Due to various reasons, a company may decide to close their business voluntarily. The voluntary deregistration of a company means that the company chooses to be removed from the register out of voluntary principle, rather than being forced to close because of liquidation or without meeting the obligations under the Company Act 1993.
Before Voluntary Deregistration
Before voluntary deregistration can take place, a business will need to wind up the company by completing the following:
- Close bank account;
- Clear all accounts receivable and payable;
- Clear all stock;
- Clear all fixed assets;
- Finish the final year financial report, and file the final income tax return of the company;
- Clear all the tax debts to IRD.
Voluntary Deregistration Procedure
- After completing the above list, a company can start it’s proposed deregistration application for voluntary deregistration. Because deciding to apply for voluntary deregistration is a big decision for the business, a special voluntary deregistration resolution is needed in order to do so.
- The company will also need to obtain a ‘no objection’ letter from IRD which informs the Companies Office that IRD has no objection to the removal of the company. Following this, the business can make its application for deregistration through the Companies Office.
- If after 20 working days the Companies Office has received no public objection to the removal of the business, then they will deregister the company from their records and the deregistration process will complete.
After a company has voluntarily settled all of its obligations and completed the deregistration process, the owners will no longer have to worry about any tax troubles for their closed company in the future.
Rely on the professionals for fast and efficient deregistration!
Voluntary deregistration can be quite a complex and drawn-out process and you will need to contact various entities such as IRD and Companies Office to have the process completed. It is highly recommended that you get the support of experienced professionals to help you achieve it.
As a highly experienced group of professional accountants, Premium Accounting Solution has the knowledge and expertise to help you with this situation. Therefore, if you would like help and guidance through your deregistration, simply provide us with the related information and we will handle the rest to complete your company’s deregistration.
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