SA302 Problems

seafarer123

Hello all,

I was wondering if anyone had any advice on a mortgage issue that I am having. I recently applied for a mortgage with Clydsdale bank and was rejected. They said this was due to my SA302 forms and now, before I go around all the banks I thought I would come here for some advice. I'll explain....

I submit my self assesment every year, as for tax purposes I am classed as self employed, although I am contracted to the company I work for on an annual basis. I work offshore in the middle east and I am paid without taxes deducted. As I am eligible for seafares tax relief, my entire earnings are declared via self assesment (and paid into a UK bank account) and are on the SA 302 form are shown as both, my gross profit and an allowable expense. So it shows my "gross profit" (total earned) minus my "allowable expenses" (all of my earnings) which means my Net profit is 0! which is not true I get to keep all of my earnings, minus National Insurance.

I did explian myself to the mortgage lender, but the underwriters would not accept it. I have a good amount of deposit saved, my LTV will be 80% and I am a first time buyer.

Is the best bet to go for a good IFA? Or will they come up against the sme brick wall? I feel pretty stuck as my last 3 years earnings are all declared this way. They all show a net profit as 0. I know I have only tried one bank, but I don't want to be rejected by them all, when a knowlegable professional could help me out.

What does everyone think? can an IFA do anything in this situation?

Thanks for your time.

Ivana_Tinkle

My partner and I are both self-employed. When we applied for a mortgage, we had a choice of submitting either accounts or SA302s. Could you get an accountant to prepare accounts for you and submit those next time around instead of the SA302s?