Closing down a private limited company that hasn't been made dormant nor trading

[w0mbat]

Hello

I opened a private limited company in April last year in England. The company has not started trading because I moved out of England and banks would refuse opening a business account (for not having a place of residence in England).

I decided to close down the company. I am not sure about the right steps to do so as after the company was formed I did not declare it as dormant nor I did declare it as trading by sending appropriate forms to HMRC. 9 months have passed since its incorporation.

In the 'Corporation Tax - Notes for New Companies' I read that HMRC treats company as active by default (with the first accounting period = date of incorporation +12 months). However on here:
hmrc.gov.uk/ct/getting-started/trading.htm#2
I also read that active does not equal trading.

On the companies house register the company also appears as 'active'.

I hope I have given you enough details.

My questions are:

1. Will closing down this never trading company be as easy as sending form DSO1 (striking off application by a company) to companies house plus a copy of the form to HMRC?

2. As no forms have been sent to HMRC and HMRC treats company as active by default should I FIRST send a dormant form (CT41G Dormant Company insert) to HMRC specifying:

'The company has never been active. The reason for its icorporation has been abandoned and the company will be struck-off'

3. Should I send both of the forms from points 1. and 2. at the same time in the same letter to HMRC ? (Or first send CT41G and wait for confirmation before sending DSO1 to close down the company?)

4. Comapanies house specifies that a company can only request to be closed if: 'Not traded within the last 3 months'. As the company appears as ACTIVE on the companies house record, is the company deemed trading? I.e. do I need to send a dormant application first for it to turn into 'dormant' state and then wait 3 months before I can close it with DSO1 form?

5. How can I make a payment to companies house for closing the company from abroad? I don't have access to british cheques nor british postal orders. Companies house doesn't provide any bank account, just their address. The country I'm in has euros.


I would be very grateful for any advice on the above questions. Sorry for so many questions but these are the things I could not really work out myself.

Thanks in advance!

Regards,
w0mbat

 

[vinnie]

w0mbat,
you ask some interesting questions.............but vher r da ansis??:|

 

[Anna Chandley]

All you need to do is send the DS01 to Companies House and send a copy to HMRC. I would also tell HMRC that the company has never traded.

I'm afraid that I can't offer any suggestion about how to pay. It would be worth contacting Companies House to ask about alternative payment methods.

The company status on the companies house register will state "active" regardless of whether a company is dormant or trading. A company is either active, dissolved or shown as active -proposal to strike off.

Anna

 

[w0mbat]

Thanks for the answer! It is helpful.

A year has passed since I created the company now.

The company has not traded.

If I decide to close it now still. Do I need to supply annual return and companies accounts along with the DS01?

Another question has come to my mind. If I decide to keep the company as dormant for another year. Do I need to worry about HMRC ? I think they are not aware that the company is dormant (have not sent CT41G Dormant Company to them) so they will probably ask to fill tax return forms any time soon (a year has passed since the company was formed, meaning the end of assumed accounting period).
Should I send the form CT41G Dormant Company if I want them to mark the company as dormant (even if they don't ask for tax return)? Can they fine me for not doing that earlier (after the company was formed)?

Looking forward to hearing from you.

Thanks again!

All you need to do is send the DS01 to
Companies House and send a copy to HMRC. I would also tell HMRC that the company has never traded.

I'm afraid that I can't offer any suggestion about how to pay. It would be worth contacting Companies House to ask about alternative payment methods.

The company status on the companies house register will state "active" regardless of whether a company is dormant or trading. A company is either active, dissolved or shown as active -proposal to strike off.

Anna

 

[Anna Chandley]

If you apply to strike off the company there is no need to file the accounts or annual return. In fact Companies House will eventually strike off the company if you do not submit the annual return anyway.

If you wish to keep the dormant company then you will need to file accounts and submit the annual return.

If you have not sent the CT41G to HMRC I would have thought that they would have sent to a notice to complete a corporation tax return. This would have been sent to the companies registered office. If so you will need to submit the return but should then inform HMRC that you are dormant so that you do not have to file in future years. As long as you are not near the corporation tax return filing date you could contact HMRC now to inform them that the company is dormant and they may decide they do not need the return. If you are too near the filing date you may incur late filing penalties before HMRC deal with your request.