Post Cessation Expenses
A solicitor ceased trading 3 years ago but since that time has incurred the following costs:
1. A number of claims have been made against him where he has had to pay the insurance excesses. This has amounted to tens of thousands.
Can this be claimed as post-cessation expenses on the basis that this is 'remedying defective work done' and does this have to be claimed in the year the payment is made?
2. The solicitor received significant sums to do with miners claims during the time he traded. However, the claims for costs by solicitors were judged to be excessive. This judgement was made after the solicitor ceased trading.
Can this be classified as 'bad debts' and claimed at any time up to 7 years after cessation?
Thanks for any feedback.
- What font do you prefer to use for correspondence? 136 7
- Audit 432 14
- Course costs for retraining as a barrister 365 8
- Tax on free shares 68 3
- PPR relief and half hectare rule 92 3
- Capital allowances on sale and puchase of business assets 93 1
- Buying a horse?? 365 12
- Question on HMRC past taxes (+penalties) on non-resident 178 2
- Flat Rate Vat 14.5% and 5% reduced rate VAT 162 2
- Uncomfortable with some advertising Sift takes 723 21
- PITA ex-client 191 9
- How to post Sales figures in Sage50 Accounts (we use separate Sales ledger) 231 6
- CTA and Tolley's tax handbooks 344 9
- Can I contribute to SIPP if I pay no salary/dividend from ltd company 316 5
- How to complain about HMRC 1,657 19
- New supplier 127 3
- What quality paper do you use for correspondence? 822 22
- Capital allowances on a 3G Pitch 245 13
- Scottish Independance 879 24
- Funding Circle experience 80 1
- CTA study material 798
- Anyone have clients that use Pay4Later to offer customers credit? 490
- Raiders of the Lost Tax File 451
- Employment related securities question 316
- AIM Stocks and IHT 303
- Expat pension contributions? 275
- Tax Relief for overseas employees 273
- Trust for Employee 252
- Service Charge Accountant Career Options 217
- IPP (International Pension Plan) income 157