Wind Up Wind Down

Company tax debt does not automatically become the personal debt of a director. We explain when SARS may pursue personal liability, including negligence or fraud, PAYE not paid over, asset transfers, inter-company loans and circumstances involving abuse of the corporate structure.

A company can be liquidated even if it owes SARS money. Find out what happens to outstanding tax debt and returns, and when liquidation may be the appropriate solution.

f your company cannot pay SARS, the right solution depends on whether the problem is temporary or the business has become insolvent. Understand the options available before the debt becomes more difficult to resolve.

The article deals with SARS debt /penalties during company liquidation, exploring the outcomes in scenarios with and without company assets.

A company in financial distress may have a variety of outstanding tax debts at the commencement of business rescue.