I am struggling to think of a good reason to form a £1 company, dissolve it after about 12 months and then form another and do that for 4 years on the trot. Obviously no accounts submitted. Is there any reason why I should not draw the obviuos conclusions?
Fill your boots. :-)
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I presume what you mean by 'no accounts' is also 'no tax return' and 'no tax paid'. Other than deliberately setting out to do this stinking heavily of tax fraud, you'd be heavily reliant on the voluntary dissolution working in your favour.
During the dissolution process HMRC have a chance to object to the dissolution proceeding once the pending dissolution has been gazetted. HMRC have been a lot better at objecting to companies being dissolved after 12 months if they haven't received a corporations tax return, which would force you to do account and a tax return in any case.
And quite rightly so.
I think if the company had submitted some CT/VAT returns for earlier periods showing trading profits, then HMRC are more likely to object.
Where it's the very first period, HMRC have no indication that there's been any trading. It must therefore be a tricky decision for them as to whether to spend a lot of money/effort objecting and insisting on stuff being submitted that doesn't come voluntarily, when there's a reasonable chance the company never traded.
Because if you are doing something dodgy it is only a years worth you will be prosecuted for.... initially?
It has been stated on this website several times that this type of SBP tax evasion is only perpetrated by very dumb tax fraudsters. You do not have to think about it that hard to agree.