ILR ànd Tax for Previous Earnings

[madcap2763]

Hi There,

Thanks in advance for reading my query and any advice would be appreciated.

Brief History about me

Tier 1 General - Jan 2011, Extension in Feb 2013 (2+3 years). ILR due in Feb 2016
Have 2 dependents as well on same visas.

I claimed points on my initial application for Tier 1 general --- employment + self employment (20000+16000 Gross income) to make it up to 36000. I was registered as a sole trader with HMRC during myself employed period (2009-2010). Since 2011 I have been Director for a Limited Company. All taxes paid and SA302/updated for the past 4 years.
Now the PROBLEM is - at the time of my initial application for T1G the amount £16k that I have shown to HO as earnin and disclosed to HMRC Aas well, I have claimed back nearly £15k as expenses and not paid any tax.
After speaking to some friends and using my own common sense I thought that it can't be right that HO will take it so easy on me. I got the SA302 from HMRC and it shows a total earning of only £21k for that year.
I contacted HMRC had to plead them literally and booked a face to face appointment with one of their officers before Christmas. Had to tell them about my visa status and importance of amending mymy previous returns. Discussed with the officer that I don't want to claim £15k as expenses and want to amend my 2010 tax return to show a total of £36k as my earning now. Had a letter from accountant to explain it all as well as a tax return form all filled up which she took with her. Told her that I m ready to pay any penalties and surcharges on top of the tax for the same amount.
She took all papers and told me that she would take it as a priority and sort out something.
Called her last week and she said that she had submitted the papers and is waiting for them to be updated on their system. Inthe mean time she said that she will write an acknowledgement letter to me explaining that she has received the ammendeded returns for 2010 and no expenses are being claimed etc etc, and due to long waiting time it will take HMRC some time to update the amendments. She had given me her work phone number to call if any body is thinking ???.

My questions are:

1) when I applied for Tier 1G back in 2010 from PSW we had to submit our Gross Income (more than £35k) and not our net income. Should I be worried that my accountant claimed £15k as expenses and I have paid no tax till date (untill HMRC updates their system and then will send me the bill)

2) would a letter from HMRC officer be sufficient along with my other SA302's to back up my application.

I literal terms I am not deceiving or cheating any of the Gov departments because I have declared the income but yes my timing was wrong. I probably should have done it earlier rather than leaving it so late-- my bad.

I am applying at PEO in early Feb 2016 along with my dependents.

Any advice is apretiated and would be taken positively.
Thanks for reading the post.

Kind Regards.

[Killer14bean]

Apply by post.. buy some time for yourself. Hopefully by the time your application gets into consideration your issue with HMRC will be resolved. CW at premium centers are not equipped to take decision on complicated cases and will put your application on hold which will be dealt by a senior CW who can refuse the application if the HMRC and HO discrepancy is not resolved by that time. In your cover letter mention that you are already trying to resolve the issue with HMRC.

[madcap2763]

Thank you for all the prompt responses -- appreciated

[parwaz]

What's the update now? Did you get your tax return amended.

PEO is like an instant ILR-kill-trap ... buy some time by sending your application by post. I sent you a PM but not sure if you can check it. If you get 10 posts on the forum you will be able to send/receive PMs.

All the best!

[Casa]

What's the update now? Did you get your tax return amended.

PEO is like an instant ILR-kill-trap ... buy some time by sending your application by post. I sent you a PM but not sure if you can check it. If you get 10 posts on the forum you will be able to send/receive PMs.

All the best!

Members are unable to send or receive PMs until they have made 30 posts. Also due to the extremely high level of Tier1G Migrants with tax issues, we are suggesting to members that they Google a tax forum for advise on their tax 'discrepancies' as this is a forum for immigration matters only.