Businessman from Wigan banned over £68k taxman debt

The taxman has taken action against a Wigan businessman
The taxman has taken action against a Wigan businessman

A businessman who went bust owing the taxman more than £68,000 has been disqualified from being a director for four years.

Damian Hammond, who ran technical services firm D M Hammond, in Aspull, failed to make any payments to HM Revenue and Customs for more than two years.

And now the Insolvency Service, after receiving a petition from the tax authority, has secured a banning order against Hammond, 48, of Pear Tree Court.

The troubles began for the trader following the collapse of the company in October 2016, when it was finally wound up. An Insolvency Service spokesman said DMH submitted its VAT return for April to June 2014 but still had a liability of £201.

The spokesman added: “DMH did not make any payments to HMRC in respect of VAT in the period August 2014 to October 2016.”

The District Registry heard that as a result the tax authority calculated that the company owed them £44,650.

Another assessment, for the period between July and October 2016, estimated that DMH should pay out £6,606.

The original VAT liabillity was £51,256 but this was before surcharges were added on.

Bank statements seized covering that time showed that from August 2014 to December 2015 just under £137,000 came into the firm’s account and £137,873 was paid out.

Between December 2015 and October 2016 the company income of £81,270 was paid into Hammond’s personal account. And he treated £77,717 of this as his personal income.

When the company, which was first incorporated in September 2009, came to be wound up, out of the £72,116 which DMH was found to owe, £68,717 of this was a HMRC debt.

Before it went under, Companies House had issued four separate sets of proceedings against DMH, for the compulsory striking off of the outfit from the official register.But on each occasion, from 2012 until the company’s demise, the action was suspended and then discontinued.