This is a question a lot of Accountants are asked by their clients who are considering a Members’ Voluntary Liquidation – i.e. a solvent liquidation.
The main reasons for doing an MVL are:
- moving into full-time employment
- re-organising a group of companies (e.g. to shut down a non-trading subsidiary).
The issue of when is the best time for an MVL has got a bit more confusing since the Chancellor George Osborne announced in his Summer Budget that there are to be new dividend taxes from April 2016. The new rates apply to anyone taking dividends and are likely to mean that small business owners and contractors will end up paying more tax.
This could mean that directors elect to get their MVL completed before the new rules come into effect.
In terms of the precise timing to start the MVL process most directors will look to their Accountant for guidance, as you are aware of their personal tax situations and (ideally) their future plans.
We can work with you to determine the best option for your client.
If an MVL is the right option, our MVL process is easy and affordable ~ at £995 +VAT + disbursements.
Our MVL expertise
This can best be illustrated by the fact that we have liquidated more than 500 companies through the MVL process, and have securely distributed over £75 million in assets to shareholders.
For more information
Just give us a call on 0161 907 4044 or e-mail [email protected]