R
rabbit
Guest
If a limited company goes in to voluntary liquidation / is wound up, can the revenue authorities "clawback" or go after any "gift" made by the director out to the limited company before the liquidation ?
For example, if the directors of the limited company ( lets assume there are only 2 directors, a husband + wife ) pay 50,000 to themselves, then liquidate the company ( lets assume there are no creditors other than Revenue ), can the Revenue go after tax due on the 50,000 ? A friend whose business has ceased trading , but who has funds / savings in the company, said he was thinking of doing this ; I told him I thought he probably would not get away with it.
Thanks in advance for any replies.
For example, if the directors of the limited company ( lets assume there are only 2 directors, a husband + wife ) pay 50,000 to themselves, then liquidate the company ( lets assume there are no creditors other than Revenue ), can the Revenue go after tax due on the 50,000 ? A friend whose business has ceased trading , but who has funds / savings in the company, said he was thinking of doing this ; I told him I thought he probably would not get away with it.
Thanks in advance for any replies.