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Tier 1 ext. as Limited company director and ILR as salaried

Only for queries regarding Indefinite Leave to Remain (ILR). Please use the EU Settlement Scheme forum for queries about settled status under Appendix EU

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ilrtier1genral
Newbie
Posts: 42
Joined: Mon Feb 10, 2014 12:46 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by ilrtier1genral » Thu Feb 20, 2014 3:26 pm

I agree with fn286, as long as someone only submitted divergent vouchers while extending the visa if they have submitted company accounts saying as sole share holder then there might be some possible digging at corporation tax.

But in the end it's all depends upon case to case and more importantly case worker.

Many thanks

ilrtier1genral
Newbie
Posts: 42
Joined: Mon Feb 10, 2014 12:46 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by ilrtier1genral » Thu Feb 20, 2014 3:28 pm

* Divident Vouchers

fn286
Member
Posts: 221
Joined: Wed Jan 22, 2014 2:44 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by fn286 » Thu Feb 20, 2014 9:58 pm

ilrtier1genral wrote:I agree with fn286, as long as someone only submitted divergent vouchers while extending the visa if they have submitted company accounts saying as sole share holder then there might be some possible digging at corporation tax.

But in the end it's all depends upon case to case and more importantly case worker.

Many thanks
Yes, if that's your current situation...if you're applying for ILR or Tier 1 (G) extension as limited company director or a contractor .. your company is actively trading obviously that's why you're claiming points... in that case you may face challenges... tough questions... even ask for corporation tax record...but not when company is closed... and 2 years have passed... your claiming point as employed professional...

But I agree, all depends on caseworker...

vagabond4life
Junior Member
Posts: 76
Joined: Wed Mar 18, 2009 11:13 am
Location: UK

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by vagabond4life » Thu Feb 20, 2014 10:46 pm

The CW will have access to immigration history along with other Govt. records. UK is known for their databases of every silly thing :D Whether to access these records is at the sole discretion of the CW.

ILR will be rejected only in ONE scenario - DECEPTION - i.e you claimed X amount at Tier 1 renewal but declared less income to HMRC be it SA or Company Return. If you have claimed £100 as income at renewal, you should have declared minimum £100 for tax purpose for that year. Even if you earned another £100 subsequently for the same tax year and claimed £80 (legitimately) as expense to reduce tax liability.

If the claimed period was spread across two accounting period, the income should have been declared accordingly. For eg If for period 1 - £40 and period 2 - £60. In such situation you must have declared minimum £40 in period 1 tax return and minimum £60 in period 2 tax return. Refer to below image for scenario. If someone has done something similar, the case worker will reject ILR on the basis of deception. Technically, even if someone gets ILR in below scenario, and Home Office finds two years later that deception was involved, they can revoke the ILR. Appeal etc after that is a separate issue.

Image

My understanding is that the case worker will only check returns to verify that you have declared same income to HMRC that you claimed for points at renewal.

It doesn't matter if the applicant has closed the company now or working as salaried employee at ILR application.

fn286
Member
Posts: 221
Joined: Wed Jan 22, 2014 2:44 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by fn286 » Thu Feb 20, 2014 11:24 pm

vagabond4life wrote:The CW will have access to immigration history along with other Govt. records. UK is known for their databases of every silly thing :D Whether to access these records is at the sole discretion of the CW.

ILR will be rejected only in ONE scenario - DECEPTION - i.e you claimed X amount at Tier 1 renewal but declared less income to HMRC be it SA or Company Return. If you have claimed £100 as income at renewal, you should have declared minimum £100 for tax purpose for that year. Even if you earned another £100 subsequently for the same tax year and claimed £80 (legitimately) as expense to reduce tax liability.

If the claimed period was spread across two accounting period, the income should have been declared accordingly. For eg If for period 1 - £40 and period 2 - £60. In such situation you must have declared minimum £40 in period 1 tax return and minimum £60 in period 2 tax return. Refer to below image for scenario. If someone has done something similar, the case worker will reject ILR on the basis of deception. Technically, even if someone gets ILR in below scenario, and Home Office finds two years later that deception was involved, they can revoke the ILR. Appeal etc after that is a separate issue.

Image

My understanding is that the case worker will only check returns to verify that you have declared same income to HMRC that you claimed for points at renewal.

It doesn't matter if the applicant has closed the company now or working as salaried employee at ILR application.
Dear Vegabond

Let me tell you another fact .. UK is also known for the loop holes in the law and systems too... go research..

I can give you 100 examples where people got ILR with similar situation, can you give me one example where anyone was rejected? Remember to be sure if you paste any links in your reply or come up with examples ..those shouldn't be where applicants claimed points as limited company in their current ILR or Tier 1 applications.

Re your comment in RED ... can I please ask the basis of your kind 'understanding' why CW will check the return? Do you know how long it takes to cross check records of a closed company with HMRC? I guess...actually I'm sure you don't know ... it takes minimum 2 weeks to get the records from archives... even if home secretary requests... cos HMRC reports to the Exchequer...anyways... point is if CW decides to check your corporation tax records (of a closed company) than you will never get decision same day...it will be a deferred application where they will ask for more documents... anyways... if you know corporate law and finance... your income doesn't have anything to do your personal income... and YOU CLAIM POINTS ON PERSONAL INCOME....

