Sensible thread for self-employed people

[Bflatmajorsharp]

Could we have one please?

You know, where we don't have to continually confirm that yes we pay the same taxes as employed people, yes we pay slightly less NI but don't have access to SSP or pension contributions, yes the HMRC does know what we earn as we submit a tax return each year.

It's really struck me this weekend that offering no financial support to the 5million SE/gig workers is a public health issue.

People are still going to work because they can't afford not to. Some London tubes were packed today with people who cannot social distance, not because their jobs are vital but because they cannot afford not to work.

I hope that the govt address this sharpish. It's so dangerous.

They want us all on benefits instead don’t they

So this excludes those with a limited company?
In DH industry the companies he freelances for expect you to be limited, they won't fucking hire you if you're a sole trader!

I'm in this position too, for me it's because of bloody Government contracts!

But vast swathes on the self employed must be limited surely?

If you are an employee of a limited company, you should be able to claim as an employee on the furlough scheme.

The way he say scheme a million fucking times pisses me off.
Maybe politicians should be on a fucking scheme. See how they like it

The furlough system is not much use for those of us who pay a mix of salary and dividends.

zsazsajuju that would be a tiny amount though.

Definitely need clarity on net or gross profit. I can imagine that really is going to swing a lot of people over the £50k if it's gross.

How come he's said June will give the late filers time to 'catch up'. How is that right really? We're all being penalised for filing on time!

On another note how funny was Robert Peston 'oh shit' hahahaha

Dh has a modest pension, started new business when he turned 60. Income from self-employment, (averaged for past 3 tax years) is 48% of his total income...so if I've understood correctly we won't benefit at all from this. His business cannot operate at all in current climate (travel and tourism) and all his work for next couple of months has been cancelled. I guess we are one of the 5% who aren't eligible for help ...

DH was PAYE employee til Sept 2019 but has been running his own business since 2014. Therefore only recently has this business income become his majority income.

Think he won't be entitled to anything because of this.

My gross profit is over £50K and my net profit is lower.

I have emailed my accountant.

I am glad these measures have been brought in and I hope it means more self employed people will stay at home, and can worry a bit less about money.

However - what is to stop some people from carrying on trading and still claiming the money? For example, there is a nice chap putting up scaffolding on the house across the road, as they are having a loft conversion. I am sure he is practicing social distancing and he arrives in his own van. However, what is to stop him continuing with this work over the next 6 - 8 weeks, getting paid for it (in cash?) and still claiming the 80%?

Well DH is still working from home, thank goodness, because if we were relaying on that we would be stuffed I think.

Trading profit is usually gross profit.

Would we still get child benefit or does that change to UC aswell.

Also is it worth waiting until the 5th of April so that the tax year is finished so that doesn’t interfere when giving the tax credits our figure for last year?

He has also pretty much said that the tax system for Self Employed will be changing very soon to bring it into line with PAYE as a result of this.

dictionary.cambridge.org/dictionary/english/trading-profit

@2020newme there is nothing to stop him really other than his own conscious and how comfortable he'd be if he got caught defrauding HMRC. I know HMRC use a system called connect that they can apparently track strange 'dealings' but I don't know how advanced it is collecting this sort of information from smaller sole traders.

Taxable

Up to 2500 month

You've got 4 weeks to get your already very late tax return in

We'll be reconsidering the tax rates later

HMRC will contact you - beware of the fucking scammers

You get 3 months worth in one lump

You'll have to wait for HMRC to finish processing the business furlough payment... That's 90% of the working population

95% of the remaining 10%, us self employed, will benefit from this

I believe he also said, right at the start, that we could continue to work... Not sure I heard that right!!

Feel free to add whatever I forgot...

So...

1. Will it be backdated even if it doesn't kick off until June
2. Will it only apply if you have zero income from March or if you don't earn your usual amount? When does that start from?
3. If you apply for it, I presume it means you cannot accept any other work whilst receiving it. Which means we are penalised for that 20% plus... whereas I know several employees are receiving 100% wages but their companies can only claim back 80%. I appreciate that's not the case for everyone but there is a choice there.
4. Also need to know which 3 years of returns will be counted.If we file in April 2020, can we use our 19/20 figures as one of those years? Would make my earnings back to healthy whilst well below the threshold. The previous two years were shocking.

My gross profits for past 3 years are 57, 52 and 27K. So hopefully it will be averaged out to below £50K.

Yes it will be backdated and yes you can still work. He literally said these things.

www.gov.uk/government/news/chancellor-gives-support-to-millions-of-self-employed-individuals