Money locked in Company account

[ukuser123]

Hi,

I have been contracting in UK for around 2 years along with me spouse, both of us using same ltd company. The contract of my spouse has ended whilst i am still continuing.

I have money locked in my company account, which i would like to withdraw, to put it to better use.

Had been exploring option of "closing the ltd company and repoen another one, just with myself on it". (paying CGT on existing one with Entrepreneurs releif factored in)

Is it good option ? can you guys please let me know if there are any other better options ?

If my spouse sells the shares to me on existing ltd company, will she be eligible for Entrepreneurs releif ?? And i use the same company going forward...( I might go with this option if possible)

Please advise

Many thanks

[ukuser123]

can someone pls advise ?
thanks

[tino]

Seriously, ask an accountant

[HairyArsedBloke]

1) Draw the money out in cash
2) Leg it abroad

I did.

[PhilAtBFCA]

ukuser123

This article might help on closing the company and taking the money out as capital gains.

If your contract is continuing It does seem like you can close your company, and if you do so and continue the contract in another company your first company has only ceased to trade for tax mitigation reasons so i think that HMRC could revoke and ECS16 granted.

If you both have ceased your respective contracts then each person is entitled to entrepreneurs relief.

I think you have illustrated well one of the disadvantages of sharing a company.

Phil