Newth Talks Tax: Potential tax liability

Share this content

Geoff (see 14 December 2007) disclosed that he was currently involved in a PAYE review which could potentially give rise to a large PAYE liability. The PAYE liability would exceed the assets of the company by 5 to 1, and the company would not be able to settle the debt due to HMRC.

The directors have enquired as to the HMRC response if the company was put into liquidation, resulting in HMRC only receiving part of the tax due. Would they be able to go after the directors for the balance?

The potential liability is due as a result of tax benefits which had not been taxed on the employees and also due to the status of some of the subcontractors who may have been recategorised as employees. Geoff later confirmed that the potential tax liability is in respect of van benefits for...

Please Login or Register to read the full article

The full article is available to registered members only. To read the rest of this article you’ll need to login or register. Registration is FREE and allows you to view all content, ask questions, comment and much more.


Please login or register to join the discussion.

There are currently no replies, be the first to post a reply.