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Members Voluntary Liquidations (‘MVL’) are solvent winding up processes which require the appointment of a licensed insolvency practitioner to deliver the solution alongside a company’s accountants. The MVL process allows shareholders to tax efficiently extract cash or assets generally from a company with all distributions made by a liquidator being deemed a return of capital. This session will walk through the legal and practical steps required to place company into MVL and the involvement of the accountant both prior to and following the liquidation process. 

We’ll also discuss how MVLs are a key component of Corporate Simplification process for group companies and the work required to pull the necessary steps together alongside tax advisors. It is inevitable that accountants will need to understand the MVL process and assist in the delivery of these projects and our session will provide accountants with all they need to know to hold the important first stage conversation and assist with the delivery of the MVL process. It is important that accountants have this knowledge to ensure that clients do not migrate to another advisor to deliver this final stage of the company and shareholder journey.

In this session Martyn Pullin will cover the following topics:

• What is an MVL?
• The pre-appointment planning stage
• Declaration of Solvency
• The Appointment
• Distributions and key considerations

By attending this session, you will gain a strong understanding of the MVL process, the role of the accountant both prior to and following the liquidation, the tax implications and work required, how to mitigate the costs for your client and when an MVL should be considered.

The session will be of most interest to client facing accountants, tax advisors and business owners seeking to understand the most tax efficient option to extract value from companies that have come to the end of their economic life.

Course level: Intermediate