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

What is the appropriate revenue recognition, Moto Knappy is a manufacturer ...

Moto Knappy is a manufacturer of automobile motors. The manufacturing process takes a couple of months. The company produces several standard and custom models. To simplify this

Public law and private law, Public Law: Whether it contain of those fi...

Public Law: Whether it contain of those fields or branches of law  where such the state has an interest as the sovereign egg criminal law, administrative law, constitutional l

Case study, I don''t know how to make a maxim. And my case is

I don''t know how to make a maxim. And my case is

Benefits associated with ethical behavior, Question 1: (a) According to...

Question 1: (a) According to Archie Carroll what are the four interrelated aspects of corporate social responsibility? Use examples from the Mauritian context to illustrate you

Effect of ultra vires transaction, Effect of Ultra Vires Transaction: ...

Effect of Ultra Vires Transaction:  An ultra vires transaction with a company may result in: a) a transfer of specific property to the company, or b) money being lent to

Classification of companies, Classification of Companies: Section 389 ...

Classification of Companies: Section 389 of the Companies Act provides that "no company there association or may partnership consisting of more than twenty persons shall be fo

discuss recent legislation related to ethical computing, Throughout this c...

Throughout this course, you have analyzed and discussed case studies and issues on key ethical issues in information technology. Now it is time to consider how these theories apply

What is meant by the supremacy of parliament, Question: (a) Define dem...

Question: (a) Define democracy. How far is the famous saying of former president of USA, Abraham Lincoln valid today? (b) Argue the case for and against the introduction

Recommendations for addressing phoenix activities, Recommendations for addr...

Recommendations for addressing phoenix activities Over the past two decades there have been a significant range of proposals for addressing phoenix activity. Most of these opt

Business Ethics, As organisations affect many people, they have obligations...

As organisations affect many people, they have obligations to their employees, consumers, community and the world. They have a responsibility to conduct business in a way that is n

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