Closing my business down

Closing my business down

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Hello everyone,
 
I need some guidance on how to close my company down. Thanks in advance! 
 
Here's my situation: 

1) Non-UK resident.
2) I run Web Design company since January 2013.
3) It hasn't made a sale since last year. It's been way more than 3 months since the last one.

4) I have no employees. I never had so I haven't registered for the PAYE service.
5) No VAT number since I never made more than 120 £ per year. My application also for VAT got denied from HMRC.
6) I use my personal bank account even for business transactions as I couldn't open a business bank account from my country's HSBC.
7) My last accounting period ends on February 2016 and I'm confused with the new tax laws. Should I file my accounts before April 6th or just wait until February 2016? Since I want to close it down, should I file my accounts right now?
 
8) I also got a late filling penalty because for some stupid reason when I was registering for the Corporation Tax I created a new accounting period lasting 1 day... from 31 January 2014 to 1 February 2014. Of course I didn't pay attention to that and after a year I received a 100-pound penalty notice. 
 
9) My company has no debts and no unpaid invoices. I only pay 4 £ / month for the registered business address provider.
 
 
From what I understood as I was searching online for a solution, I have to file my accounts (even though they end on February 2016) and state that my
company is dormant, fill and mail to Companies House the "Striking off application by a company (DS01)", pay 10 £, wait for CH's answer, wait 3 months as
my request will be published on my local Gazette and wait for the final notice saying that my company is dissolved.
 
 
It sounds too easy though and I'm not an optimist... 
 
 
Thanks again in advance. I truly appreciate it.
 
 
 
PS: Please excuse me for any grammatical errors. I'm not a native English speaker.

Replies (21)

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By cheekychappy
28th Mar 2015 23:23

Spelling, grammar, paragraphs and an accountant would help you.

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Replying to memyself-eye:
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By stefasali
29th Mar 2015 10:36

There was probably something wrong with the website's form. I used paragraphs, spaces etc. but maybe the "paste" option from Wordpad is not working that well.

As I mentioned, I've never made more than 100 pounds / year. How could I hire an accountant...?

Even though you weren't helpful with my issue, could you at least be helpful and correct my grammatical errors?
I'm still learning English and I would really appreciate that.   

 

PS:  I made no spelling errors.

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By duncanedwards
28th Mar 2015 23:24

Speak to your accountant. They will make sure it's all done properly.

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By Mouse007
28th Mar 2015 23:51

Please send £1,000 to

12 34 87

345689233

 

and I will perform magic for you

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Teignmouth
By Paul Scholes
29th Mar 2015 00:34

If your accounts have been filed up to date...

then you can just apply for strike off as you describe but I'd always advise to write to HMRC first to tell them that the company ceased trading (date) and that it has made no profits since and so is to be struck off.

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Replying to Tosie:
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By stefasali
29th Mar 2015 10:42

@Paul Scholes   Thanks a lot

@Paul Scholes   Thanks a lot for your help! Do you have a link in mind that's more specific about this subject?

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the sea otter
By memyself-eye
29th Mar 2015 10:43

I thought

Paul answered your question quite well - follow that advice

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By stefasali
29th Mar 2015 10:57

I know that Paul answered well but I'd like to know more. 

It's been way more than 3 months since my last sale.
Which date should be written on my letter to HMRC?
A date from 2014 or a date from 1 week ago?   

Can I mail the DS01 to CH right away? or should I wait 3 months more?

 

Thanks in advance.

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By johngroganjga
29th Mar 2015 11:18

You need to complete the company's accounts up to a date on or after it ceased to trade and send them to HMRC with a tax return up to the date of cessation.

Then once you have paid off all the company's creditors, including any corporation tax payable for that final period, you can apply for striking off using form DS01.

It's important to do thing in the right order.

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By stefasali
29th Mar 2015 11:17

Thank you for your reply! :)  

My latest accounting period started on February 2015. 
What you suggest is to file today my company's return (from Feb 2015 - March 2015) ?
Then should I wait 3 months to mail to CH the DS01 form ?
 

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By johngroganjga
29th Mar 2015 11:27

No I am saying you need to prepare your company's accounts for the year ended 31 January 2015.

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By stefasali
29th Mar 2015 11:30

Oh! I already did that since I wanted to avoid any late filling fees.
So, may I proceed with the DS01 form? 

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Scalloway Castle
By scalloway
29th Mar 2015 11:31

File DS01 now

Have you filed the accounts for the year to 31 January 2015? If so as you have not traded for over three months I would file the DS01 now. April 6 has nothing to do with company accounts or tax.

 

 

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By stefasali
29th Mar 2015 11:48

Yes, after that shocking experience of receiving a 100-pound penalty notice for a 1-day accounting period, I didn't want to risk it and I filed them right away.

So, all I have to do is mail the DS01 form, wait for 3 months until I see the "dissolved" status and probably wait for a confirmation mail from HMRC and/or CH.

Thanks a lot 'scalloway', Paul and John!  I'm really grateful for your help! :)
I don't know how many hours I spent searching online for a solution with no luck...
 

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By johngroganjga
29th Mar 2015 11:52

If your accounts and tax return for the year ended 31 January 2015 are already completed and submitted, I agree, with the proviso that you also have to make sure you pay off any creditors.

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By johngroganjga
29th Mar 2015 11:54

Did you take advice before you paid that penalty?

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By stefasali
29th Mar 2015 11:58

No, unfortunately I didn't...  Is there a way to avoid fees like that?

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By stefasali
29th Mar 2015 12:01

I forgot to mention that there no creditors. I ran the company all by myself. 

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By johngroganjga
29th Mar 2015 12:38

Presumably it was an HMRC penalty? HMRC are notorious for issuing penalty notices to companies when no penalties are due. It may well have been the case that no penalty was due in your case either, but if you have paid it the matter is closed. Next time take advice first.

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By stefasali
29th Mar 2015 12:45

I see. Well, I was so frustrated that I just wanted to get this out of my head. Anyway...

Thanks a lot for your valuable help! :)

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Teignmouth
By Paul Scholes
30th Mar 2015 10:58

Just in case

Even though you have submitted up to date accounts, unless they made specific reference to cessation of trade then you should still drop HMRC a line to tell them the company ceased trading on XXXX (I'd go for day of last sale) and that you have applied to have the company struck off.

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