Liquidation: Directors Loan in Credit Liquidation: Directors Loan in Credit - Page 2
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  1. #11

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    Quote Originally Posted by ASB View Post

    The key question is why the dca went from 12 to 8.2
    The simple answer is that when we had some cash it was paid to me, along with a variety of partial repayments to other people, it wasnt ONLY paid to me, HMRC for example also got paid large chunks(circa 5k at a time) we were trying to make things work.

  2. #12

    bored now

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    Quote Originally Posted by thomasjoyce View Post
    The simple answer is that when we had some cash it was paid to me, along with a variety of partial repayments to other people, it wasnt ONLY paid to me, HMRC for example also got paid large chunks(circa 5k at a time) we were trying to make things work.
    What money did you owe HMRC. If it was income tax, NI or VAT it wasn't really yours to pay out to anyone except HMRC..
    merely at clientco for the entertainment

  3. #13

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    Quote Originally Posted by thomasjoyce View Post
    The simple answer is that when we had some cash it was paid to me, along with a variety of partial repayments to other people, it wasnt ONLY paid to me, HMRC for example also got paid large chunks(circa 5k at a time) we were trying to make things work.
    Ok. Fair enough. I think the case you need to make is:-

    1) The funds credited to the dca should not have been.
    2) They should have been credited to a deferred wages account.
    3) they were being paid to you on an ad hoc basis as and when possible.

    That they were unpaid wages might possibly be key, they could have been accounted for better though. Employees wages are preferential (or were).

    Of course if you didnt have a contract of employment it may be more difficult to argue.

    Are you able to discuss this, and the accounting treatment, with the old accountants.

    If you are unable to agree with the liquidator you may be able to comvince the judge if you want to dig your heels in. The liquidators powers are limited. But he can seek court approval for actions.

    Hope this may be of some limited help. You basic argument needs to be prior claim.

    Edit: Forgot to mention. If you were paying wages to a director when it was known insolvent then these mat be attacked, thus any wages paid or "booked" after the date at which liquidation was decided are at risk of being disallowed. It may be the case that the 3,800 paid, reducing the DCA, is mapped onto those.
    Last edited by ASB; 27th October 2016 at 11:08.

  4. #14

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    Quote Originally Posted by eek View Post
    What money did you owe HMRC. If it was income tax, NI or VAT it wasn't really yours to pay out to anyone except HMRC..
    True, but it is a question of which came first and if the op can show they were dealt with first in first out that should be ok.

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