Accountant banned for not paying tax

The Insolvency Service (IS) has banned a North London accountant from acting as a director for five years for failing to ensure his company paid its tax liabilities.

David Lowe's 15-year-old accountancy firm, DPL Business Services, was wound up in March 2012 with £147,472 of tax debt. 

The 62-year-old received the ban following an IS investigation. He gave an undertaking to the Secretary of State for Business, Innovation and Skills that he won't act as a director for five years.

This means...

Continued...

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Comments
johnjenkins's picture

Interesting how    2 thanks

johnjenkins | | Permalink

this case differs from Hillgrove. The Director was obviously not living lavishly and spending HMRC money on mercs etc.

Is a ban from being a director really a deterrent though?

It does seem to send out a     1 thanks

ireallyshouldkn... | | Permalink

It does seem to send out a "clear message" .  Ie we have no teeth. 

Someone close to retirement not being a director......crocodile tears.

davidwinch's picture

The key difference

davidwinch | | Permalink

The key difference I would suggest was that Mr Hillgrove was accused of dishonesty and Mr Lowe was not.  The dishonesty alleged in Mr Hillgrove's case appears to be that he took steps to disguise the liabilities to HMRC by switching the business into a new entity & by deliberately preventing the submission of information to HMRC.

The evidence concerning other expenditure was circumstantial evidence adduced by HMRC in support of the allegation that Mr Hillgrove was acting dishonestly by side-stepping liabilities to HMRC.

The jury obviously were sure that Mr Hillgrove was acting dishonestly (because if they were not sure of that they would not have convicted him).

David

memyself-eye's picture

one hundred and forty seven thousand pounds

memyself-eye | | Permalink

over 5 years - seems like a good pension to me, where do I sign?

Of course it depends on the circumstances    1 thanks

the_Poacher | | Permalink

but the IS should always consider whether it is appropriate to involve the courts to look behind the corporate veil. I assume they haven't on cost grounds

johnjenkins's picture

And another thing

johnjenkins | | Permalink

I suppose there were no other creditors involved as HMRC aren't preferential anymore.

Pathetic

The Black Knight | | Permalink

Pathetic!

Why are we paying these useless whelps at the insolvency service.

So wrongful/ fraudulent trading is the best tax planning scheme available?

Is disqualification as a director any hardship at all? And it sounds as if the IS had to agree this with him.

He should really have 7 to 10 inside. Not let off his tax bill!!!!

 

 

Cloud cookoo land

The Black Knight | | Permalink

"""IS senior investigator Mark Bruce said that this sends a "clear message" to other company directors. 

"If your company becomes insolvent because you have not taken seriously your responsibilities as a director when dealing with payment of tax, the Insolvency Service will investigate you and you could be taken away from doing business," he said.""""

Is this chap on another planet?

The reason this country has got into the state it is in is because of this attitude.

there is no point in you investigating at all in fact there is no point in your being at all!

 

 

Pathetic

HUGH W DUNLOP | | Permalink

"If your company becomes insolvent because you have not taken seriously your responsibilities as a director when dealing with payment of tax, the Insolvency Service will investigate you and you could be taken away from doing business," he said.""""

Some may point out similarities in this case to that of a Glasgow football club which has been the death of many small businesses. I could not possibly comment.

The concept of a limited

ted.henderson | | Permalink

The concept of a limited liability company as a legal entity separate from its owners is the real problem here. Now they are more powerful than governments.

Hmm...Interesting...Make of it what you will

MC1 | | Permalink

Quite interesting

Companies House shows for another company: David Lowe resigned on 31/1/14 and Philippa Mary Lowe appointed on ... 31/1/14.

Various other companies too.

 

 

You would think

The Black Knight | | Permalink

MC1 wrote:

Quite interesting

Companies House shows for another company: David Lowe resigned on 31/1/14 and Philippa Mary Lowe appointed on ... 31/1/14.

Various other companies too.

 

 

You would think they would have known you can use any name at companies house to make it less bleeding obvious.

the question is: Is Mr Lowe still a director being someone who acts as director

or is he a shadow director?

 

I think the IS have been made to look like Muppets again.

Good old UK

the_Poacher | | Permalink

Open for business for crooks, shysters and the non compliant. Meanwhile HMRC are making more staff redundant

Good old UK

the_Poacher | | Permalink

Open for business for crooks, shysters and the non compliant. Meanwhile HMRC are making more staff redundant

I wonder if there is a market in advising on this

MC1 | | Permalink

In the same way that firms can sell some goods here as long as you do not use them I wonder if one could advise about these types of schemes but with a caveat that they do not use them.  After all they are only illegal if you use them aren't they?  

Ah hold on, I may have missed the boat, maybe some "professionals" are already earning their fortunes doing this?

Somebody needs to blow the story on this "professional" black market and earn their fortune doing the right thing.

OF COURSE THERE IS!

The Black Knight | | Permalink

MC1 wrote:

In the same way that firms can sell some goods here as long as you do not use them I wonder if one could advise about these types of schemes but with a caveat that they do not use them.  After all they are only illegal if you use them aren't they?  

Ah hold on, I may have missed the boat, maybe some "professionals" are already earning their fortunes doing this?

Somebody needs to blow the story on this "professional" black market and earn their fortune doing the right thing.

Of course there is.

It is very common.

As you can see it is also fully supported by the authorities.

Although you don't need professional advice for this as "the man in the pub" can give the appropriate advice or you can just copy someone elses example.

The reality is the worst that can happen is you have to pretend not to be a director for a while.

HMRC do not persue where they could. The IS is a wet weekend, and the police are busy issuing speeding and parking tickets to be bothered with crime.

the UK is just a fraudsters paradise at the moment. It is the reason our economy is failing (you just can't compete with this)