What is the disposal date for a company strike-off?
One of my clients emigrated to Australia last year and dissolved his company under Section 1003 of the Companies Act. We obtained ESC C16 and delayed the DS01 until February so the company would not be dissolved until after 5th April. As he is now non-resident, that should avoid capital gains tax (not sure whether it does in Australia though - originally it was meant to be Singapore which has no CGT). I am aware of the 5 year rule and the need to file a protective claim for ER.
But when is the disposal date? Is it a) when the company is dissolved as confirmed by Companies House, b) when ESC C16 was granted, or c) when he took all the money out of the company? I'd have thought a) as that was when the underlying asset (the shares) ceased to exist. ESC C16 turned it into a capital gain but presumably does not trigger the gain immediately.
However, I guess the extraction of the funds could be seen as a final distribution, and that was last year. We treated it as a loan until ESC C16 was granted but not thereafter. In that case it would depend on the book entries, and as there were no statutory accounts for the final period, there is nothing to reflect this apart from a board minute which merely grants authority for the funds to be distributed at some point.
I'm just about to do his tax return so I suppose I'd better check this out first.
- Vat reclaim on invoice payable over 4 years 379 4
- Jointly owned property 261 6
- Interim Accountants through Ltd co basis 127 1
- Going to miss CT filing deadline 87 2
- We contribute a percentage of employees' salaries to a pension scheme set up by them - do we need to get involved in auto-enrolment? 363 4
- Annual director payments for a small limited company 266 6
- Flat Rate Job Expenses 100 1
- Categories on the VAT Flat Rate Scheme 271 4
- Relevant life plan 242 6
- Flat Rate VAT - reclaiming VAT on Capital Purchase (bought on lease hire) 154 4
- The return 979 28
- Directors loan - no longer a director 137 1
- Why .... 575 6
- HMRC Unpaid Debt Collector 535 10
- Any advice on large 55 inch + computer monitor 165 1
- Pylon compensation - what am I missing? 395 6
- NI Contributions in order to claim state pension 471 10
- Limited Company expenses 301 7
- Formating cells in Excel 282 6
- UK taxation of income from property in Cyprus 200 4
- Possible Partnership? 579
- Tax and accounting treatment on long lease granted from freehold 494
- New Fangled Penalties 389
- Clubs and Taxable Income 312
- Purchase of property freehold - capitalisation of costs 286
- Closed PAYE schemes and auto enrolment 235
- Loans to other companies 235
- Lenovo – Superfish & Komodia – is your PC vulnerable 200
- Outsource Data Entry 192
- Moving away from CCH software 181