Just to be clear are they chasing you or the company for the CT

PierreB

Oh dear. Yes HMRC have objected to the striking off. But I want the company to be wound up. I have been discharged form the bankruptcy recently. I want to set up a new company - I do not want to rely on being employed. Despite the CT liability, being self employed is the most suitable thing for me. I do hope that I am not prevented from being director once again.

Flyright wrote: »

If HMRC have objected to the striking off then they may well pursue to wind up the company, in which case you will have to attend an interview with the OR as a director of the company and they could ultimately disqualify you from being a director and would would prevent you from setting up another company as a director

PierreB

I have many letters addressed to the company chasing for payment. I also have one letter addressed to me as the director of the company requesting payment. This was received amidst all of the letters addressed to the company, so there does not appear to be a shift where they are chasing me personally as director.

debtinfo wrote: »

Just to be clear are they chasing you or the company for the CT

debtinfo

As flyright says HMRC may want to wind up the company themselves, this allows for the OR to undertake an investigation into how you acted as the director and whether a restriction should be placed on allowing you to be a director again in the future

You do not need to have a limited company to be self employed

Flyright

You also cannot name any new company with a similar name to the old company if that company goes into liquidation.

PierreB

Well, I'm pretty confident this should not rebound too negatively to me. I had the money set aside. When the contracts evaporated, I used the funds as a stop gap to keep me afloat personally. But no contracts came my way. By no means was the money used wildly. I have good records from the time, so this should help hopefully.

Thanks.

debtinfo wrote: »

As flyright says HMRC may want to wind up the company themselves, this allows for the OR to undertake an investigation into how you acted as the director and whether a restriction should be placed on allowing you to be a director again in the future

You do not need to have a limited company to be self employed

PierreB

Thanks for your posts.

Any more throughts/advice gratefully received.