Renewing my tax credits issues, please help work out my income

[boloney]

hi

I`m trying to renew my tax credits, have few problems with it.

I`m self-employed, so do I have to enter my income gross after my expenses taken off?

for example I earned 15000, my expenses were 5000, so do I enter 10000 as my income from self-employment?

Another issue with my wife income, she was on Statuatory Maternity Pay all year, except 4-5 weeks when she was on holiday leave.

Please be patient, this is complicate

April and part of May 2011 - SMP she got pay for it 901.11 GBP

than June, July - unpaid SMP

August and few days in September - Holiday leave

and again, from September 2011 to March 2011 she was on SMP - got pay for those moths 2713.82 GBP

So she was on SMP for about 47 weeks in whole year.

Now I`m going through deductions on working sheet from my renewal pack.

Should I just get her SMP payment for whole year (2713 GBP) and divide by 47 weeks? That will be easy solution.

or do I have to go through each week and check how much she was paid for it?

They saying if your payments were more than 100 GBP a week enter 100 for each week, should I do so in case of April and part of May?

For December she was paid 424.32 GBP

for January 467.90 GBP

Other months were under 400 GBP so that work out under 100 GBP a week.

 

Hope someone can help work it out, otherwise I will have to give them call and thats not gonna be easy one to explain on phone

If you have any questions just ask

 

 

Thanks

[citizenB]

I will send out an S.O.S for you

[manaboutadog]

I had same issue with me and my partner income from what I can see on the help steps. Any smp paid over 100 pounds you put 100 in upto 39 weeks of the tax year 2011-2012 so 100 into 39 = £3900 then you take that off the total pay of the p60 for the tax year if it was less then £100 then you add that up into 39 weeks . Thats how I read it and I done it over the phone much easyer then sending the form back in as for self-employed not sure about that side of things but someone will be along to help you out

[manaboutadog]

Should be all on her p60 for the tax year then however long she was on smp in 2011-2012 April to April, work it out then any thing over a £100 in them months counts as £100 then add that up with total weeks in the tax year then take that off the income if that makes sense.

[citizenB]

Hi, comment from one of the guys I sent an S.O.S to, for you..

 

 

Its the business profit that he needs to enter.

 

So total income generated less all his business expenses & Capital Allowances (if any) = taxable profit. Basically it's the amount that his tax is based on.

 

ims21

[boloney]

Thanks all for advice.

Another think which make it more compicated is that she is paid monthly.

So how should I work it out?

On one payslip, I think that was december, she was paid £425. december has 31 days, so should I devide by 31 days or only by working days to work out weeks?

Thanks

[manaboutadog]

I would do £425 divide by 4 weeks thats how I would work it out, so that would be £106.50 which would work out £100 a week so £400 TAXABLE for that month so work every month out and how many weeks pay of smp your wife got up to the full 39 weeks .

[slick132]

Self employed income will normally be the net figure of profit after expenses.

 

To find the weekly equivalent figure from a monthly salary, multiply by 12 and divide by 52.

 

So £425 net salary per month gives a weekly figure of £98.08

 

[boloney]

Thanks again.

I did work it out, hope it will work fine.

I will keep my work sheet in case any problems

Based on the calculator online I should get more Than they paid me for 2011/2012, now question is will they give me this money?

Thats because my wife income for 2011/2011 is about 5000-6000 less Than income for 2010/2011.

[boloney]

Thanks again.

I did work it out, hope it will work fine.

I will keep my work sheet in case any problems

Based on the calculator online I should get more Than they paid me for 2011/2012, now question is will they give me this money?

Thats because my wife income for 2011/2011 is about 5000-6000 less Than income for 2010/2011.

Just to let others know, hmrc backdated payment and pay me underpayment for 2011/2012.

[slick132]

Hi Boloney,

 

Thanks for the update.

 

Sounds like a good result for you

 

[citizenB]

Just to let others know, hmrc backdated payment and pay me underpayment for 2011/2012.

 

Excellent