Housing Benefit and Self-employed

Rueben_2

Hi there, I'm in a little bit of a sticky situation. Can anyone help me out?

I'm currently self-employed, and up until recently was on job-seekers allowance (incidentally this was stopped under very dubious circumstances). I am also claiming housing benefit.

As my JSA had stopped the council has written to me explaining that they now need evidence of income earned or my payments will stop.

Since finishing as a student in September I have worked on a self-employed basis for roughly six hours a week. My income is approximately £60p/w. I am very naive when it comes to beaurocracy and red tape and honestly have no idea what to do here, as according to the direct.gov site I should register within three months of starting self-employed work or face a penalty.

My outgoings are far higher than my income, and the idea of paying tax on these measly earnings when I'm struggling as it is quite sickening! I really need housing benefit though in order to survive though.

Can anyone advise me on the current situation?

Gemmzie

If you are working as self-employed then you should be registered, and yes, as it's been over three months you are liable for a penalty (I think it's £100).

You shouldn't have been getting JSA if you were working, so you may have to pay this back. I'm not totally sure of the JSA rules in that respect though.

You need to complete a Self Assessment form, being self employed which shows what you are earning.

I'd advise to go to your local tax office and get things straightened out.

Re: paying tax, you only pay tax after the first £5035 (approx, can't remember the exact figure) you earn, so you won't have to pay tax on your earnings

Nickynoo1

and you will have to provide your books to the council to show your earned income, with supporting evidence. is receipts, invoices, expediture, profits etc. If you dont contact them they will stop your housing benefit. Better to phone them and arrange an appointment with them so they can tell you exactly what they need to see. Proof of registration will be one thing. Take everything you think you may need and start from there.

Scarlett1

Rueben wrote: »

Hi there, I'm in a little bit of a sticky situation. Can anyone help me out?

I'm currently self-employed, and up until recently was on job-seekers allowance (incidentally this was stopped under very dubious circumstances). I am also claiming housing benefit.

As my JSA had stopped the council has written to me explaining that they now need evidence of income earned or my payments will stop.

Since finishing as a student in September I have worked on a self-employed basis for roughly six hours a week. My income is approximately £60p/w. I am very naive when it comes to beaurocracy and red tape and honestly have no idea what to do here, as according to the direct.gov site I should register within three months of starting self-employed work or face a penalty.

My outgoings are far higher than my income, and the idea of paying tax on these measly earnings when I'm struggling as it is quite sickening! I really need housing benefit though in order to survive though.

Can anyone advise me on the current situation?

You wont get JSA, but you should get some housing and council tax benefit, I dont think you will pay tax on your income as you havnt earned enough by the looks of it

look at this site for a benefit check www.entitledto.co.uk