Definition of 'Last Financial Year' Please

pennypincher3562

Hi

This question relates to a benefits claim, however I know a lot of people on this board know a lot about HMRC, and tax returns to I am posting my question here.

I am trying to get a Council Tax rebate/reduction backdated to February 9th 2015.

I am filling out a form, and they are asking for income and expenditure of my sole trader venture for the 'last financial year.'

Could someone please define the 'last financial year.' To me that means 2014/2015.

I am wondering how useful that will be to them considering that my rebate is from February 9th 2015.

Thanks
PennyPincher3562

Saver-upper

The last full financial year was 6thApril 2014-5th April2015.
Feb 9th 2015 is in that financial year.The current financial year will finish 5th April 2016

pennypincher3562

Thanks Saver-Upper, that is exactly what I thought, I am not sure how this will help them, as it does not cover most of my rebate period from February 9th 2015 to August 9th 2015.

I would have thought income/expenditure for the rebate period, would have been much more useful to them.

I don't really see how figures from before the rebate period are much use to them?

Cheers
PennyPincher3562

chrisbur

You can have any twelve month period as the financial year for your business, I use beginning of January to end of December.

pennypincher3562

Thanks Chris

I might just use 'my own financial year, to cover the date of the rebate - makes sense to me.

Don't see any point in giving them info on a time period well before the rebate period.

Thanks
PennyPincher3562

chrisbur

pennypincher3562 wrote: »

Thanks Chris

I might just use 'my own financial year, to cover the date of the rebate - makes sense to me.

Don't see any point in giving them info on a time period well before the rebate period.

Thanks
PennyPincher3562

You should use the same financial year that you declare on your tax return.
These are section 6 and 7 on my Partnership return I would assume that there is something similar on your Sole trader return.

booksurr

as Chrisbur says, last financial year means your own accounts year covering the most recent full 12 month period in which your total income and expenditure is recorded and therefore the net profit you made has "official" meaning

obviously a means tested benefits claim requires an income figure to be given. For the self employed your income is what is declared in your accounts and as shown on your tax return. Of course your financial year may not be aligned with the actual April tax year dates hence they asked for "financial year" not "tax year"

Caz3121

have you checked that you meet your own councils criteria around backdating?

eg
How do you qualify for backdating of you Council Tax Reduction?
If you have reached the qualifying age to claim State Pension Credit your entitlement can be backdated to a maximum of 3 months from the date you make your claim. You do not have to apply for backdating, but you may have to supply details of your income and capital for the period concerned. In all other cases your entitlement can only be backdated for a maximum of 26 weeks from the date of your backdating request.
In order for an application to be backdated we must be satisfied that:
you have shown good cause for failing to apply earlier; and
that good cause existed continuously during the period for which backdating is being requested.
You will need to show continuous good cause for not claiming earlier and we must be satisfied that your circumstances during this time were such that any reasonable person of your age and experience would also have failed to apply for a reduction. You have to prove good cause, but we must take account of all the facts of your case.
Some examples of when you may have good cause are:
you did not immediately apply for a reduction after leaving hospital;
you were ill and had no-one to make an application on your behalf;
you did not understand that you could apply for a reduction perhaps because of age, inexperience or language difficulties;
you have suffered a recent family bereavement;

in this councils case, even if you met the criteria because you may have been ill and in hospital, they would not go back longer than 26 weeks anyway

pennypincher3562

Hi Caz

Yes I have, and they will accept it being backdated for 6 months, which is good news for me.

Cheers
PennyPincher3562

pennypincher3562

chrisbur wrote: »

You should use the same financial year that you declare on your tax return.

Hi ChrisBur

The last tax return I did was for 2014/2015, but as mentioned it does not cover most of the rebate period from February 9th to August 9th.

In fact I've just recalled the financial year I used for my 2014/2015 tax return does not cover any of the rebate period!

I have to admit I've getting really confused.

Thanks
PennyPincher3562