Bury Football Club are debt free
The winding up petition against them has been dismissed at the High Court.
A judge has dismissed a bid to wind up Bury.
Judge Sally Barber analysed the club's case at an Insolvency and Companies Court hearing in London on Wednesday after being told that it had tax debts.
A lawyer representing HM Revenue and Customs, which had made an application to wind up, told the judge that a debt had been paid. No detail of the amount Bury had owed was given at the hearing.
The news comes after the phoenix club for Bury FC, who were founded in 1885, had applied to join the North West Counties Football League from next season.
The group behind a new club are hoping to start again in the NWCFL, which runs divisions at the ninth and 10th tier of English football, and has submitted a proposal under the name Bury AFC.
Bury were expelled from the English Football League in August after failing to secure new ownership when a last-gasp takeover bid collapsed.
The Shakers were not allowed to start the Sky Bet League One season after the club and its owner Steve Dale were unable to prove they would be able to finance the forthcoming campaign.
A proposal to rejoin League Two at the start of the 2020-21 season was rejected by the Football League's other 71 clubs, which has led to Bury AFC applying to join the NWCFL.
A statement said: "The North West Counties Football League on Tuesday received an application from a newly-formed club, Bury AFC, for membership of the League for season 2020-21.
"The application has been received as per the regulations of The National League System. The League will be working with the club, the FA and other interested parties in progressing the application. At this stage, we are reviewing the application and supporting documents.
"The league's board of directors will meet to discuss the application and whether, as this is an application from a newly-formed club, to support the application ahead of the FA deadline of 1st February 2020.
"The league will be making no further comment at this stage.''