One of the shorter Director disqualifications, that being just 4 years, was given to the Company Director named below for the highlighted wrongdoing.
Lee Payler caused YDM Fulfilment Limited (“YDM”) to trade to the detriment of HM Revenue and Customs (“HMRC”) from 22 May 2018 in respect of PAYE/NIC and from 7 March 2019 in respect of VAT up to liquidation on 4 March 2022, whilst receiving funds for his own benefit.
In that:
- PAYE/NIC PAYE/NIC of £17,172 was due for the 2018/19 tax year, allowances were deducted of £3,000 and payments made totalling £7,795 resulting in £6,377 remaining outstanding.
- PAYE/NIC of £13,784 was due for the 2019/20 tax year, allowances were deducted of £3,000 and no payments made resulting in £10,784 remaining outstanding.
- PAYE/NIC of £12,971 was due for the 2020/21 tax year, allowances were deducted of £4,000 and no payments made resulting in £8,971 remaining outstanding.
- PAYE/NIC of £12,912 was due for the 2021/22 tax year, allowances were deducted of £4,000 and no payments made resulting in £8,912 remaining outstanding.
- The total PAYE/NIC outstanding at the date of liquidation totalled £35,043.
- VAT For periods 01/19 to 04/21, VAT returns were submitted totalling £54,322. On 29 March 2019 a payment of £1,523.45 was made, no further payments were made.
- Assessments were raised for VAT periods 07/21, 10/21 and 01/22 of £28,138.
- No payments were made. Comparative Treatment In the period 07 March 2019 and 17 January 2022 (the date the company bank account was last used) total receipts into YDM’s bank account were £777,525.
- £667,086 was deposited into the company account as turnover (including cheque deposits and rewards) a further £60,439 was deposited in JRS Grants from HMRC and £50,000 Bounce Back Loan. In the period 07 March 2019 to 17 January 2022, payments out of YDM’s bank account totalled £787,265.
- Payments made to or for the benefit of Mr Payler totalled £249,732, made up of payments directly to Mr Payler totalling £128,102 (net of payments back into the account of £2,470) and non-business-related card payments totalling £121,630.
- Payments to HMRC totalled £3,098 (£1,523 in respect of VAT and £1,574 in respect of PAYE/NIC), payments to other creditors/overheads totalled £443,938 and there were ATM cash withdrawals of £12,952.
- HMRC analysis shows a payment of £600 was made to PAYE/NIC on 11 November 2019, however this is not recorded in the bank statements.
- According to the available information, YDM went into liquidation with liabilities of at least £250,007. HMRC has filed a claim in the liquidation of £161,590, of which at least £84,150 is due to HMRC in respect of VAT and £35,043 is due to HMRC in respect of PAYE/NIC, other creditors were owed £87,418 of which £50,000 is a government backed Bounce Back Loan.
