We are not alon Spalding FC and HMRC

[michael]

As before, the HMRC don't mess around.

 

UniBond League Division One South club Spalding United dramatically staved off a winding-up petition at London's High Court earlier this week.

 

The club safeguarded its immediate future by paying off £13,000 of a £15,000 debt to HM Revenue & Customs.

 

But Mr Registrar Rawson ordered that the club must pay the Goverment body's legal costs.

 

Tulips' chairman Chris Toynton said it had been a huge effort by club officials since the shock news of the court hearing broke last week.

 

He said: "I'm just pleased with the way the outcome went.

 

"We could not be sure how it would go because with money still owing it is up to the judge what to do."

 

It is understood that the club had made an informal arrangement with HM Revenue & Customs to begin paying the debt off at £250 per month at the start of last season, but it never started.

 

HM Revenue & Customs lost patience over the PAYE and National Insurance debt earlier this month.

 

Toynton said: "I still maintain we didn't think we had a problem. We thought we had an arrangement with HM Revenue & Customs.

 

"News of the court hearing was a shock and it has diverted all of us from our day-to-day activities.

 

"There is still money to pay off but now we can focus on planning for the new season."

 

The £13,000 came from "within the club" and Toynton stressed the Tulips' finances are as good as they have ever been since he became chairman in 2002.

 

He added: "What we need now is operational money.

 

"If potential sponsors are thinking 'I'm not going to put money into the club because they are about to go under', I can assure them that is not the case.

 

"The club is in the best position since I came to the club."

 

www.spaldingtoday.co.uk

 

 

 

 

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[BlueGate Alan]

Thanks for that cheerful news Michael

[michael]

Point is TA-if what we are advised is the sole extent of the problem,Spalding had a bigger issue and survived; so on that basis -so should we.

 

Question is:is our issue quite as trite as it is being made out; and my biggest concern, that no matter what, sooner of later, HMRC will want to take a scalp to flex their muscles

[styx45]

i cant really understand any of this. if the revenue suceed in winding up a business like a football club i would think generally they will end up getting no money and will put plenty of people out of work.so everyone loses so can anyone explain what is the point in taking this action cos im buggered if i know

[BlueGate Alan]

Well we can only go by what the club is saying at the moment Michael and, if that is the case, a very small amount compared to Spalding. Time will tell I guess?

[I am Spartacus]

What we have to remember is the the primary and only job of HMRC is to collect monies that are owed to the country. It is not in thier remit to be charitable or benevolent but, as I have said to collect monies that are owed.

 

HMRC are judged by thier results like anyone else and the fact that they put out a buiness that can generate more monies does not come into it. Remember that in todays goverment everyone is judged on thier performance targets.

[Tony_T]

Originally Posted By: styx45

i cant really understand any of this. if the revenue suceed in winding up a business like a football club i would think generally they will end up getting no money and will put plenty of people out of work.so everyone loses so can anyone explain what is the point in taking this action cos im buggered if i know

Have already raised this point!! But apparently, the IR will get first dibs on everything that is left of the club if they succeed in winding it up. Not good, but as previously said we don't know the full facts and the whole thing may be not as bad as first thought.

[Coffin Ender]

The key words in that Spalding story are "informal arrangement". Have we done the same thing (i.e. offer to pay more than the official agreement) in order to clear the debt quicker? Is that where we have fallen down?

[bigtw]

No the key words are informal arrangement with the IR this is completely different to Margate as they had a legal CVA in place and by being late broke that legal contract which now becomes invalid. Once in a CVA you cannot get in dept with anyone as this voids the agreement

[Coffin Ender]

Yes, I understand that. What I meant was that perhaps the club had informally agreed to pay more on top of what had been officially agreed for the CVA in order to clear it more quickly.

The club say they have abided by the CVA. Either they are lying or a situation like the one I am thinking of has occurred.

 

 

[David Holden]

As I understand it, it's not the CVA payments that are the problem, but the current PAYE/NIC, which, when you are in a CVA must be paid on time which is 19th of each month.

 

If any of the payments are late then HMRC are entitled to issue a winding up order, which they have, but our insolvency department tell me that once they have the money they will usually then agree to drop the winding up order.

 

However if you are late again they may not be so charitable.

 

(Incidently HMRC are no longer preferential creditors, thet disappeared with the Enterprise Act a few years back. About the time that Exeter went into a CVA)

[Andy .]

You have made it much more understandable David with a few simple lines . Who`s to blame we will never no but as long as there is footy in August at HDP i will be HAPPY. Up the Gate.