AVOIDING BANKRUPTCY & LIQUIDATION
HMRC Time to Pay & Winding Up Petition Defence
If your business has fallen behind with tax payments and HMRC is threatening enforcement, swift action is essential. HMRC can escalate arrears quickly from payment demands to enforcement officers, and ultimately to a winding up petition. A petition places your company at immediate risk of compulsory liquidation. As a specialist tax litigation solicitor with HMRC background, I help businesses avoid insolvency by negotiating Time to Pay (TTP) arrangements and challenging the underlying HMRC debt.
UNDERSTANDING HMRC WINDING UP PETITIONS
HMRC is one of the most active petitioning creditors in the UK. A winding up petition is usually issued where HMRC believes the company is insolvent or unwilling to engage. Once advertised, banks often freeze accounts, suppliers withdraw credit, and the business can collapse within days. Early intervention is critical.
A petition does not mean liquidation is inevitable. HMRC will often consider settlement proposals, structured repayment plans, or withdrawal of the petition where the company demonstrates viability and a credible plan to clear arrears.
TIME TO PAY ARRANGEMENTS
A Time to Pay arrangement allows you to spread overdue tax liabilities, VAT, PAYE, Corporation Tax or Capital Gains Tax over affordable monthly instalments. HMRC will assess your financial position, cash flow forecasts, and compliance history before agreeing terms. A well prepared proposal significantly increases the likelihood of acceptance.
I prepare detailed financial submissions, negotiate directly with HMRC, and ensure the arrangement is realistic and sustainable. Where a petition has already been issued, I work urgently to secure a TTP agreement and seek withdrawal or adjournment of the petition.
HOW I HELP
I provide rapid, strategic support to stabilise your position, protect the business, and prevent insolvency. This includes negotiating TTP arrangements, challenging petitions, liaising with HMRC’s Solicitor’s Office, and representing you in court where necessary.
If HMRC is threatening enforcement or has issued a petition, immediate specialist advice can make the difference between rescue and liquidation.