MR GEORGE IONICA

Disqualified from

2021-05-20

Date of birth on record

June 1977

Between August 2019 to May 2020 George Ionica (“Mr Ionica”), failed to ensure that Renovva Ltd ("Renovva") registered with HM Revenue and Customs ("HMRC") for Value Added Tax ("VAT") under the correct VAT scheme and failed to ensure that Renovva submitted VAT returns to HMRC, resulting in under declared liabilities in respect of VAT amounting to £1,039,474 and causing or allowing Renovva to trade to the detriment of HMRC, in that: Renovva, a labour supply company, registered for HMRC's VAT annual Accounting system from 1 August 2019. The requirements to qualify for VAT annual accounting stipulate that annual turnover should not exceed£1,350,000. Renovva was required to make an electronic agreed monthly payment of £850 to use the Annual Return scheme and analysis of Renovva's Bank statements show payments made to HMRC in respect of VAT total £8,550 in the period 29 November 2019 to 31 July 2020; • Renovva was registered for the Construction Industry Scheme ("CIS") and submitted CIS returns to HMRC, from which HMRC established that in the period August 2019 to May 2020, Gross Payments of£5,197,370 were paid to subcontractors, with CIS deductions of £1,039,475 and net payments to the subcontractors of £4,157,894. These CIS figures confirm that Renovva's turnover in the period significantly exceeded the £1,350,000 turnover to qualify for annual VAT returns to HMRC; • HMRC wrote to Renovva on 6 August 2020 asking to review company records, however, on 17 August 2020 Renovva held a meeting with an Insolvency Practitioner to discuss the company's financial situation and the decision was made to enter Creditor Voluntary Liquidation ("CVL"). Renovva entered into CVL on 9 September 2020;