Proving Hours Worked for Tax Credits as a Company Director

verveuk

NYM wrote: »

It from this website...The link in the final paragraph is a broken link but I had hoped that as it was from the Dept for Benefits and Credits it would be conclusive.

You'd hope that there was some authoritative information somewhere but there is nothing that I can find

Keep us updated won't you ?

Bummer, thank you for looking though! I did find similar info on a revenue benefits site but its not official.

Will do. I will put together a letter describing what my position is and role in the company and the tasks I perform bearing in mind the HMRC are looking for me to justify that the hours I do in the business are 'earning' money

Prothet_of_Doom

blondebubbles wrote: »

Yes if you are also employed by the company you'd need to pay yourself minimum wage for the work you do.

https://www.nibusinessinfo.co.uk/content/company-directors-and-national-minimum-wage

A company director is exempt from minimum wage legislation. FACT.
Think about it.
You invest FREE time and effort for years inventing and developing a product or service and EVENTUALLY it ALL comes good, and this time next year we be millionaires.

Icequeen99

blondebubbles wrote: »

Yes a company director is exempt from NMW. I have said this.

But if the director also has an employment contract then they need to be paid NMW.

This is very clearly explained in the link.

Yes, you are right. But the websites linked to are talking about a situation a few years ago. There was a number of cases that cropped up where HMRC were being inconsistent and in some cases they decided that in order for a Director to be classed as in remunerative work they had to have a contract of employment (and therefore pay themselves NMW). If they didn't then HMRC were saying they were not in qualifying remunerative work. As the websites say, HMRC then seemed to clarify the situation (albeit unofficially). That seems to be what is causing some confusion.

IQ

verveuk

Icequeen99 wrote: »

Yes, you are right. But the websites linked to are talking about a situation a few years ago. There was a number of cases that cropped up where HMRC were being inconsistent and in some cases they decided that in order for a Director to be classed as in remunerative work they had to have a contract of employment (and therefore pay themselves NMW). If they didn't then HMRC were saying they were not in qualifying remunerative work. As the websites say, HMRC then seemed to clarify the situation (albeit unofficially). That seems to be what is causing some confusion.

IQ

Sounds like it all gonna depend on what way the wind is blowing on the day