Closing down a limited business only a week old which is yet to trade

[Bull88]

Hi there, new here sorry if it has been asked a million times before! My mate and I have been chatting for a long time now and finally decided to go into business together. We were told to create a limited company so went ahead and done it (we are both sole traders at present) After looking into it more we realised for us personally it would be better to go into a partenership rather then a limited company. We are yet to do any trading under the company name but on the HMRC website it is ‘active’. We would like to strike the company and move on with out it. Would we have to do any tax return or any thing to do with corporation tax? As I say new to all of this and stupidly went straight in. Before I close it just want to see if any info can be given on wether we would need to do any thing else regarding tax’s of any sort, contact companies house or HMRC,or if we can just close it and be done. We also have a email saying HMRC will contact us separately about corporation tax application would this still happen?

Thanks for your time

 

[paulears]

Why not just telephone HMRC and ask the horses mouth? Their answer will be accurate, ours might be?

 

[Bull88]

Ok no worries, was just curious if anyone had been through it before

Thanks for your time

 

[Scalloway]

If the company has only existed for a week HMRC will not be expecting anything for at least a year.

 

[Flatspin]

Instead of closing it down completely (because you may find it advantageous to use it at a later date), contact HMRC & inform them that your company is dormant.

You can contact them over the phone & they will mark it as dormant for a few years.

If you decide to use it at a later date, you need to inform HMRC within 3 months of starting trading that your company is now active.

https://www.gov.uk/dormant-company

There is also a dormant notification section on the Companies House website.

 

[Bull88]

Thanks flatspin! Will I have to do any tax returns at the end of the year if it is dormant?

Thanks for your time

 

[Scalloway]

You do not need to do a tax return for a company that is dormant.