I am completing an Annual return online. The previous return was done by the previous accountant. They showed 100 shares of £1 and put the £100 as Amount unpaid on each share:.
Then I was taken on and I did the first set of accounts, and put in a journal to debit £100 to the directors account for the shares. So I now want to amend the return to show that £100 is Amount paid on each share:
Am I right in my thinking, that I can simply amend this? There is no other form needed to be sent to HMRC, is there? Just wanted to check I hadnt missed something.
Oh! Right you are, Rob!! Its EACH share isn't it ?!! Doh!! I just saw what the previous accountant had put, and didn't spot that she was wrong!
So, I can just amend it on the annual return to £1 paid on each share. I dont know of any forms that confirm a share has been paid for, but I thought I would double check!
If the company is financing the director(s) to purchase the shares (ie the DLA has a debit balance), it may be necessary for a statement of solvency to be made as this could amount to a reduction in capital.
I'm not aware that stamp duty or any other tax is payable when allotted shares are paid for (as opposed to being transferred) but I'll leave that to a tax expert. There may, however, be fees to pay to the Registrar of Companies if a reduction has taken place.
-- Edited by ilsm on Sunday 10th of November 2013 09:47:53 PM
