Should I leave

taramurray

One of my clients has ceased trading and set up another ltd company with his wife as a director. He has continued with all his previous suppliers and just continued work with existing customers under the new company.
He retained his 2 members of staff also.
I have filed P45's for old and new company and been in a couple of times since he started the new company but am feeling a bit uneasy about it.
Am I leaving myself open to anything unpleasant if I continue to work at the new company? I have never dealt with taxation for either company and previous accountant is witholding accounts etc until paid.
There is a large HMRC debt attached to the old company and my understanding is that he is waiting for them to issue a Winding Up Petition.

ijaccounting

its obvious he is trying to avoid tax liability for the previous company, something is not going to happen by just simply winding the company, his previous accountant hasn't been paid and worse a tax liability to HMRC hasn't been settled either, it doesn't look good; I would simply walk away.

taramurray

Thank you

burg

It depends on your thoughts on it. Whilst from the facts given it may appear morally wrong we and even you may not be aware of all the facts.
Do you like working for them?
Do you need the work/money?
Can you help them going forward?
Will you get paid?

Whilst walking away is an option it is not the only one just don't leave yourself exposed to risk.

RAS

Not clear from your post what capacity you are working for them. Have you a bookkeeping type role or are you the new accountant?

taramurray

I merely do some book keeping, but not all for them. Know them on a personal level which makes it difficult. I can see a lot of problems coming regarding the old company and nothing to make me think the new Will fare better.
I don't want to leave myself open to potential problems by staying, there will be issues of preferred creditors, similar trading names etc which will all come out when the company is wound up.