I am an ex small business owner and need some help.
I started a CC in 2008. The CC was "dormant" till around April 2010 when I bought a licensed laundry shop. It went all downhill and on the 28th Feb 2011 I closed the shop doors for the last time. I got an accounting firm to assist me with financial statements for the 2011 tax year (they submitted the IT14 on my behalf). Now they're gone and I need to understand:
1) My CC reflected some assets in terms of the license (or shall we call it franchise) rights, and a small amount of equipment which I had to leave in the shop so that the landlord could recover some of the fees as I actually breached the lease contract.
2) The CC also reflected some liabilities - mainly the loan account.
We did not have any transaction or trade in the 2011 / 2012 year.
I am now told that SARS is looking for the IT14 for the CC for 2009 and 2010, 2012 after which point they will de-register it. Do I still have to submit full AFS even if there was a zero balance (2009/2010) and how do I reflect the assets (non-existent assets, a useless license and no more assets) in my accounting, does the rights depreciate and what about the equipment that was left behind? Can I also just transfer the closing balance of the loan account as a starting balance and closing balance again?
Ideally I don't want to get an accountant for a non-existing business. Your input is really much appreciated.