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Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 7254
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Company directior was creidted his account with £.5000.00 below

Customer Question

Company directior was creidted his account with £.5000.00 below taxale limit as salary and a p60 issued showing 0.00 tax and NI paid.
Two months after that the company was wound up as it was insolvent. The only creditor of the company was the director.
Director never actually received any funds from the company as it was running at a loss.
The Director has other income which takes him above the taxable threashold.
Although a p60 has been issued the dorector did not received any funds salary.
Question
1. Can this be taxable?
2. can he refuse the income credited to his account as he has not received the funds and hence avoid paying tax on this amount?
3 How can he get out of paying tax on this £5000.00
Submitted: 2 years ago.
Category: Tax
Expert:  Sam replied 2 years ago.

Think it is only fair to advise you, that as you do not want a response unless you can be advised of a way to avoid taxation on this amount, that you will not get a response at all, and this post if purposes only (so sent as an Information request rather than a response)
Thanks
Sam
Customer: replied 2 years ago.

You can understand why I have stated solution. Otherwise I will get tons of resonses who will in explain me the law as to why its taxable and it would be spending good money after bad.

No response would mean this is taxable.

Expert:  Sam replied 2 years ago.

Thanks response and I understand entirely, but note as you had already paid the fee upfront to ask the question, it would cost nothing further in getting a response (even if not a favourable one)
But had I not sent some semblance of acknowledgement of your post, your question would stay on our list as open and also I don't like to ignore people - so just wanted to advise that was the case! Hope you didn't mind
Thanks
Sam

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