Advice on paying 2008 /09 tax

[malvolio]

Not sure I agree with your disagreement. Actually I'm damned sure I don't...

You are an officer of the company, which carries some legal responsibilities. As soon as money is earned you know for certain that tax is due on it at some point. It is incumbent on you to ensure that money is paid, which means you are required to store it somewhere until it is needed. How is up to you, but you'd better be pretty damned certain it will be there when needed.

I've said it before, somewhere - you won't get smacked for being a bad businessman, but you will get smacked for being a foolish one.

[THEPUMA]

I guess it depends how you have accounted for the money you paid yourself.

If it was a dividend, presumably it was an illegal one, unless it was paid out of profits before subsequent losses were incurred. In this case, it is repayable by you to the company.

Or it may have been a loan, in which case it will be repayable.

Or it may be have been salary, in which case you possibly should have withheld PAYE and NIC (depending upon the amounts involved). If you should have done and didn't, this is likely to be negligent so HMRC can probably come after you personally for the money. Whether in practise they will or not is an entirely different matter.

Or it may be expenses, in which case you have effectively made a loss and therefore there is no corporation tax liability.