Solvent liquidations

Formally dissolving a solvent company using a Members Voluntary Liquidation or MVL can bring tax benefits.

An MVL can be used as a tax efficient method of distributing assets to shareholders of a solvent company which no longer intends to trade.

Provided that certain conditions are met, distributions made via a member’s voluntary liquidation are classed as capital distributions and whilst liquidator’s fees will be incurred these will usually be far outweighed by the tax savings.

Contact Megan Wallis at meganw@batesweston.co.uk to find out how we can help you.