Originally posted by sbakoola
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It's not a case of Companies House not allowing you to set up a company, they will allow you to set up as many as you like. The point is that if you tell HMRC you're ceasing to trade and they then investigate at a later date and find you lied, the ESC should not have been given and they will penalise you.
If you apply for ESC C16 and it's refused then you won't be able to take the final money as a Capital Gain. You can back out of the closure process at any time up to the point the company is struck off (and even after then really if you apply for restoration).
The 10% is Entrepreneur's Relief claimed on your personal tax return - it's not part of the company closure itself.
HMRC cannot apply to have you company struck off. The DS_01 form requires the signtures of the shareholders, and the intention to strike off is advertised for at least 3 months prior to the actual dissolution. Companies House will also write to the Director a couple of times before it's done.
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