Payment of corporation tax by an individual

ktjdavies

Let's see if this makes sense.
I was the sole director of my company until I closed it down recently. I was personally paying outstanding corporation tax owed by that company over a 6 month period, the transfer to HMRC was coming from my own bank account.
I overpaid by one month during which time the company was closed down.
When I asked HMRC for the refund of the extra installment they told me that the money is now the property of the state and therefore I must apply through Bona Vacanta for a refund. The total is £650 and Bona Vacanta will charge £300 as an admin charge. In addition, this 'application' is not guaranteed to be approved.
The alternative, I was told, is to re-instate the company but this would be expensive.

Does anyone know if I am being informed of the correct info and, if so, how I could retrieve the cash in a way where I will be less penalised?

Many thanks in advance.

le_loup

The company was a legal entity.
You are a legal entity.
The two are not the same entity.

ktjdavies

Agreed. If anyone knows if this is the only way to claim back the money, the info would be appreciated.

HappyMJ

ktjdavies wrote: »

Agreed. If anyone knows if this is the only way to claim back the money, the info would be appreciated.

Yes you apply through Bona Vacantia....but you know that way.

https://www.gov.uk/government/publications/bona-vacantia-dissolved-companies-bvc1/bona-vacantia-dissolved-companies-bvc1

Nicola_Ed

Hi - can you be specific with the dates? When was the company dissolved and when was the last payment of corporation tax?

Nicola_Ed

This may help


BVG1070 - Bona Vacantia: Discretionary grants from TSol

Normally, if former members of the company wish to make a claim for bona vacantia of a company which has been dissolved, they will need to have the company restored to the Register before the BV recipient can consider the claim.
At this point, if HMRC is aware that the company has been restored, any unresolved taxation matters can be reopened with the company. However, this ‘window’ will be short and unless an objection is raised with the Companies House, once the payment has been made by the BV recipient, the norm will be for the company to be dissolved again.
Where the amount of bona vacantia claimed is small, the cost of restoring a company may be out of proportion to the amount claimed.
In theses circumstances the claimants may be able to utilize an alternative option if the BV recipient is the Treasury Solicitor (‘TSol’). TSol will be the BV recipient if the registered office of the company was in England or Wales (but not in Cornwall or the Duchy of Lancaster). In such cases, TSol may make a discretionary grant of up to £3,000 to the former members without the need for the company to be restored.

ktjdavies

Thank you very much.
My accountant mis-guidedly advised me to closed down the firm which was made effective on 15th April 2015 and the last payment was made on 20th April. Subsequently, the accountant had no clue how to recover the funds.
The method you describe with mention of the TSol I believe will incur the £300 'admin' charge by BV - unless I have misunderstood?

Nicola_Ed

Hi - if you made the last payment after the company was dissolved then it cannot be an asset of the company. Can you check the company dissolution date on the Companies House website?