In re Ethos Solutions Ltd

Subject Matter

INSOLVENCY — Adjustment of prior transactions — Transactions at undervalue or preferences — Company operating scheme intended to enable participants to avoid tax and national insurance contributions — Company left with substantial liability to revenue following failure of scheme — Whether scheme composite transaction at undervalue with purpose of prejudicing revenue’s interest in current or future claim against company — Insolvency Act 1986 (c 45), s 423

[2024] EWHC 1081 (Ch); [2024] Bus LR 1342; [2024] STC 1060; [2024] WLR(D) 216, Ch D

INSOLVENCY — Transaction at undervalue — Purpose of transaction — Company entering into tax avoidance scheme to avoid incurring liability to deduct income tax and national insurance contributions from payments to participants — Whether transactions entered into for improper purpose — Insolvency Act 1986 (c 45), s 423

[2025] EWCA Civ 268; [2025] 1 WLR 3871; [2025] Bus LR 2265; [2025] STC 548; [2025] WLR(D) 151, CA

Appellate History