Original Salford City Red wrote:It paid off the tax bill! as has been stated many times over.
Sorry - What tax bill? - if a company is making a loss then there is no corporation tax to pay
There may be VAT to pay if the merchandise sales outweigh the purchases costs, but in that case the cash will have come in with the sales revenue
There will be Income Tax & NI from the wages, but that (apart from the employer's NI contribution) will have been deducted from the wage itself
So I ask again - What tax bill?
It may of course have been used to reduce the overdraft and any relience upon the robber baron banks.