A private limited company issued additional shares, some to the sole existing shareholder and some to a new shareholder. The intention was that the new shareholder buy the shares at a premium and the existing shareholder by them at par. However in fact what they did was issue all shares at a premium and the original shareholder never paid the premium. The company has not called the premium and never intends to (it is still controlled by the original shareholder). How can the unpaid premium be cancelled so that it can never be called, and what tax consequences are there of this error - s455 I believe doesn't apply until the company called the premium? Many thanks.
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What does the return of allotments at Companies House say about the price at which the shares were issued?
So the return says 75 shares were allotted at £1,000 each?
So where does that leave the issue at par to the existing shareholder? is that on a separate form?
You are not "unissuing"
You are not "unissuing" shares. You are correcting an incorrect form. From what you say there was never any intention at the time the form was completed that the original shareholder would pay more than £1 for each of his 50 new shares.
I wouldn't worry about past annual returns.