Payroll director banned after company went into liquidation with £2.5m VAT bill - Credit Connect

Risks to directors on the liquidation of a company

standfirst: Kate Aitchison, tax director at RSM warns of some issues company directors may come across when closing their businessDirectors’ Loan Accounts (DLA) have been a key part of the process for many business owners and directors taking an income from their companies for years.Often business owners will draw down on a DLA during the year and later clear the overdrawn balance with a dividend or bonus payment at the company’s year-end, rathe…

Payroll director banned after company went into liquidation with £2.5m VAT bill - Credit Connect

The boss of an umbrella company, which failed to pay more than £2.5 million in VAT has been banned as a director. Hubert Omukhulu, failed to accurately declare the amount of VAT Remedy Payroll Solutions Ltd had to pay in 2020 and 2021. The inaccurate returns Remedy Payroll Solutions submitted suggested the company had no VAT to pay in 2020 and just over a quarter of a million pounds in 2021. However, this was an under-declaration of more than £2…