Failing To File Annual Statements -- Again

[Richard4849]

I'm sorry my original posting crossed the bounds of what is considered appropriate. Please allow me to rephrase:

Can anyone tell me what the consequences might be of failing to file a private limited company's annual financial statements?

I'm not advocating anything illegal, simply asking about consequences. Hopefully, this is no different than asking what the fine is for overstaying one's visa, or for failing to report one's location to immigration every 90 days (or whatever it is).

Thank you.

[joskydive]

They will assume that your Company is still functioning and since you didn't file your annual statement on time, they will estimate the taxes that you owe, at a drastically higher rate than your accountant would make them, and then come after you for that amount.

[Richard4849]

Thanks. And what if the company really isn't operating, and has vacated its former premises? What are the director liabilities in this case, and how vigorously do they pursue? Do only current directors have liabilities? What if the sole director has become deceased? Would they go after previous directors?

Again, I want to emphasize that I am not advocating anything illegal -- I am simply wondering about director liabilities and possible consequences.

Edited April 24, 2009 by Richard4849

[NHJ]

you have until the 31st mai to fil the tax returns, this lets plenty of time.

[Richard4849]

you have until the 31st mai to fil the tax returns, this lets plenty of time.

Yes, I realize what the deadlines are. I am wondering about what the consequences of not meeting those deadlines might be.

[joskydive]

Thanks. And what if the company really isn't operating, and has vacated its former premises? What are the director liabilities in this case, and how vigorously do they pursue? Do only current directors have liabilities? What if the sole director has become deceased? Would they go after previous directors?

Again, I want to emphasize that I am not advocating anything illegal -- I am simply wondering about director liabilities and possible consequences.

Frankly, if the company isn't operating any longer, I would suggest you pay to close the Company legally.

This debt could follow you. The directors listed at the time of the debt are eligible to pay the debt plus all interest incurred for non-payment. They are quite vigorous in persuing the debt and you could end up in great deal of trouble for non-payment of taxes. i.e. you are defrauding the Government.

If you check your Company formation documents you will find that all the Directors are listed with their home addresses. i.e. easily found.

As in your previous posting, it would be useless to change the ownership into your 80 year old, mother-in-laws name now as she wasn't the sole director at the time the debt was incurred.

[Richard4849]

I understand that debts follow the corporation, but was not aware that debts incurred by a corporation could potentially follow a director after his resignation. Can anyone else confirm? Director liabilities should be something of concern to everyone who is a director of a Thai company -- either one owned by themselves, or one for which they are only an employee.

[trd]

A friend of mine who owed tax was apprehended by immigration at the airport on the way out of Thailand. It was flagged up on the computer when his passport was checked. He had to have his accountant talk directly to the immigration officer by phone to reassure them before they would allow him to board the flight.

In another instance the foreign director of a company I worked for who was disputing a very large vat bill was told directly by the head of the Revenue Department in Phuket that if he refused to pay, the details would be put on the immigration computer system and he wouold have problems either leaving or re-entering the country.

[steadfast]

A friend of mine who owed tax was apprehended by immigration at the airport on the way out of Thailand. It was flagged up on the computer when his passport was checked. He had to have his accountant talk directly to the immigration officer by phone to reassure them before they would allow him to board the flight.

In another instance the foreign director of a company I worked for who was disputing a very large vat bill was told directly by the head of the Revenue Department in Phuket that if he refused to pay, the details would be put on the immigration computer system and he wouold have problems either leaving or re-entering the country.

Pity he didn't 'bung' them same Taksin then.

[hhgz]

"what if the company really isn't operating, and has vacated its former premises? What are the director liabilities in this case, and how vigorously do they pursue? Do only current directors have liabilities? What if the sole director has become deceased? Would they go after previous directors?"

Have you ever considered speaking with an attorney?

[Richard4849]

I've done that now. He confirms that corporate liabilities do NOT follow a director once he/she has resigned.