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Lower permitted or higher permitted ?

Hi I have had another letter and a PW1 sent. In the letter is says that I am doing higher permitted work in fact. This is despite me not making any profit from my self employed business. I made £3000 from nearly 2 years (they were very late sending me anything to check it out). However my expenses for the business far out way my earnings. I have sent them the accounts to show this. For some reason they have not taken the expenses and losses and only looked at earnings. I have made no profit so I have not gone over the £20 a week permited work earnings. I read things on the net a while back that if no profit is made for self employment then this means you are not making £20 per week. Do any of you know how this stands currently ? Am I right or have I misunderstood information on the internet.

Thanks very much.

Thanks for helping.
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