How do i submit accounts & tax return for disolved Ltd co?

How do i submit accounts & tax for disolved Ltd co

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I have a client who never listens.....anyway, earlier this year I advised him that it would be a good idea if going forward we close his Ltd Company (he’s sole director and shareholder) and operate as a sole trader as he is incapable of dealing with the admin involved in running a limited company.

To my surprise I have just been advised that the company has been dissolved... great, he did listen!  However.... the company year end was Sep; I completed the last set accounts for Sep 2015. The company traded from Oct 15 up to May 2016. I need to do accounts for this period and submit a tax return. But as the company is now dissolved, what do I do???

Replies (32)

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By brian-scholar
14th Sep 2016 16:31

There is nothing you need to do. The company is dissolved and doesn't exist any more. If the company had assets they would have been transferred to the Crown.

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By Ronny123
14th Sep 2016 16:40

HMRC have cancelled the UTR number. If you want to submit the return, you have to post it to them with a covering letter. I did this with a client and they accepted it, do not forget to include the accounts

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Replying to Ronny123:
By Tim Vane
14th Sep 2016 16:49

Ronny123 wrote:

HMRC have cancelled the UTR number. If you want to submit the return, you have to post it to them with a covering letter.

You don't have to do any such thing. What would be the point?

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Replying to Tim Vane:
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By Ronny123
14th Sep 2016 17:09

If you need to do the personal tax returm, how would you show where you got the money from? If the client bought assets and the revenue query your return, you would need to show that the company paid tax on the dividends he recieved. If he wants a mortgage he has to show income from his company.

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Replying to Ronny123:
By Tim Vane
14th Sep 2016 17:17

Companies don't pay tax on dividends, last I heard. And HMRC would not provide information to his mortgage company in any circumstances.

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Replying to Tim Vane:
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By Ronny123
14th Sep 2016 17:23

Yes but in order for you to receive the dividends, the company must have made a profit and hence pay CT. You just can not declare dividends and not show where it has come from. This basic accounting.
It will be us as accountants who provide mortgage information together with the SA302 from HMRC

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Replying to Tim Vane:
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By Ronny123
14th Sep 2016 17:21

Yes but in order for you to receive the dividends, the company must have made a profit and hence pay CT. You just can not declare dividends and not show where it has come from. This basic accounting.

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Replying to Ronny123:
By Ruddles
14th Sep 2016 17:25

What a pile of nonsense. If the company has paid him dividends then it will have provided him with the relevant tax voucher(s). That is all the evidence that he needs to support the entries on his tax return. If you seriously think that HMRC are then going to check whether or not a dissolved company had sufficient reserves to pay the dividends then it is about time that you returned to Planet Earth.

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By Comptable
14th Sep 2016 16:52

So who will sign the accounts and the tax return? There no company and therefore no director or liquidator who would have authority to sign.
How will you be paid? The company assets belong to the Crown and there is no one to sign a cheque and anyway the bank will have (should have?) frozen the account.

Do nothing. I would go to the pub instead,

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By Comptable
14th Sep 2016 16:54

.

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By Tim Vane
14th Sep 2016 16:53

If there is unpaid tax for the period before dissolution, presumably you have to consider your AML reporting obligations?

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Replying to Tim Vane:
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By Jack Spratt
20th Sep 2016 12:36

If the assets of a dissolved company go to the Queen do not the liabilities follow them? So if there is unpaid tax HMRC ought to chase HM.
Maybe you need to report her for possible money laundering.......

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Replying to Tim Vane:
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By Jack Spratt
20th Sep 2016 12:36

If the assets of a dissolved company go to the Queen do not the liabilities follow them? So if there is unpaid tax HMRC ought to chase HM.
Maybe you need to report her for possible money laundering.......

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By frankfx
14th Sep 2016 17:17

Presumably company was struck off
Are there tax liabilities
Are there other creditors
What about your outstanding fees, unbilled or billed to the non existent company.

Are you going to bill the director personally

Tax liabilities of which HMRC may be unaware, if not disclosed to HMRC renders you at risk or client at risk.

There are deeper issues here, to address

David Winch may add his views, if reading this.

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Tony s
By Tony S
15th Sep 2016 09:46

Thanks for your replies, especially Comptable suggesting a trip to the pub....
I’ve not looked at any records yet or spoken to the client. The only reason I know the company has been dissolved is I had an email from the company I use for company secretarial stuff. I will have to prepare accounts in some form to calculate Corporation Tax due. I’m pretty sure there will be some tax due for the period and I need to know how I go about disclosing this??
The client is stupid but 100% honest.

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Replying to cheekychappy:
Tony s
By Tony S
15th Sep 2016 10:09

cheekychappy wrote:

Tony S wrote:

Thanks for your replies, especially Comptable suggesting a trip to the pub....
I’ve not looked at any records yet or spoken to the client. The only reason I know the company has been dissolved is I had an email from the company I use for company secretarial stuff. I will have to prepare accounts in some form to calculate Corporation Tax due. I’m pretty sure there will be some tax due for the period and I need to know how I go about disclosing this??
The client is stupid but 100% honest.

Did you not read the sensible responses?

There is nothing for the company to do as it is now dead, no longer in existence, finito. Therefore, there is [***] all for you to do.

