Self Employment Grant Mistake

Cronas

Hi gang
Just a quick question.... In my attempt in getting the well needed Grant, they calculated that in my 2017/18 year that I was -£11K
MINUS £11,000 ?
I've set in motion an appeal with the right information on my profits that year ( and yeah I mean profits, not a loss ) and so have to wait until the end of the Month...but is there anything else I can do in the mean time...I have no idea why they think I made a loss of £11K in 17/18,...if I did, I wouldn't be in business?!!

Thanks in advance.

Jeremy535897

Have you taken all your capital allowances claims into account?

Grumpy_chap

They will simply be looking at what you declared in your 2071-18 tax return. 
If that is not aligned with the SEISS calculation, then engage with HMRC.

Bibbitybobbitybop

What does your tax return say ?

Cronas

Hi Gang
Sorry for the delay...
I sent in my paperwork as normal.... I earned a profit of £8009 that year..but the Tax return is saying I earned nothing.
The year before, I earned a little less, but this is all been filed correctly....so I have no idea why 17/18 has been listed like this.

Cronas

How is this even possible.... 
I earned less the year before, but that's list all correctly.
They received my paper work all up to scratch....so...someone has cocked up ....could be them, could be me.
But to say I earned nowt, is a little stupid

Grumpy_chap

I am not sure what your question is now.

You provide the information in your tax return.  For self-employment, that is income less allowable deductions (expenses).  If the deductions are greater than income, then you earned zero.  You may even be allowed to carry the losses forward to set against the following year.

Like most people, you have done the tax return for 2017 -18 to include as many expenses / deduction as you can to minimise the tax liability that year.  That was done without the foresight that there would be some scheme handing out free money several years down the line based on having a higher income in 2017-18.

Weezypops2

maybe I'm being stupid but is that not just telling you how much tax you paid - so your personal allowance is the amount you can earn before you start paying tax. The grant should be based on your profit.

Grumpy_chap

Profit is what was charged to clients less allowable expenses.  Can leave a balance of zero or, even, negative.  Would be likely in first year if there were startup costs to buy equipment, or other investing in the business such as a van

Jeremy535897

You need to look at the self employment pages to see what the profit figure shown was, if any.

Weezypops2

Grumpy_chap said:

Profit is what was charged to clients less allowable expenses.  Can leave a balance of zero or, even, negative.  Would be likely in first year if there were startup costs to buy equipment, or other investing in the business such as a van

But allowable expenses are different to personal allowance. The latter is the amount allowed for everyone before you pay tax. So the zero is because the profit was below that threshold.