At home, spending my time to understand the self-employment income support.
Meantime i am trying to keep myself busy with the new e-commerce shops , but no income from early March.
But the Government has assured us to pay self employees early June
ok, it is fine ..I can accept the idea it is difficult for the tax office consider every single reality but when you arrive to study the new income support, you need lots of patience and self-esteem.
Let us start to explain.
First of all, open an account online with HMRevenue.
Avoid calling them by phone.
It is much better to use the website and you can find lots of news and advice
You start to read the income support rules and immediately you get lost with the words.
What is the trading profit?
What is the total income?
Everything seems easy, but it is not.
Not every self-employed can afford an accountant and if you look online you can see also the most experienced one has his doubts too.
After 3 hours of research, I arrive to discover where to look for my trading profit.
YOU NEED TO LOOK INSIDE YOUR SELF ASSESSMENT UNDER THE NUMBER 21
But even better if you look for the SA302 in your business account online ( always HM Revenue website )
On the SA302 you can find everything you need.
Your total income.
Your trading profit.
Your PAYE works.
During my research, I discover my trading profit is reduced by all the expenses I paid to maintain my self employed activity.
But now let us arrive at the formula
If you started trading from 2016 you need to sum :
Total income 2016/2017 -2017/2018–2018/2019
The result must be divided for 3 and must not be more than £50.000
Then you need to do the same formula for the Trading profit
The result must be divided for 3 and must be more than 50% of total income
And here I have the surprise.
THIS IS A BARRIER TO BE PAID BY THE GOVERNMENT.
They add everything in your total income but then they considered your trading profit ( included all the expenses you paid )
Small businesses will be excluded for sure.
In my case i work also in PAYE with many agencies and have lots of income based on that. But this PAYE INCOME INCREASE MY TOTAL INCOME BUT REDUCE THE POSSIBILITY TO RECEIVE THE SELF EMPLOYED SUPPORT
The limit to pay your self assessment was 31st January but the government allows people to pay until 23 April.
So those people who have delayed to know the rules of this NEW income support can change the details to get money ? and who paid on time will never see a single penny ?
Well, it is very hard to be self-employed in Uk
i am not feeling represented and helped in these hard moments.
The government writes to ask Universal Credit if you need money but…if you have savings over 16.000 pounds forget them!
In a family with kids 16.000 can last 1 year if they are careful with the expenses ..otherwise in 6 months are gone in rent and food!
Why the Government does not consider only the trading profit without including the total income ???
The mystery carries on
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