Dealing with Personal & Business Debt

[Dazzler66]

Hey guys, me again

I am open for any ideas around how I can deal with the following debts:

Personal debt - mostly unsecured debts. I’m working with StepChange. The income / expenditure form shows that I have no surplus money to pay any creditors. It’s looking like bankruptcy is the only available option. They have advised me to contact Business Debtline to get their advice because they have told me that I can’t receive debt advice from them and then subsequently receive the same from say Business Debtline for the business!

Business debt

I had a complete breakdown after I became disabled and deemed unable to work anymore. As I mentioned in my previous thread - my Ltd company was dissolved last year. However, in the FY my business was active I brought in c£90k in revenue (I only set the business up so that I could work as a contractor)under IR35.

I am currently being chased by HMRC to complete a Self Assessment to cover the same FY as per above. Now I’m assuming that once I speak to HMRC and explain my story they will reinstate my business so that I can repay the business itself what I owed from my ODLA. I assume then HMRC will tell me I owe X for the unpaid corporation tax and will tell me to repay the business (I assume) to cover my ODLA, not to mention my personal tax liabilities for that year.

To simplify this, do I effectively need to find a debt solution that covers both my personal & business debts, OR am I looking at say StepChange advising me on the personal debt side of things and Business DebtLine doing the same but limiting their scope purely to my business?

 

[Newchodge]

Hey guys, me again

I am open for any ideas around how I can deal with the following debts:

Personal debt - mostly unsecured debts. I’m working with StepChange. The income / expenditure form shows that I have no surplus money to pay any creditors. It’s looking like bankruptcy is the only available option. They have advised me to contact Business Debtline to get their advice because they have told me that I can’t receive debt advice from them and then subsequently receive the same from say Business Debtline for the business!

Business debt

I had a complete breakdown after I became disabled and deemed unable to work anymore. As I mentioned in my previous thread - my Ltd company was dissolved last year. However, in the FY my business was active I brought in c£90k in revenue (I only set the business up so that I could work as a contractor)under IR35.

I am currently being chased by HMRC to complete a Self Assessment to cover the same FY as per above. Now I’m assuming that once I speak to HMRC and explain my story they will reinstate my business so that I can repay the business itself what I owed from my ODLA. I assume then HMRC will tell me I owe X for the unpaid corporation tax and will tell me to repay the business (I assume) to cover my ODLA, not to mention my personal tax liabilities for that year.

To simplify this, do I effectively need to find a debt solution that covers both my personal & business debts, OR am I looking at say StepChange advising me on the personal debt side of things and Business DebtLine doing the same but limiting their scope purely to my business?

As you have already been told. You do not have any business debts. Your limited company may have had debts, but it no longer exists and its debts no longer exist.

However you received a large amount of money from your business which is now subject to income tax. That is your personal debt and needs including in your personal debt assesment.

 

[Newchodge]

As you have already been told. You do not have any business debts. Your limited company may have had debts, but it no longer exists and its debts no longer exist.

However you received a large amount of money from your business which is now subject to income tax. That is your personal debt and needs including in your personal debt assesment.

Repearing the same question in different threads in the hope of getting a different answer is really pointless. Please don't do it.

 

[Lisa Thomas]

The personal tax will be wiped out as part of the bankruptcy.

 

[Dazzler66]

Repearing the same question in different threads in the hope of getting a different answer is really pointless. Please don't do it.

Repearing the same question in different threads in the hope of getting a different answer is really pointless. Please don't do it.

Cindy, following my first post i engaged with StepChange. However they advised me to contact Business Debt line in relation to the dissolved business. So In advance of contacting them i was simply trying to understand whether any folk might have had experience with different solutions. I was not trying to seek a different answer. There is a lot of experience in this community and I was trying to understand any solutions others might have tried, that was alll!

Did you really need to reply so publicly to my post this way? It has dented my confidence now in terms of engaging with UKBF going forward. I am trying to find a different community to engage with now.

Your comment about what I have posted as being pointless, along with the insinuation that I am trying to seek a different answer and “please don’t do it” as belittling and defamatory frankly. Please don’t question my integrity as has been the case on this occasion. If you ever feel the need to question me all you need to do is send me a message privately.

The way people perceive us is so heavily influenced by the way other people judge us.

 

[fisicx]

What @Newchodge was trying to say was don't keep opening new threads. It can be very confusing asking similar questions about the same topic on different threads.

 

[Dazzler66]

What @Newchodge was trying to say was don't keep opening new threads. It can be very confusing asking similar questions about the same topic on different threads.