Help ! Tax credit examination

sorryitsme

I had one of these compliance checks for self employment a few years back.

I was doing part time catering for functions so as evidence I gave a copy of my diary, a few copy invoices, a flyer, a copy of the contract I won with a company.

I then explained the day to day time spent on the business e.g cleaning areas, cleaning vehicle, purchasing food, cooking food, preparing, delivering, collecting trays, invoicing, banking, making accounts.

Think about your business and break down everything you do and the time it takes. You will be surprised the hours start racking up.

I only needed to prove 6 hours as the catering was in addition to my other job, but on reflection I was probably doing 20hrs.

Good luck

FRESTER

I had one of these a couple of years ago.
Out of interest how many months are they asking for proof of ? I think mine was April-June.
It is a worry even when you are legit.I think I had everything they needed but the business account I was using hadn't been used for months because the charges were high so I just had the payments put in my current account.They didn't qeustion why I was using my current account to run my business.
I also gave them a list of all my clients and invited them to contact them if they wanted to for proof (They are not allowed to contact them but it at least looks like you have nothing to hide if you offer).
I expect another one myself because I earned slightly less than min wage last year.

Mand0891

Hi

thanks for your reply, they are asking for April until November.
I will offer to do that as well, as long as they dont contact them incase they dont like it, dont want to lose my custom and also like to keep my claiming tax credits private from customers am a bit shy about things like that.

Thanks again

verveuk

Mand0891 wrote: »

Hi

thanks for your reply, they are asking for April until November.
I will offer to do that as well, as long as they dont contact them incase they dont like it, dont want to lose my custom and also like to keep my claiming tax credits private from customers am a bit shy about things like that.

Thanks again

Good luck with this. I've just received a similar demand for proof of hours from April to November also. Perhaps a whole bunch of these examinations have gone out this year

FRESTER

Mand0891 wrote: »

Hi

thanks for your reply, they are asking for April until November.
I will offer to do that as well, as long as they dont contact them incase they dont like it, dont want to lose my custom and also like to keep my claiming tax credits private from customers am a bit shy about things like that.

Thanks again

They are not allowed to contact your customers.It says so somewhere in their regulations.
Let us know how you get on 😀
April until November is a long period,like I said a couple of years ago it was just three months.
If I get one of these it's going to cost a fortune in ink lol

FRESTER

verveuk wrote: »

Good luck with this. I've just received a similar demand for proof of hours from April to November also. Perhaps a whole bunch of these examinations have gone out this year

About two or three years ago they done loads of these self employed checks.
There didn't seem to be hardly anyone talking about them last year.Seemed to be more checking teens were in college like they claimed to be and child care.
Going to be interesting to see if they check the same people from a couple of years ago again or if they are concentrating on people who never got checked last time or are newer to self employment.
Have you started self employment within the last couple of years ?

Mand0891

Hi

I started in June 2013.

I have spoken to a helpful lady this morning who said they would only stop my working tax credit not child tax credit if the worst happened. She also said they would have to prove that i am not working and that it would be very hard for them to do that and if the did they would have to put be back on benefits if they believed i wasnt working. Cant believe all this really i work only doing cleaning but to provide for my child.

Does anyone know if they can ask for personal bank statements if i dont have business ones?

Thanks again

FRESTER

Mand0891 wrote: »

Hi

I started in June 2013.

I have spoken to a helpful lady this morning who said they would only stop my working tax credit not child tax credit if the worst happened. She also said they would have to prove that i am not working and that it would be very hard for them to do that and if the did they would have to put be back on benefits if they believed i wasnt working. Cant believe all this really i work only doing cleaning but to provide for my child.

Does anyone know if they can ask for personal bank statements if i dont have business ones?

If you don't have a business account just explain why you don't need one.You don't have to have one !
If there is none of you self employed pay paid into to your personal account don't bother sending the statements if they haven't asked for them.
I sent my personal account statements because most of my self emlpoyed pay was paid in to it.So it helped prove my case.
It's in you interests to send everything to help prove your case but if your personal bank doesn't help and they haven't asked you won't need to send them.
I think my check was Oct 2012.It looks like they are checking people who have gone self employed since then.

Mand0891

I dont have anything paid into my bank account so wouldnt help them, i assume they still have the right to see them though. I live with my daughter at my mother and step fathers house but have my bank statements sent to my friends house because of my post being opened by my step father who i dont get on with.

I think they are checking alot of self employed people, i will send what i have with a letter and can do no more.

thanks again

FRESTER

Mand0891 wrote: »

I dont have anything paid into my bank account so wouldnt help them, i assume they still have the right to see them though. I live with my daughter at my mother and step fathers house but have my bank statements sent to my friends house because of my post being opened by my step father who i dont get on with.

I think they are checking alot of self employed people, i will send what i have with a letter and can do no more.

thanks again

They could ask but I highly doubt they will.
Good luck