I have a client who is director of two companies: one is 'active' and the other has more or less ceased to trade, but he is owed c.£100k from the DLA. Given that the £100k DLA will not be repaid to him as the company has ceased to trade, is it possible to transfer the DLA credit to the other trading company for him to draw down against?
The two companies are connected but not technically a group, although a group can obviously be formed if needed. I've been looking at s171, TCGA1992 but it only seems to mention transfer of assets between groups and not liabilities, nevermind an obviously connected DLA.
Anyone have any experience on this or can shed any light? Thanks