Fair enough...but the pub doesn't open till 11...

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Replying to Tony S:
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By George.
19th Sep 2016 12:43

Tony S wrote:

..... I’m pretty sure there will be some tax due for the period and I need to know how I go about disclosing this??
The client is stupid but 100% honest.


I hope your client does not read that last line.
The poster, who said he used a paper CT600, is the way I would go, and use the UTR etc that was active upto the dissolving of the company.
Then you will have all the details for him to continue the business under self employment.
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Stepurhan
By stepurhan
15th Sep 2016 09:55

As many users have already said, you don't need to disclose this.

Corporation tax is the liability of the company. The company no longer exists. Therefore there is no longer an entity with a liability.

You need to check why the company was struck off. If it was a request for strike off submitted by your client they may have a problem. They are legally required to inform all creditors, which would include HMRC. (as CT was due) so they can object to strike off if they wish to pursue their debt. It seems likely from your description of them that they will not have done so. This breach could allow HMRC to pursue them personally for the debt instead.

Whether HMRC will try to do so is another matter. Past experience says that, without a CT return telling them something is due, it is unlikely.

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By bernard michael
15th Sep 2016 10:28

If HMRC are so minded they could apply for the company to be reinstated and investigate it's affairs.
So I wouldn't stir them up by attempting to submit accounts

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By Comptable
15th Sep 2016 20:01

On what date was the company dissolved?
What are the amounts involved?
and more....
This needs an accountant to look at the detail and do a few sums and then advise.

Tony S - if Ronny123 is your accountant you need to get a proper one.

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By Comptable
15th Sep 2016 20:08

I suggest you google the Dead Parrot sketch.
Watch it carefully and consider the company as if it was the parrot.

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By David Gordon FCCA
19th Sep 2016 11:56

As said the company is dead and buried. HMRC are advised by CoHse of pending "Strike-offs", giving HMRC an opportunity to object. In this case they did not, that is that.

If a personal tax return is needed, you complete it as usual. With the company dividends. Just ensure you have the paperwork required for payment of dividends. (resolutions & dividend vouchers)
I do not follow your comment about admin for one-man company. Under present rules regarding accounting records, I do not see this as being any more onerous that being a sole trader.
Is the problem you missed out on a year's acs fees?
Why were you not aware of the three successive Co.Hse warning warning of dissolution?
You do not say why the company was struck off.
If the co was still trading but director filed a form DS01 within three months thereof, that is an offence.
Politely, gently, but firmly, were you doing your job properly?

Thanks (1)
Replying to David Gordon FCCA:
Tony s
By Tony S
22nd Sep 2016 10:38

David Gordon FCCA wrote:

As said the company is dead and buried. HMRC are advised by CoHse of pending "Strike-offs", giving HMRC an opportunity to object. In this case they did not, that is that.

If a personal tax return is needed, you complete it as usual. With the company dividends. Just ensure you have the paperwork required for payment of dividends. (resolutions & dividend vouchers)
I do not follow your comment about admin for one-man company. Under present rules regarding accounting records, I do not see this as being any more onerous that being a sole trader.
Is the problem you missed out on a year's acs fees?
Why were you not aware of the three successive Co.Hse warning warning of dissolution?
You do not say why the company was struck off.
If the co was still trading but director filed a form DS01 within three months thereof, that is an offence.
Politely, gently, but firmly, were you doing your job properly?

I'm not concerned with the loss of fees; some clients aren't worth the hassle.
It’s not a case of me not doing my job properly, I have tried numerous times to sort this client but communication is also an issue. The client can’t deal with paperwork at any level; he can’t understand the concept of dividends, salary and directors loan account. He just takes money as and when he needs it. I do not have a 64-8 in place for the company as I have tried 3 times to set it up and each time the client “loses” or “doesn’t receive” the authorisation code....
I advised him that he would be better trading as a sole trader and I would close the company down for him if he wished (after I’d done the final years accounts). I believe (but I don’t know for sure because I can’t get hold of the client) that he filed a DS01 form.

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By bumpdinkwhallop
19th Sep 2016 12:28

Do nothing. You couldn't anyway as you wouldn't be able to file electronically using company references anyway.

Only issue would be the assets (if any) technically now belong to the crown estates

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By bumpdinkwhallop
19th Sep 2016 12:28

Do nothing. You couldn't anyway as you wouldn't be able to file electronically using company references anyway.

Only issue would be the assets (if any) technically now belong to the crown estates

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By davidlchapman
19th Sep 2016 12:50

following

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By davidlchapman
19th Sep 2016 12:50

following

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7om
By Tom 7000
19th Sep 2016 13:57

Get paid in advance or never get paid

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By bumpdinkwhallop
20th Sep 2016 13:18

Its the crown, not the Queen that any assets belong too!! As for unpaid tax & money laundering......... keep taking the medication Jackie bhoy

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Replying to bumpdinkwhallop:
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By Jack Spratt
22nd Sep 2016 09:39

Sorry - I had not noticed that you had ticked the box saying that you did not have any sense of humour.

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By bumpdinkwhallop
22nd Sep 2016 10:05

Sorry - As it was not funny, I didn't realise it was a joke!!

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Replying to bumpdinkwhallop:
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By Jack Spratt
23rd Sep 2016 11:16

My point precisely

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