Director information hub: HMRC joint and several liability notices
These notices make directors and others responsible for paying the tax debts of companies they've been involved in.
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Joint and several liability
After a company becomes insolvent, HMRC can issue 鈥榡oint and several liability鈥� notices to directors and others associated with the company to make sure tax is paid.
They can also be issued before an insolvency, if insolvency is likely to happen.
A joint and several liability notice tells you that you鈥檙e personally responsible, along with the company and anyone else issued with a notice, to pay the penalty amount raised against the company.
These notices are a way of making sure tax is paid even after a company enters insolvency.
The legislation for this is contained in聽
When the legislation applies
You could receive a joint and several liability notice in cases of:
- tax avoidance and tax evasion
- repeated insolvency and non-payment cases
- facilitating avoidance or evasion, for example: helping others to avoid or evade paying tax due
Full guidance on joint and several liability notices聽is available from HMRC.