HMRC’s preferential ranking brings into sharp focus their requirements to evidence and substantiate their claims in an insolvency, as Liesl Fichardt and Emily Au (Quinn Emanuel) explain.
As a frequent creditor and a prolific instigator of winding-up petitions HMRC are often intertwined with corporate insolvencies. HMRC’s claims are typically amongst the largest in an insolvency. Whilst insolvency practitioners may often anticipate receiving a claim from HMRC the law has long mandated that they are duty-bound to examine every debt and consider the validity of the nature and quantum of the debt based on substantiating evidence before admitting it. Despite HMRC’s regular involvement in these proceedings they may face challenges in evidencing their claims due to incomplete records lost correspondence or missed filing obligations. Where HMRC do not provide satisfactory evidence surpassing the insolvency practitioners’ scrutiny their claims may fail with significant consequences...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
HMRC’s preferential ranking brings into sharp focus their requirements to evidence and substantiate their claims in an insolvency, as Liesl Fichardt and Emily Au (Quinn Emanuel) explain.
As a frequent creditor and a prolific instigator of winding-up petitions HMRC are often intertwined with corporate insolvencies. HMRC’s claims are typically amongst the largest in an insolvency. Whilst insolvency practitioners may often anticipate receiving a claim from HMRC the law has long mandated that they are duty-bound to examine every debt and consider the validity of the nature and quantum of the debt based on substantiating evidence before admitting it. Despite HMRC’s regular involvement in these proceedings they may face challenges in evidencing their claims due to incomplete records lost correspondence or missed filing obligations. Where HMRC do not provide satisfactory evidence surpassing the insolvency practitioners’ scrutiny their claims may fail with significant consequences...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
.tmb-editorspic.jpg?sfvrsn=c9a7a0cc_1)
