Contractor Moving to Permanent Position - Limited Company Advise?

[everfor]

Hi
I am IT contractor having less than year a limited company. Now i am moving to Permanent position. Can you advise, what are steps need to taken, to avoid the further hassle in terms of company accounts, taxation etc? whether i need to inform hrmc? please advise

Adv Thanks

[pmeswani]

Hi
I am IT contractor having less than year a limited company. Now i am moving to Permanent position. Can you advise, what are steps need to taken, to avoid the further hassle in terms of company accounts, taxation etc? whether i need to inform hrmc? please advise

Adv Thanks

Approach an accountant and get them to do the work for you.

[rmmc]

Few points for you

If you traded under limited company, then you need to prepare the accounts upto the trading period i.e. until the point you became emplyees.

You need to file CT return and pay Corporation Tax.

You need to think about extracting the cash from the company.

You may need to issue a P45 if you run a payroll for your company and pay paye & nice due to HMRC.

You may need to de-register your vat registration if you registered and pay final vat due to HMRC

Either you can strike off the company or go for voluntary dissolution.

Or you can get an accountant to do it for you

[Wanderer]

You need to think about extracting the cash from the company.

Ask your accountant about "ESC-C16"

[Stag Cozier]

Ask your accountant about "ESC-C16"

Don't think it applies because OP has worked less than a year.

[rmmc]

Don't think it applies because OP has worked less than a year.

One year conditions is one of the conditions to qualify for Entrepreneurs Relief.

[Wanderer]

One year conditions is one of the conditions to qualify for Entrepreneurs Relief.

Ahh, OK. That won't work then.

[rmmc]

Ahh, OK. That won't work then.

ESC 16 may work but not ER. HMRC would consider all factors before granting ESC16, particularly, if closing /selling the business in very short time.