Hi,
I stopped contracting back in March this year and have been working as a permanent employee ever since. I am trying to close my company down but my account has informed me that I have a Directors Loan account of £11,411.01 and S455 of £6772.25, and also a Corporation Tax Bill of £26,378.84.
Now I stopped trading in March, so there has been no income into the company, or nor have I drawn any money from the company. There is around £15,500 sitting in the company account at the moment.
I am being told that I cannot close the company until I have paid back the directors loan and tax on it, but I do not have that money available. Since I have taken a pretty dramatic pay cut to go permie, I don't really have much disposable income to pay this back also.
What are my realistic options or any advise from anyone who has been in a similar boat??
I stopped contracting back in March this year and have been working as a permanent employee ever since. I am trying to close my company down but my account has informed me that I have a Directors Loan account of £11,411.01 and S455 of £6772.25, and also a Corporation Tax Bill of £26,378.84.
Now I stopped trading in March, so there has been no income into the company, or nor have I drawn any money from the company. There is around £15,500 sitting in the company account at the moment.
I am being told that I cannot close the company until I have paid back the directors loan and tax on it, but I do not have that money available. Since I have taken a pretty dramatic pay cut to go permie, I don't really have much disposable income to pay this back also.
What are my realistic options or any advise from anyone who has been in a similar boat??
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