To give you example... bankers took millions in bonuses but later banks got bust.... so I took dividends...business gone down... non of your concern Mr. CW ... here is my SATR showing my personal income ....which is quite higher than what I claimed points for during my extension... thank you Mr. CW... don't mess with someone who knows law and rules more than you...

For your information... Limited company director is considered employed... you can claim gross income..gross salary...gross dividends.... unlike self employed sole trader.... I'm currently working as a professional...do I need to submit corporation tax record of my employer...NO...exactly....

If your SATR is less than what you claimed points during extension than maybe its a problem...but even my SATR is all good....


I really enjoy such convos .... still my request to that mysterious unfortunate applicant who got rejected ... come forward... please...

dushmahajan
Newly Registered
Posts: 4
Joined: Thu Oct 08, 2009 12:23 am
Location: london

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by dushmahajan » Tue Mar 18, 2014 3:18 pm

Dear fn286,

I have gone through below thread of conversation between you guys. I am very new to this forum and basically looking for some assistance and advice and by the sound of it you seem to know fairly a lot about what u are talking.

Sadly i am one of the case which you were saying are rarely found. I had applied for my Tier 1 extension on 23 may 2013 and i got rejection on 6 November 2013. The reason for refusal they have given is that deception was used in my previous application. They are referring to fact that my Corporation tax was not paid and my company was dissolved.

In my previous application I had shown income from my employment and dividends from my limited company. All the money from clients was received in my business bank account and i had taken money as dividends which i transferred to personal account. So i had sent my payslips from work and dividend vouchers from business along with my accountants letter. I was granted Tier 1 for 2 years on 23 may 2011. So i went home that year. On my return they questioned me in relation to my income, cancelled my visa and detained me at airport on Nov 2011. kept me there for a week and then released on temporary admission. I appealed againt their decision then they withdrew their decision but kept my passport and visa saying they are doing "further investigation". after numerous calls, letters and faxes they returned my documents on Oct 2012. During this time i could not pay attention to my business and my company dissolved on aug 2012. I didnt know i could reinstate my company. So i registered a new company under same name and did the trading as usual.
In my current extension application they have granted all the points for my earnings. But have claimed that since my corporation tax was not submitted and my company dissolved, income that i had shown in my previous application is no longer valid and hence considered as deception.
after receiving refusal i contacted HMRC and have sent them all the corporation tax and company accounts for that period for my closed company, even when they said it was not necessary just to ensure that i have more chances to win the appeal.

I have again appealed against their decision and hearing is on 20th March 2014.
Can you suggest me what can be my best argument and how good are my chances of winning the appeal. I am desperate for some professional advice ASAP.
Regards

fn286
Member
Posts: 221
Joined: Wed Jan 22, 2014 2:44 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by fn286 » Tue Mar 18, 2014 8:11 pm

Hi Dushmahajan

I would like to congratulate you in advance for winning your appeal...consider your extension visa granted... ONLY if you have cleared all tax issues...I hope you have a good lawyer... I'm not a professional lawyer or a genius...

Home office know this as well... they just wanted to waste your time and did it quite successfully.. you just got unlucky...HO knew rules are changing since 28/10/13 they kept your application all this time and then rejected within a week... I feel sorry for you... I just wish you have chosen employment route .. good accountant would've helped...

Sometimes....only sometimes....Home office challenges courts decision ... that's like rare...just show the judge all tax documents...explain your situation nicely... you will get your visa... if amazon google mcdonalds banks can dodge tax why can't you... no big deal... when you come clean and get your extension... don't go with self employed route for ILR... let me know if you need help with employment route ...

I can understand your feelings and what you have been through... non-EU migrants are in U since last 300 years..UK was thriving ..now EU f**kd this country and they don't want educated people like us but uneducated europeans... only hoping for referendum...

All the best my friend... I don't check my posts regularly only private messages..if you need more info private message me..

Thanks

goldfish
Member of Standing
Posts: 486
Joined: Tue Nov 14, 2006 10:12 am

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by goldfish » Thu Mar 27, 2014 9:41 am

fn286 wrote: I don't have P60's from past years but I have the alternate that I also quoted on my reply to mrehanashraf. That's employment history letter from HMRC (RRS one, with no employer names, salary or NI amounts) that is HO approved format. It shows that I paid NI in last 4 years hence I was economically active.
Hi fn286,

You mentioned your letter shows NI over the "past 4 years". Looking at the HRMC website it looks as though the letter can't cover the current or previous year (http://www.hmrc.gov.uk/ni/intro/check-record.htm). Was it a different type of letter you requested? Or did you use other evidence for the more recent tax years?

Thanks lots,

goldfish

dushmahajan
Newly Registered
Posts: 4
Joined: Thu Oct 08, 2009 12:23 am
Location: london

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by dushmahajan » Sat Aug 30, 2014 3:22 pm

HI all,

Just wanted you all to know that after a long battle and suffering. I have finally won my case and have recently received my Tier 1 extension visa for 3 years.

Regrads,
Dush

lern00
Newly Registered
Posts: 1
Joined: Sat Oct 04, 2014 11:18 pm

Re: Tier 1 ext. as Limited company director and ILR as salar

Post by lern00 » Sat Oct 04, 2014 11:23 pm

Hi Dush,

Congrats on getting your extension.

Can you please share with us how the judge approached your appeal and what were his conclusions?

Thanks

E

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