Past Earnings & Limited Company

[loni]

Hi All

Just discovered this site while trying to find more info on the the HSMP and have to say that I wish I found it last year when I was putting my application together!

I have had such difficulty with my application...won't go into detail just yet as it is getting late but I do have a questions which I am hoping someone might be able to help with - I have done a search but havent found the answer. I have discovered that the HSMP customer service guys are not necessarily always the best people to get advice from despite what they do for a living and now prefer to get some second opinions.

I work through a limited company and am wondering what amount is included in the past earning criteria? Is the salary and dividend portion only (I will be getting a letter from my ltd co provider saying that i am involved in the day to day running of the business etc) or is the gross amount that I charge my client? I think I know the answer but want to be absolutely sure before I consider putting in another HSMP application.

TIA

[marfbr]

Hi Loni,

I think I have probably had the same problems as you. I have recently applied again and also worked through a limited company. I have gone though an agency and they tell me they have got approvals for clients working through limited companies provided the income is declared (hence my second application being required after the end of the financial year). The income I have claimed with advice from the agent is the income I receive in the form of salary and dividends, not the gross income that the company receives. Make sure you can prove that your tax return has been processed. If not, when you do the tax return, get the IRD to stamp a copy and send the tax return copy in with your application as a form of proof of income and proof that income is/will be declared.

Hope this helps, and good luck!!