This site provides general information only and does not constitute legal, financial, or professional advice.

Important: This guidance relates to company insolvency in England and Wales.

Can HMRC close my company?

General

Can HMRC close a company?

Yes. HMRC can take legal action to close a company if tax debts remain unpaid.

How it happens

HMRC may:

  • Issue warnings and enforcement notices
  • Apply for a winding-up petition
  • Force the company into compulsory liquidation

What directors should do

  • Engage early with HMRC
  • Consider Time To Pay arrangements
  • Seek insolvency advice

Risks if ignored

  • Loss of control
  • Forced liquidation
  • Director investigation

Related guidance

  • /guides/hmrc-debt-company
  • /guides/winding-up-petition