Solar energy - Feed-in Tariff payment delays - your experiences?

Martyn1981

Martyn1981 wrote: »

Please don't ask me to find this,

Just can't help myself, damn OCD!

BIM40520 - Specific receipts: domestic microgeneration: Income Tax exemption for domestic microgeneration

[Assuming this is still current?]

a householder who does not intend to generate an amount of electricity more than 20% in excess of their own domestic needs

Damn! Our needs are about 3,000kWh. Guess I'm gonna have to buy that A/C unit to burn a few more kWh.

Mart.

michaels

Anyway, the issue is that although FIT are tax free they appear to count as income for tax credits purposes unless anyone can find something to state otherwise and are thus effectively taxed at 41% (the tax credits withdrawal rate) and will hit me with a double whammy on 15/16 and 16/17 tax years because of an arcane 'disregard' rule in tax credits.

tunnel

Martyn1981 wrote: »

Damn! Our needs are about 3,000kWh. Guess I'm gonna have to buy that A/C unit to burn a few more kWh.

Mart.

Why not? Mines buzzing away just nicely to itself keeping our whole upstairs fridgelike.

KevinG

michaels wrote: »

Anyway, the issue is that although FIT are tax free they appear to count as income for tax credits purposes

They are not, where on earth did you get that idea from?

michaels

KevinG wrote: »

They are not, where on earth did you get that idea from?

Brilliant if they aren't - I did a google and the only reference I could find suggested that they were. do you have any reference that they are not?

KevinG

I'd be interested in your reference. The general rule is that if something is not subject to income tax it does not affect Tax Credits. For example you can earn £100,000 a year in interest in an ISA and it won't affect them and neither will the capital.

pinnks

I would suggest looking at the HMRC website if you are concerned.


Changing the subject completely, I am impressed again with E.On FiT team. Put my reading in at about 10pm on 25th June Thursday) and had money in the bank on Wednesday 2nd July. Not bad with a weekend in between.

EricMears

Martyn1981 wrote: »

Damn! Our needs are about 3,000kWh. Guess I'm gonna have to buy that A/C unit to burn a few more kWh

All the while you're on 'deemed export', you're entitled to believe that you're using 50% of what you generate; any problem(s) will only start if and when you succumb to the charms of the Smart Meter Brigade and suddenly find out that you aren't using quite that much.

EricMears

This threads been a bit OT recently and indeed hasn't had any postings for a few days.

This is just to record that Scottish Power seem to have improved lately. I think I mentioned in another thread that I had submitted a claim on 1st July but wasn't expecting to see any cash for at least three weeks. Money actually arrived in my account today - under a fortnight; indeed, it's just eight working days. Not exactly headline grabbing compared to those of you who report instant payment but it's a huge leap in productivity for Scottish Power. :j

KevinG

Same here from Scottish Power, reported on the evening of 30th June and in my account today.