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B26. indicate employed or self-employed

Archived UK Tier 1 (General) points system forum. This route no longer exists.

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davewickman
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B26. indicate employed or self-employed

Post by davewickman » Mon Jun 14, 2010 6:00 pm

Hi,

I have searched all afternoon for the answer to this, appolgies if it is repeated somewhere.

I have a PBS appointment for T1 (general) renewal on Friday. I am a contractor working through my own limited company. Up until today, I thought I had to say I am self-employed on the application, but my accountant advised me I am 'employed' by my company that I am sole director of. Salary & dividends paid to me (from Limited company bank account to personal bank account) make up my earnings points.

For T1 (general) visa, am I employed or self-employed?

Thanks in advance

davewickman
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Post by davewickman » Mon Jun 14, 2010 6:23 pm

Further to this post I have found the following on the UKBA web site, which I guess confirms that I am 'self-employed'.

http://www.ukba.homeoffice.gov.uk/polic ... roduction/

Under Part 6A of these Rules, "Self-Employed" means an applicant is registered as self-employed with HM Revenue & Customs, or is employed by a company of which the applicant is a controlling shareholder.

extendT1
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Post by extendT1 » Thu Dec 30, 2010 3:17 pm

Hi davewickman,

Did you finally apply as Employed or Self-employed?

If one applies as Self-employed, I guess he has to provide some additional documents too?

Thanks.

awiating_tier-1applicant
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Post by awiating_tier-1applicant » Thu Dec 30, 2010 3:32 pm

well, I work thru my own limited company, I am applying for tier-1 general in feb2011.My accountant clearly confirmed that I should apply as an employee and wont come under self-employed category coz based on UKBA rules and regulation if you are working thru your limited company and you are the only share holder and taking just salary from your company then your need to submit only payslips,bank statements and letter from your accoutant confirming your earnings for the period you are claiming.here is the evidence,

http://www.ukba.homeoffice.gov.uk/worki ... documents/

Supporting documents must show all the relevant payments you are claiming points for. If earnings from a particular source have been paid in more than one way, you must send two types of document for each part of the payment claimed. For example, if you have been paid for your salaried employment by means of a salary and a dividend. If the gross and net dividend payments are included on your payslip, and can be supported by details of the net dividend payment on your bank statements, you could send bank statements and payslips as supporting evidence for both the salary and the dividend claimed. However, if the dividend details are not included on the payslips, you must also send separate dividend vouchers to support the dividend payments and cross-reference these with the bank statements you send.

You should give full contact details for each source of income you give us, so we can verify all supporting documents if necessary.

You should also send any information or explanation of the documents you have sent that may help us to consider the earnings claimed. For example:

If you are operating through a limited liability company that is administered on your behalf by a managing agent or accountant. The name on the payment advice may therefore differ from the credit payment entries on your bank statements. You should provide a letter from your managing agent or accountant to clarify the relationship between everyone concerned.
If you are one of a number of shareholders in the business and are claiming for net profits made over the earnings period, you should provide a letter from your accountant, confirming the percentage share you are entitled to receive from the business's net profit before tax.


Employees who receive a salaryA salaried employee could provide a combination of personal bank statements covering the full 12-month earnings period and either:

payslips for the full 12-month earnings period; or
a letter from your employer.
(We consider that payslips and letters from an employer are from the same source and you should therefore not provide a combination of these two types of document.)

Employees who receive a salary and dividend paymentsIf you are paid with a combination of salary and dividends, and both payments appear on your payslip, you could send personal bank statements for the full 12-month earnings period and either:

payslips for the full 12-month earnings period; or
a letter from your employer.
If you are paid with a combination of salary and dividends, and the salary and dividend payments do not both appear on your payslip, you can provide the documents listed above plus dividend vouchers for each dividend payment claimed, showing both the gross and the net dividend.

Self-employed earnings within a business or company structure
If you have worked in a self-employed capacity in your own business or company structure and have chosen to keep your earnings within the business or company, you could send:

business or company accounts that meet statutory requirements and show the net profit made for the earnings period claimed; and
a letter from your accountant confirming the details in those accounts.
If you are not the sole shareholder of the company you should also provide a letter from your accountant confirming your shareholding and the proportion of net profit before tax to which you are entitled for the earnings period claimed.

