Following on from my post regarding directors potentially be liable for company debts, particularly to HMRC.
HMRC now have a new power to collect debts due from individuals, businesses and companies directly from their bank accounts. To use these powers, all of these conditions must be met:
Condition A – the total debt must be at least £1,000;
Condition B – it must be an “established debt” from an assessment, determination, enquiry closure notice or contract settlement issued by HMRC against which no appeal, or further appeal, can be made.
Condition C – HMRC are satisfied that the person is aware that the sum is due and payable.
Cases of directors running up huge debts of PAYE and VAT and never paying may now be within HMRC’s grasp.