When is a Members Voluntary Liquidation appropriate?
A company that has completed its purpose and is solvent may be wound up by way of a Members Voluntary Liquidation.

What is a key advantage of Members Voluntary Liquidations?

This can be a tax efficient way for shareholders to extract funds from a company on cessation of trade as a capital gain on shareholders funds will be subject to Capital Gains tax (currently 25%).

Where such funds were taken out as salary or dividend pre liquidation, these monies would be taxed at the shareholders marginal income tax rate.

Taxation
It is important to obtain tax planning advice prior to any cessation of trade or liquidation to ensure that tax costs can be minimised and the return to shareholders maximised.

How can Hughes Blake assist?
• Act as the company’s nominee as Liquidator
• Prepare the Statement of Affairs
• Provide tax advice in advance of commencing the process

For more information, contact
Neil Hughes, Managing Partner neil.hughes@hughesblake.ie ,
Kieran McCarthy, Partner kieran.mccarthy@hughesblake.ie
or Anna Sadon,  anna.sadon@hughesblake.ie