I am a director of a private limited company which recently went under. Through no fault of any dir…
I am a director of a private limited company which recently went under. Through no fault of any directors, the company lost all of its customers and as a result, liquidated.
The company had a huge liability in respect of GST which was only partially cleared by the liquidator, there is still some liability remaining in this regard.
My query is: Am I, as a director, liable to pay the tax my company bore, solely for the reason it went under? Am I liable to clear the liability of the company?
The proper officer will make you pay only when he can link the non-payment of the tax liability with the gross neglect, misfeasance or breach of duty on your part in relation to the affairs of the company.
If you can prove otherwise, you won't be made liable for such payments.
