RANGERS' TAX BILL has grown by £4m in interest and penalties, according to the club's administrators.
The Ibrox club now owe HM Revenue & Customs £18.3m for non-payment of PAYE and VAT in the nine months after Craig Whyte's takeover of the club, reports Scottish publication STV.
A spokesman for the administrators confirmed to STV that the increase is due to interest and penalties imposed by HMRC, rather than failure to pay PAYE and VAT since Paul Clark and David Whitehouse were appointed administrators on 14 February.
The latest figure is an increase of £4m from the £14.3m Duff & Phelps administrators reported to creditors in April.
The penalties come after the administrators drew up proposals to rescue the club, on which creditors will vote next week.
The taxman has now primed BDO liquidators if a rescue deal should fail to materialise.
I expect HMRC to publish the liabilities in the BTC next week just before the CVA date, that way they will get a bigger piece of the pie in the inevitable fire sale that will ensue. There was never a chance of a CVA offering creditors a pittance when the assets could get 20 times more. I hope they also take D&P to task for their protracted involvement and self interest. Remember when the CVA is refused they are now creditors and may not get all that they claim is due.. So a major back-fire on them also.
Posted by: JimBhoy, 08 Jun 2012 | 12:15
Just a few corrections to the hopeful post from an obvious non-Rangers fan --- the HMRC will not "publish" any "liabilities" at this time, anymore so than they already have. The matter is the hands of the First Tier Tribunal and the HMRC have a solid interest already in the club (as seen in the actual artivcle). Future "liabilities" are dependant upon Tribunal decision and perhaps even appeal. The idea that liquidation would raise more than 20 times what is mooted through the proposed CVA is unfortunately laughable -- a financial amateur's error. Have Rangers' Administrators (D&P) had a "protracted" involvement with the club ? Four months have passed since the club went into administration -- a shorter period than for Dundee or Motherweel -- previous SPL clubs who went through such a process.
Posted by: HMRC1, 09 Jun 2012 | 16:31
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