Self Assessment when no income ?

Hello all,

Bit of an odd one. I did speak to NDL but they said to ask TaxAid who I've not been able to contact yet.

Anyway a bit of background...


Around 2014-2015 I was self employed, earned little but did the return etc, no problems at all there.

After that I was no longer working due to health, I did tell HMRC I was no longer working etc and I recall I had to do a return the following year, I did tell them again online and had to do another return the following year.

This was no issue as I was at the time on JSA and other benefits, I realise some were taxed so I simply declared it all, again no issues.

I stopped being asked to do a return around this time. Somwhere I may have the email still.

Last email I have from HMRC is 2017 I think, as I recall it said they'd tell me via letter but I don't remember getting one. I would of made a note.

Not been well enough to work since then :( , there was a period of no income too before moving to UC.



Past couple of years its been Universal Credit and more recently the low rate of PIP, nothing else. These are as I understand it already tax-paid.


I was asked to fill in a new return. I checked it was genuine and it was. I have written to them to ask why but I don't expect to hear back from them before the deadline.

Question here is simply: What do I put on the return (I have not looked at the form for a few years obviously) regarding this only small source of income ? I'd hate to be taxed twice.

For clarity, my health is actually slowly decreasing not improving

HMRC have only asked for the last tax year return as per you'd expect, but I have acres of paper anyway so there is no issue if more is ever needed.


Just confused about what to put on the return for when my only income the past few years has been UC and now low rate PIP.

Thank you.

I am sure others will have been in this situation.
«1

Comments

  • theydev
    theydev Posts: 7
    First Post
    Forumite
    Cannot edit above sorry.

    As I remember I've not been asked to do a return for 4 or so years. I would have to check this for exact dates. A neighbour did suggest occasionally they can pick people "out of the hat" who did returns before to ask for another one.

    There's no "skeletons in the cupboard" here as such. Have always been honest with them. Just surprised they want a return again.

    Oh I did try the online "de register" but as the last date was so long ago it would not accept it but I thought that the case too.

    Original question is as above, what do you do when your ONLY income is 'pre taxed' , as in I am not sure if it should be declared or not, in the case of not, then my "income" is zero...
  • sheramber
    sheramber Posts: 18,617
    First Anniversary I've been Money Tipped! First Post Name Dropper
    Forumite
    What income do you have that is 'pre taxed'?
  • Dazed_and_C0nfused
    Dazed_and_C0nfused Posts: 12,709
    First Anniversary First Post Name Dropper
    Forumite
    What income do you have that is "pre taxed" (whatever that actually means)??

    DWP only ever deduct tax from deferred State Pension (for a pre 6 April 2016 deferral) so it's unlikely to be benefit related.
  • Jeremy535897
    Jeremy535897 Posts: 10,371
    First Post First Anniversary Name Dropper
    Forumite
    Both PIP and UC are tax free. If you really have no other source of income (pension, bank interest, selling on Ebay, etc etc0 submit the return before the deadline with no entries other than putting in the white space "no taxable income, only universal credit and PIP." But if you can, talk to HMRC first, to find out what has triggered this.
  • theydev
    theydev Posts: 7
    First Post
    Forumite
    Thank you all.

    For clarity I am under the pension age by about a decade.

    As mentioned my only income is UC and now PIP, nothing more. I did get a small DHP (discretionary housing payment costs towards rent shortfall etc) from the Council last year but aside from that, no nothing else.

    NDL did say check my online tax account which I did to ensure there was "nothing amiss" I forget their exact words, but no, everything was in order, nothing owed and HMRC have only asked for this last tax year. I do have slowly degrading memory too which is why when I wrote my first post I was unable to provide 'exact' dates as I'd have to go through a lot of things first.

    But no, there is nothing hidden and I have a huge paper trail as it were, statements galore.

    I did not expect to hear back from HMRC before the deadline, foolishly I did not sent it tracked, I may write again now and fill in the return anyway (I would if it got too close to the limit)

    I could not remember off hand if there was space for "extra information" as mentioned above thank you, as its been that long since I had to do one.

    Thank you again. Appreciate.
  • sheramber
    sheramber Posts: 18,617
    First Anniversary I've been Money Tipped! First Post Name Dropper
    Forumite
    Try phoning them as soon as lines open to be at the front of the queue.

    Often some staff start work early and will answer shortly before 8am.
  • theydev
    theydev Posts: 7
    First Post
    Forumite
    Thanks all. I am not really able to cope with phone calls, as in I need time to process my thoughts.

    I have found the email which does say I need to file a return.

    But on the actual "at a glance" page it says I've not been asked for one and the tax year summaries, this year it does show one (gap for a few years) but says "no issued"

    So I'll simply file a return as no taxable income which is true, then if they want more information or paper, that is not a concern.
  • theydev
    theydev Posts: 7
    First Post
    Forumite
    I wonder, is it normal for the "any other information" , box 17 I believe, the last one to -not- show anything when you look at either the colour or mono pdf ?

    Despite updating it, and it showing when amending, it is empty on the printout.


    Oddly, On the 4th or so I had an email saying a new message, but the message was the 1st. It was not there or I'd of seen it but anyway the 'return' is done for now and as above if there are any concerns with it I'm sure they will say, Its accurately entered to the best of my knowledge.
  • EnPointe
    EnPointe Posts: 243
    First Post Name Dropper
    Forumite
    Both PIP and UC are tax free. If you really have no other source of income (pension, bank interest, selling on Ebay, etc etc0 submit the return before the deadline with no entries other than putting in the white space "no taxable income, only universal credit and PIP." But if you can, talk to HMRC first, to find out what has triggered this.
    not quite sure what you mean by 'pre-taxed' 

    UC and PIP are not taxable 

    https://www.gov.uk/income-tax/taxfree-and-taxable-state-benefits

    do you recieve any other payments  (income protection, interest from  investments etc  ) ?
  • theydev
    theydev Posts: 7
    First Post
    Forumite
    edited 9 January at 1:54PM
    EnPointe said:
    not quite sure what you mean by 'pre-taxed' 

    UC and PIP are not taxable 

    https://www.gov.uk/income-tax/taxfree-and-taxable-state-benefits

    do you recieve any other payments  (income protection, interest from  investments etc  ) ?

    No, nothing at all only lower rate PIP , standard UC and occasional assistance with DHP from council, nothing for quite  a few months now. It takes ages to process, but DHP is not taxable as far as I can tell either.

    I may of confused people by saying "pre-taxed" when they are "not taxable" , sorry.

    Question is the extra information box remains blank in the pdfs, but is populated in the actual return if you amend it its showing.

    I am not convinced my letter arrived somehow, so I will write again next few days, the 'return' is done accurately to the best of my knowledge and I have screenshots of various bits etc.

Meet your Ambassadors

Categories

  • All Categories
  • 341.6K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449.1K Spending & Discounts
  • 233.8K Work, Benefits & Business
  • 605.9K Mortgages, Homes & Bills
  • 172.3K Life & Family
  • 246.7K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards