I'm authorised, but there's no data to pull down in every case I've tried so far, so I wouldn't worry about sorting it as a matter of urgency as you aren't missing much!
A company officer or officers may be liable to pay part, or all of a company’s penalty for a deliberate inaccuracy, failure to notify or wrongdoing, but only where the:
inaccuracy, failure or wrongdoing was attributable to the officer
officer gained or attempted to gain personally from the offence
company is, or is likely to become, insolvent
Thanks Bernard. Yes, undeclared cash.
In my experience HMRC will object to a DS01 once or twice and then let it go - I know it doesn't always happen like that, but it's what I've seen. Insolvency service would be fine, but my client doesn't have the funds to initiate a formal winding up themselves.
I do see the difference between use of an asset such as a boiler, and use of coal, which is a quantity reducing over time.
But how does that then contrast with a sole trader who brings his personal computer into business use, and journals it into his books at current market value?
It's had previous exclusive private use. Going forward it's got business use. How does that differ from the boiler in my example?
Where does it say that apportionment has to be physical (e.g. the coal)? An "identifiable proportion of the expense" is 8/10 of the life of the boiler, surely? It is also, like the motor expenses, pragmatism.
(Also, what's Law Shipping? The Google didn't help me).
They won't go ape. They might object to the DS01, but in my experience that's not guaranteed. I've never seen any other behaviour from HMRC in the event of a DS01 where they think they're owed money.
You can still file the DS01 even if creditors are owed money.
An obligation of the DS01 is that you send a copy of said form to all creditors, inc HMRC.
Creditors are than able to either accept they won't get their money, or file an objection with CoHo.
There is nothing fraudulent or underhand about this.
Will the director eventually be able to pay the CT?
My answers
That would explain why there's the square root of b*gger all when I query it!
I'm authorised, but there's no data to pull down in every case I've tried so far, so I wouldn't worry about sorting it as a matter of urgency as you aren't missing much!
From the HMRC helpsheet:
5.8 Who’s liable for a company’s penalties
A company officer or officers may be liable to pay part, or all of a company’s penalty for a deliberate inaccuracy, failure to notify or wrongdoing, but only where the:
inaccuracy, failure or wrongdoing was attributable to the officer
officer gained or attempted to gain personally from the offence
company is, or is likely to become, insolvent
https://www.gov.uk/government/publications/hmrc-your-guide-to-making-a-d...
Interestingly it doesn't say the tax, it just says the director could be liable for the penalty.
I really wish they'd put the statute reference on their helpsheets for those of us who like to look at them!
Thanks Bernard. Yes, undeclared cash.
In my experience HMRC will object to a DS01 once or twice and then let it go - I know it doesn't always happen like that, but it's what I've seen. Insolvency service would be fine, but my client doesn't have the funds to initiate a formal winding up themselves.
Thanks. There are no funds to appoint a liquidator, so it would be a DIY DS01 by the director himself.
I'm still trying to ascertain the figures involved. I'm guessing about £10k in tax and penalties but he says he can't afford that.
No falsified docs, its undeclared cash.
But yes, might we worth getting him to call a specialist just for advice.
Thanks Portia.
I do see the difference between use of an asset such as a boiler, and use of coal, which is a quantity reducing over time.
But how does that then contrast with a sole trader who brings his personal computer into business use, and journals it into his books at current market value?
It's had previous exclusive private use. Going forward it's got business use. How does that differ from the boiler in my example?
Where does it say that apportionment has to be physical (e.g. the coal)? An "identifiable proportion of the expense" is 8/10 of the life of the boiler, surely? It is also, like the motor expenses, pragmatism.
(Also, what's Law Shipping? The Google didn't help me).
I concur with lion.
They won't go ape. They might object to the DS01, but in my experience that's not guaranteed. I've never seen any other behaviour from HMRC in the event of a DS01 where they think they're owed money.
You can still file the DS01 even if creditors are owed money.
An obligation of the DS01 is that you send a copy of said form to all creditors, inc HMRC.
Creditors are than able to either accept they won't get their money, or file an objection with CoHo.
There is nothing fraudulent or underhand about this.
Will the director eventually be able to pay the CT?
Also, apologies for putting the credits first. I clearly need more tea.