Bona Vacantia

Bona Vacantia

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A client company gave their 31/03/08 books to me very late and have only just signed their accounts, so a late-filing fee of £750 will apply. Because the company has not yet filed these accounts Companies House have initiated striking off.

However the company ceased trading on 31st March 2008 so striking off is not an issue and it seems that the company could save £750 by not filing the 2008 accounts and letting the striking off procedure continue. The company has £12,000 of share capital but despite this the company has made losses and is only just solvent. It is a one-man IT contractor so there are potential PAYE liabilities if there are any errors on the deemed payment. The only assets are old computer equipment and an inactive bank account, only liabilities are to the director.

There is a potential problem with bona vacantia because of the high level of share capital, but I don’t know what the likely course of events is if we let the striking off continue, so guidance will be welcome.
Thanks

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By fellowcraft
22nd Jun 2009 20:15

It is a problem
As share capital exceeds £4,000, the Treasury Solicitor will seek repayment from the shareholder.

I know it doesn't make sense, but thats how it is.

You could perform a share capital reduction excercise (s641 CA06) then strike the company off under 652(a), the Treasury Solicitor will then waive the right to recover the funds under Bona Vacantia, and you can close the company down without paying the filing fees.

Fellowcraft

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By David160
24th Jun 2009 18:14

Does this mean that the shareholder pays twice for the shares? He pays for the shares when they are issued; does he then have to pay for them again when the company is dissolved?

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