Paying Vat And Corporation Tax After Business Sale

[eve1974]

I despise need advice please:

We sold our business (legally, via lawyers etc) and we had 14 days after sale to pay HMRC the VAT and Corporation tax from the period between the last quarterly return and the sale date, (this was a period of 3 months as last return was Oct I think)

Anyway - I don't know how to get these figures - our previous accountant cant / won't give them to me as I forgot to reconcile the credit card portion of the account (it is paid in full every month though) and also he is no longer officially our accountant as the company is sold and there is a new accountant.

I don't want to breach any agreement, (the new purchaser is in short a horrid person who I think would sue us for any breach - whether intentional or not)

How can I get these figures?

Who do I speak to at HMRC ? Which dept?

I still have access to QBO (quickbooks online) which the purchaser knows (as part of the handover I'm helping with some minor invoicing etc) But am no longer able to connect QBO to the bank details to update, (it used to update automatically)

This whole sale went really wrong - we have been shafted by the purchaser but legally so (we have spoken to lawyers etc) and I just know if we make a mistake (by not settling the VAT or corporation tax) within the agreed 14 days he will sue us. *he's that sort)

[Rockrose]

Phone the CT helpline and the vat helpline, although as you are no longer the director I don’t know if you can.
Is the co struck off or still active at co house?

When you say the agent won’t give you the figures why is that?

[Rockrose]

The CT number is 0300 200 3410 open Monday to Friday 8-6

[EdmundD]

I think you need to speak to a tax specialist to get a professional opinion on what are your liabilities. CT is usually based on a year's trading and is not normally a simple calculation.

One point I don't understand - you say that it is your responsibility to pay HMRC within 14 days and that if you don't the purchaser will sue you. What would he/she sue you for? Presumably that would only happen if HMRC made a demand on the purchaser.

[eve1974]

our previous accountant has said he won't file as we are no longer the owners (though we were up until 1 Feb) and he is no longer contracted to work for us (we only want the return up until 31 Jan)
Also he always used to file this for use using QBO (quick books online) but he no longer has access to this as he is not our accountant/

The fear is that the new purchaser (who we have discovered is a REAL bad person but very clever legally) will sue us for "breach" as within the contract it states we have to discharge any tax liabilities within 14 days.

A normal reasonable person would probably be understanding but this person won't I am sure.!

Company is not struck off and when I called HMRC 2 days ago re our p45s HMRC told me that the company changes in ownership aren't yet showing on their side (maybe its a backlog)

[eve1974]

PS when I say sue it is because we have now discovered things about the purchaser that make us sure he will LOOK for anything we are in breach of contract wise so that he can get out of any future staggered payments (it was a share purchase agreement that should have meant we got back at increments over the next 12months but we now know he has no intention of doing that)

[eve1974]

This is what the accountant says: We were previously prepared to file the return but we are no longer engaged with your company and whilst we have attempted to assist well beyond the scope of our engagement, we cannot continue and certainly will not stray from standard accounting practice.

[Rockrose]

Hmmmm I suspect that the person you talked to about a P45 wouldn’t have access to the necessary system for corporations tax.
Ring the number I have given you and I will see if I can get you an answer tomorrow and update this thread

[eve1974]

ok ty - tbh its not even the corp tax (we have those figures) its;

A) the VAT filing must be done by Friday
B) the b*stard who bought the company is just looking for a way for us to breach contract so that he can sue us (lot's of T&C in the sale contract) a
(it seems he has done it to 2 other company's which we didn't realise before all this came out)

[eve1974]

am I allowed to get another accountant to do the return? If I could give that accountant the figures?
Am I allowed to compel (legally force) the previous accountant to submit it seeing as though he was employed by us up until 31 jan

[Rockrose]

Vat isn’t my area I’m afraid you are better to ring them

[eve1974]

TY all - the prev accountant has now filed after all!

Now I have ANOTHER question but I shall post separately