HMRC seems to be on a hot streak with its recent successful challenges to small to medium enterprises (SME) restructuring plans with the recent decisions in Re Nasmyth Group Ltd [2023] EWHC 988 (Ch) (“Nasmyth”) and Re Great Annual Savings Company Ltd [2023] EWHC 1141 (Ch) (GAS). In this article, we consider the questions: are restructuring plans for SMEs possible, and can HMRC ever be crammed down?
To answer that, we will be looking at the basic requirements for putting a restructuring plan in place, why Nasmyth and GAS’ plans were not sanctioned, and how future SMEs might work around the reasons those plans failed.
The restructuring plan process:
For a company to be able to use the process, it must have encountered or be likely to enco…
Read the full article at: https://www.womblebonddickinson.com/uk/insights/articles-and-briefings/mid-market-restructuring-plans-and-cramming-down-hmrc-fact-or