Tax Credits Help PLEASE

speedyjack

Hi this is my first post, and i need some advice before ringing tax credits people.
My wife and i put a claim in for credits last September, at the time we we're starting a new business and said that's what we would be doing to earn the wage each week. We had so many things go wrong that business we didn't go ahead with it and did some thing else instead. I didn't ring wtc to say this, will it make any difference we still worked over 30 hours a week each, but not on the business they have us down for ? As of this week the 1st business is ready to go, what do i do ?? I have put in a estimated earning so far but no a actual figure in yet. Also it's the same on the tax return i haven't change the business.
Can anyone please help me with some good advice.

nonnatus

I don't really understand what you're asking, sorry!

You made an original claim for 2 people working 30 hrs a week self-employed - what income did you estimate?

That business didn't work so you tried another one, still claiming 30hrs a week - but at what income?

And then what does this mean:

"As of this week the 1st business is ready to go"

Ready to go where? Are you starting the first business up again?

There are LOADS of really helpful, knowledgable people here. Take five minutes and explain again what you think you've done wrong. It will be sorted .

speedyjack

Hi sorry
The income for last year was around estimate 11000,for the both of us, haven't got all the figures at the mo.
We're going to try and have another go at the first business again as of this week, but may carry on the other as well. Do i need to let them know all this ? Or as long as we worked the hours etc we will be ok ??

zagfles

If you worked over 30 hours you'll be OK, you don't have to tell them you switched jobs/businesses unless there was a gap, but if it was self-employed work they may ask you to provide proof you did the hours you claimed.

speedyjack

Hi thank you, no gap between business, So as long as we both worked over 30 hours, it doesn't matter which business it was. Also we get joint payment, as we both work on the same business, would it still be the same if we separate the two business and worked as sole trader. Have i got it right as long as you work over the 30 hours each we can still claim. As long as it's under the 18000 ??
Any help and advise will be wonderful.

Icequeen99

speedyjack wrote: »

Hi thank you, no gap between business, So as long as we both worked over 30 hours, it doesn't matter which business it was. Also we get joint payment, as we both work on the same business, would it still be the same if we separate the two business and worked as sole trader. Have i got it right as long as you work over the 30 hours each we can still claim. As long as it's under the 18000 ??
Any help and advise will be wonderful.

Yes that is technically correct. But as Zagfles says, HMRC are investigating a lot of self-employed claimants at the moment especially if they are declaring losses and low profits but working 30 hours. So i would keep careful records of what you are doing for your 30 hours each week.

Also, not only that you are doing work for 30 hours but that it is the right type of work. It has to be in 'expectation of payment'. So somethings obviously are fine such as visiting clients, giving quotes, doing book-keeping etc...but other things such as 'research' if it is to establish a business wouldn't count. HMRC are really tightening up on this and you will save a lot of worry if you just keep a diary each week and write down the major things you are doing.

IQ

speedyjack

Hi so i don't need to call them to let them know, i've changed by self employed job. Just need to make sure i get everything back to them.

speedyjack

Hi can anyone give me some more info

speedyjack

Any more help on my issue would be great.

leveller2911

As Icequeen said............... If your self employed you will need to keep a timesheet/diary of the hours you are putting into your buisness and be specific when writing down exactly what your doing and what hours are covered. If your turnover/profit is reasonable compared to the hours you are claiming you are working then you will be fine.They won't like a new business making little or no profit purely down to the reasons Icequeen stated.

What jobs were you doing prior to last September? employed? unemployed?

Be careful not to try and manipulate your hours to fit the tax credit criteria as they will catch you out.