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Thank you for your question and welcome. My name is ***** ***** I will assist you. What percentage of the shares do you each own in the company? Are the penalties only against the company? Does the company have any assets? Kind regards AJ
Thank you. If you do nothing -then the likelihood is the company will be put into liquidation by one of its creditors. If you want to distance yourself from it, write to HMRC - say the company has no assets or means or paying and has stopped trading. You can then resign as a director and the responsibility of management will fall on the absent director. Owning shares in a company that does not trade, is not going to cause any problems for you. Have you ever drawn money out the company? Kind regards AJ
Thank you. You wont be personally liable for the taxes unless it can be provide that you knowingly traded the company while it was insolvent. When was the last time you drew money out? Kind regards AJ
Thank you. Was the company insolvent when you drew the money - what did you draw out - a salary?
Thank you. Did you pay PAYE and National insurance on these sums?
Thank you. It is a salary - as long as it is not excessive then it is unlikely you would be required to repay this money. I would write to HMRC, explain the situation, offer your co operation. If they do not need anything from you. Resign from the position - the worst case would be if the other director used the company without your knowledge and you remained as a director. Kind regards AJ
Thank you. Yes - you will still pay tax on your personal earnings. If the company is in deadlock and HMRC do not need your co operation, then yes resign - I would not recommend being director of the company when you do not know where the other director is or what they are doing? Kind regards AJ