I hope this will clear your doubts...

extendT1
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Post by extendT1 » Thu Dec 30, 2010 3:43 pm

Thanks a lot mate.

Yes, I had gone through that link earlier. In my case, I am a 50% shareholder and receive money through salary and dividends. I am planning to apply as Employed, and give payslips/dividend vouchers/bank statements.

Just got in some doubt looking at dave's message which says "Under Part 6A of these Rules, "Self-Employed" means an applicant is registered as self-employed with HM Revenue & Customs, or is employed by a company of which the applicant is a controlling shareholder."

I can provide the accountant letter, company bank statements etc also, but I think they are required mainly for self-employed. Thats why the crucial point for me is just to confirm "Employed/Self-employed" status. Don't want to provide them too many or too few documents. :)

Thanks.

shahid78
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Post by shahid78 » Mon Jan 03, 2011 1:14 am

extendT1 wrote:Thanks a lot mate.

Yes, I had gone through that link earlier. In my case, I am a 50% shareholder and receive money through salary and dividends. I am planning to apply as Employed, and give payslips/dividend vouchers/bank statements.

Just got in some doubt looking at dave's message which says "Under Part 6A of these Rules, "Self-Employed" means an applicant is registered as self-employed with HM Revenue & Customs, or is employed by a company of which the applicant is a controlling shareholder."

I can provide the accountant letter, company bank statements etc also, but I think they are required mainly for self-employed. Thats why the crucial point for me is just to confirm "Employed/Self-employed" status. Don't want to provide them too many or too few documents. :)

Thanks.
i m on same boat as well i got a limited company and i m the only director of my compnay what documents i m suppose to present, plz need answer quickly i m going to window this week plz

CPradeep
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Post by CPradeep » Wed Feb 02, 2011 5:25 pm

Friends and Experts ,

any updates whether we are Employed or Self employed to mention in B26 ..

if we are running a limited company and earn our salary and dividends as personal income

Experts please help

shahid78
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Post by shahid78 » Thu Feb 03, 2011 12:07 am

CPradeep wrote:Friends and Experts ,

any updates whether we are Employed or Self employed to mention in B26 ..

if we are running a limited company and earn our salary and dividends as personal income

Experts please help
you are not self employed u need to show only ur pay slips,dividend vochers,ur current bank statment,and accountant letter and dats it
i got visa by presenting those documents last week

CPradeep
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Post by CPradeep » Thu Feb 03, 2011 1:21 am

Hi Shahid,

Thanks for your reply.
when you say payslips and dividend vouchers ,should that be printed on our limited companies letter head ?

and for our earning eligibility do we need to consider gross dividend or net dividend?

shahid78
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Post by shahid78 » Thu Feb 03, 2011 2:14 am

CPradeep wrote:Hi Shahid,

Thanks for your reply.
when you say payslips and dividend vouchers ,should that be printed on our limited companies letter head ?

and for our earning eligibility do we need to consider gross dividend or net dividend?
Yes its better tp print on company leader with accountant stamp on it and also accountant letter will show ur gross and net dividend and u claim point on net dividend, money u transfer from business account to current accouny they r ur net dividends
Thanks

CPradeep
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Post by CPradeep » Thu Feb 03, 2011 11:06 pm

Hi Shajid,

Thanks for your reply...

Did you go through an agent or you applied on your own?

shahid78
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Post by shahid78 » Thu Feb 03, 2011 11:39 pm

CPradeep wrote:Hi Shajid,

Thanks for your reply...

Did you go through an agent or you applied on your own?
it does not matter either u go alone or through rapes they never ask u any question but u need to submit your documents on window and they they hand over those documents case workers sitting behind them

CPradeep
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Post by CPradeep » Fri Feb 04, 2011 12:00 am

thanks for your prompt response

I will come up with few more doubts ,please reply i am applying in end of this month..your inputs will be very helpful

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