Limited Company Trading ceased and started with Permie

[MESCON]

Hello All,

Wondering if any of you are in similar situations. I have a Limited Company contracted for around 2 years Jun 15 till April 17 and have about 100K as profits. I took a permanent role last year May and working since then due to personal issues as most of my contracts were offered from European region and couldn't afford to stay away from home during that time.
As you can see I stopped trading since a year now via Limited Company and would like to close this via MVL and get ER. I would like to continue my permanent job for some time but what if I have to take a contracting role next year, will the clause of 2yrs still restrict me to start another limited company or I will be fine as I am not trading via Limited company for already an year now. Appreciate any feedback

Kind Regards,
Sid

[sal]

What does your accountant say?

AFAIK the 2 years "restriction" is based on when you applied for MVL/ER.

[cojak]

Do you mean ‘ceased’ rather than ‘seized’??

[cojak]

What does your accountant say?

AFAIK the 2 years "restriction" is based on when you applied for MVL/ER.

This is correct. You have to wait 2 years from the point of MVL being completed.

[MESCON]

What does your accountant say?

AFAIK the 2 years "restriction" is based on when you applied for MVL/ER.

My accountant said I will be fine and can start another limited company next year if I have to as I ceased trading since a year now and closing the company due to legitimate reasons and claiming ER. Is there any document HMRC published on 2 yr clause?

[MESCON]

Do you mean ‘ceased’ rather than ‘seized’??

You are right, I meant ceased, auto correction

[MESCON]

This is correct. You have to wait 2 years from the point of MVL being completed.

What do you mean by MVL being completed? is this the time that Liquidator notifies HMRC about Insolvency ? it can take a month or two I believe for HMRC to be updated.

[HRHisaravingfelchlord]

What does your accountant say?

AFAIK the 2 years "restriction" is based on when you applied for MVL/ER.

Not quite right according the advice I received post my MVL. The restriction is 2 years from the date of the final distribution of funds from the liquidation.

[MESCON]

Switch to Umbrella

In case I have to switch to contracting, can I do it via Umbrella after closing the Limited Company by ER route.

[northernladuk]

In case I have to switch to contracting, can I do it via Umbrella after closing the Limited Company by ER route.

No one knows for sure but it would 'appear' that it's OK as you are technically employed by the Umbrella rather than being a LTD company.

Christ knows if HMRC will come up with some daft retrospective action or will change in the future when it's getting abused though.