Preferential debts, Business Law and Ethics

Assignment Help:

PREFERENTIAL DEBTS:

These unsecured debts which rank ahead of a floating charge and non-preferential debts are:

(a) one year's taxes, i.e. corporation tax, PAYE income tax deducted, rates, VAT unpaid at the "relevant date". The relevant date is defined as:

i. the date of the order for compulsory liquidation (or any earlier order for appointment of a provisional liquidator); or

ii. the date of passing the resolution to wind up voluntarily.

If more than one year's tax is outstanding the Income Tax Department may select whichever year yields the largest amount of corporation tax; in other cases it is the latest year's tax which is a preferential debt;

(b) wages and salary of an employee, i.e. clerk, servant, workman or labourer (including commission or piece work payments) of the four months up to the relevant date limited to a maximum of four thousand shillings owed to each individual employee, accrued holiday pay and employer's National Social Security Fund (NSSF) contributions. A director is not an employee in respect of a claim for unpaid fees - but he may be in respect of salary if he has a contract of service.


Related Discussions:- Preferential debts

Registered office clause, Registered Office Clause:                   ...

Registered Office Clause:                          Section 5(1) (b) provides that the memorandum of association shall state that "the registered office of the company is to be

The policy process - advocacy coalitions and policy learning, The policy pr...

The policy process - Advocacy coalitions and Policy learning The mobilization of attention is what policy advocacy is primarily about. And the systematic mobilization of attent

Legislation and legislative functions, Question : This is an extract of...

Question : This is an extract of the Mauritian Patents, Industrial Design and Trademarks Act 2002. 12. Patentable inventions (1) An invention shall be patentable under

Special crossing - crossing on a cheque, Special Crossing - Crossing on a C...

Special Crossing - Crossing on a Cheque Although S.76 (2) with such provides like "whether a cheque bears across its face an addition of, such the name like of a banker, whether

Explain law making treaties, Explain Law making treaties Law making tre...

Explain Law making treaties Law making treaties are those treaties which come into existence because of lack of customary laws related to a particular issue and in order to mak

Liability in tort, Liability in Tort A partner commits a tortious act ...

Liability in Tort A partner commits a tortious act so then the remaining partners are jointly and hence severally liable with him, thus provided they authorised such the act e

Adequacy of consideration - law of contract, Adequacy of consideration - La...

Adequacy of consideration - Law of Contract Well provided that consideration is sufficient, or actual it necessitate not be adequate.  Hence the court will not compare the val

Rules of delivery of goods - sales of good, Rules of Delivery of Goods - Sa...

Rules of Delivery of Goods - Sales of Good So the rule regarding with delivery are like; (a)  The goods should be in a deliverable state and one is (b) Otherwise unless l

Law of contract, Law of Contract: Mr.Sakr who owns a factory in Baabda...

Law of Contract: Mr.Sakr who owns a factory in Baabda for manufacturing furniture, signed a contract in his factory in 12-7-2009 with Mr.Abdo who used to import woods from Bra

Legal environment of business, Legal Environment of Business Invention...

Legal Environment of Business Inventions "R Us (IRU) advertises invention development services and has aggressively advertised its services on-line, in magazines, and on radio

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd