We have a company which has ceased to trade and its balance sheet comprises simply this (paraphrased):
Distributable reserves £43998
Share capital £2
That's it folks!
They are considering appointing a liquidator to wind up the company. Any income dividends would be subject to higher rate tax.
I am informed that the going rate for a liquidation in these circumstances is around £5K. They have got to be having a giraffe!
I have no personal experience in liquidations, and so I keep an open mind. But would someone please clue me in on what procedures would be involved by an insolvency practicioner to deal with this, and how many chargeable hours that would involve (or any other justification, or is it simply a supply v demand question)?
Perhaps the figure of £5K banded around is off base?
With kind regards
- Payroll dates 39 4
- Auto enrolment 1,171 12
- missing 886 20
- Paint Manufacturer Flat Rate Scheme 382 20
- Self-employed b/f losses 110 3
- Santander Scrip Dividend Scheme 59 1
- are receipts needed? 102 4
- Company overdue but wants to be struck off 497 16
- sole trader - operating under cis 177 4
- Claiming VAT and missing receipts 126 7
- Limited Company - Personal Bank Account 2,770 61
- Partnership merger 77 1
- A change from the old Q v NQ debate 702 25
- Know it alls (who don't) 823 19
- VAT on motor expenses 993 36
- Incorporation with pending court case 172 3
- Reposted question 148 2
- VAT reports on trade debtors and trade creditors 262 7
- Subby expenses subject to tax & NI? 280 1
- Sage Payroll with 'employees' not having tax or NI deducted 196 3
- Skandia using wrong address 1,568
- Nil Rate Band Trust - index linked debt by way of charge over property 867
- International interest certificate 478
- NOVA 335
- Can Limited Company Buy Share of Rental Property? 245
- Management expenses for investment company 226
- Bonus Bonds 222
- Have we escaped Gift with Reservation of Benfit & Pre-owned asset charges? - Gift after benefit 215
- Help with tax codes on Sage 167
- Capital reduction 158