Unsure how to proceed with tax return/closing down limited company

DBdoobydoo

ader42 said:

What is a PSC? 

I assume it hadn’t started trading so you didn’t need to file final accounts?

A PSC is a Personal Service Company ie the tax dodge where you set up as a Ltd company then funnel income into the PSC & only pay minimal salary with the rest as dividends that are taxed at a lower rate & not subject to National Insurance.

One year of accounts was submitted but then as I I was deep in debt as I had been unable to work due to illness but eventually had returned to working under PAYE I submitted a DS01 requesting a voluntary strike off. I did not submit final accounts. HMRC objected to the strike off as corporation tax was owed so I just resubmitted the request again & eventually the company was wound up without submitting final accounts or paying corporation tax.

The experts ie insolvency practitioners with a vested interest in charging an arm & a leg to wind up a company will insist that this is not possible. However the so-called SpongeBob Plan has been a lifesaver for thousands. https://www.ukbusinessforums.co.uk/threads/closing-a-limited-company-wth-insufficient-funds-with-which-to-pay-an-insolvency-practitioner.316523/