Invoices raised after company dissolution

Invoices raised after company dissolution

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Dear all

I have a new client who's company was struck off in December 2014 by companies house for non submission of returns etc. I'm unsure as to what should happen with invoices raised in the name of that company post December 2014 which raised as the client was not aware of the strike off until 2015.

There was no VAT on the invoices.

Any advice would be very much appreciated.

Replies (7)

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By Tim Vane
25th Nov 2015 10:39

I suspect your client will need to re-issue the invoices on behalf of whatever business he is now running, unless the customers paid the sums due into the company bank account in which case it belongs to the crown and you have a different problem.

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By tracymair
25th Nov 2015 10:48

thank you very much, the client was living in the US for the year. Didn't have another company and the company bank account was never used. The payments were made directly into her personal account. She doesn't have a work permit for the US.

 

 

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Replying to AdShawBPR:
By Tim Vane
25th Nov 2015 10:51

Oh dear.

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By thevaliant
26th Nov 2015 18:20

From the above, I would say that any invoices issued AFTER strike off are personal from the individual. The company is gone. Work done after the company was dissolved can only be the individual personally.

Of course, those invoices issued afterwards are in the wrong name, but that's about it.

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By RFL H
26th Nov 2015 18:35

I agree with The Valiant re the post strike off income

I had a similar case recently and the HMRC Inspector wrote - "whoever was carrying on the trade .. is liable for any tax due .. to be reported as self-employment income in her next return".

The same inspector indicated that any income up to strike off was still the responsibility of the company but as the company does not exist it is not required to file a return.

The Inspector commented that if the director wanted to volunteer to pay the missing tax a cheque with our calculations would be welcomed.

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By Tim Vane
26th Nov 2015 19:00

Yes, of course, but therein lies the problem. This was not company income, it was individual income, possibly reportable in the UK and almost certainly reportable in the US - where the individual has no work visa. The client could possibly be looking at a choice of either tax evasion or deportation. Either way I'm glad I'm not acting...!

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By thevaliant
26th Nov 2015 20:53

In which case, you presumably can't act.

You can't act for the Company. It no longer exists.
You can't act for her personally as I assume your knowledge of US tax laws is simply not up to it (not to mention you may not be able to act anyway)

So it's her problem therefore.

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