Part 38Companies: interpretation

Other definitions

1169Dormant companies

(1)

For the purposes of the Companies Acts a company is “dormant” during any period in which it has no significant accounting transaction.

(2)

A “significant accounting transaction” means a transaction that is required by section 386 to be entered in the company's accounting records.

(3)

In determining whether or when a company is dormant, there shall be disregarded—

(a)

any transaction arising from the taking of shares in the company by a subscriber to the memorandum as a result of an undertaking of his in connection with the formation of the company;

(b)

any transaction consisting of the payment of—

(i)

a fee to the registrar on a change of the company's name,

(ii)

a fee to the registrar on the re-registration of the company,

(iii)

a penalty under section 453 (penalty for failure to file accounts), or

(iv)

a fee to the registrar for the registration of F1a confirmation statement.

(4)

Any reference in the Companies Acts to a body corporate other than a company being dormant has a corresponding meaning.