ILR Refused for Limited Company Director

[chuck2020]

I applied for ILR same day service at Solihull PEO today and i was refused based on deception for not declaring my self employ earning for my first and second application. When i applied for my first and second teir 1 visa i claimed points for both permanent and and self employment and when filed my self assessment i did'nt honestly know that i needed to include my self employment earning.
Late last year around November when i requested for my SA302 from HMRC i realised the error and asked my accountant to amend both years assessment. I did inform the HMRC and i was asked to send the amended copies by post which they did confirmed the receipt. Anyway, i was asked to pay back extra taxes i owed plus interest and in January i paid the whole tax in full including the interest charged. I applied for new SA302 from HRMC which they sent to me in January 2016 showing all taxes paid in full and return amended.

To my surprise the Home Office refused my application based on deception. The reason is that i amended the returns late even if it was before my ILR application and on that ground they refused my application and gave me right to apply for admin review.

Members and gurus i need your advice on way forward as i see this as unfair treatment. I made error in my returns and corrected the errors and paid all taxes plus interest owed before i applied for my ilr in feb 16th 2016. Can somebody advice me about my chances of winning admin review as i understand that admin review is carried out by the same team in the same office where the application is first refused. Can somebody give me a contact of a very good solicitor that can help me out.
Thank you guys in advance

[f317633]

So sorry to hear about the refusal. Were you sole trader or director at the time of first and second application?

[HarryJones]

i was asked to pay back extra taxes i owed plus interest and in January i paid the whole tax in full including the interest charged. I applied for new SA302 from HRMC which they sent to me in January 2016 showing all taxes paid in full and return amended

???????

[PSCILR]

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[HarryJones]

you are not allowed to post your email address

[chuck2020]

@ Harry Jones replying to your question when i amended my self assessment to show the earnings from self employment the calculation shows i owe taxes for the employment earnings. HMRC gave me a bill and i was asked to interest for late payment which i paid in full. i requested for SA302 which shows the full history which include earnings from permanent job and self employment and all taxes paid in full. The SA302 reflect the earnings i declared to the home office and the amended HMRC. All these happened and resolved before i applied for ILR and still i was refused

[chuck2020]

@ f317633replying to your msg. I was a permanent staff and registered self employed i.e Sole trader. Later i became a limited company director

[HarryJones]

was there errors in the profit declared or you did not declare at all?

did you explain everything in your cover letter before you apply for ILR? So that they can see the honesty in you.

[screenprint]

Did you not file a Return in 2011 and 2013 at all ? or you fill and amended the return later on !

How did CW know that you filed the SA in Jan 2016?

What Section of Deception that have impose ?

Please can you put some of the wording of you letter for other members of the this board to review, in order for other to learn and also to advise you accordingly.

[HarryJones]

let us be careful not to discuss tax here to avoid being locked

[f317633]

did they mention in the refusal letter something like "secretary of state is not satisfied that you possess good character to remain in the uk"? most of the refusal letters mention this. however i am not sure how can paying taxes late be described as bad character. there are 1000s of people in this country who pay late taxes with interest and fines. I was looking at the good character requirement at the gov.uk website and no where it mentions that paying your taxes late is considered as "bad character". This is discrimination. If this is bad character then revoke the ILR or cancel the citizenship of every person who amends the taxes and pay it late.

wonder how the court of law will treat this?

[HarryJones]

chuck,
when does your VISA expire?

[chuck2020]

@ screenprint I did file both returns but didnt show the self employ earnings for both. I amended both later and paid the taxes due. The case worker only mentioned that i was refused based on paragraph 321(1c) and paragraph 245CD

[chuck2020]

@HarryJones I Didnt include a cover letter but when i was interviewed i did explain everything to the case worker and reminded him that it was an error and i corrected the mistake and paid the tax owed with interest before i applied for ilr. What can i do now?

[chuck2020]

@HarryJones my visa expires end of feb 2016

[f317633]

@HarryJones I Didnt include a cover letter but when i was interviewed i did explain everything to the case worker and reminded him that it was an error and i corrected the mistake and paid the tax owed with interest before i applied for ilr. What can i do now?

what did they ask in the interview? how long was the interview?

[screenprint]

@f317633 Deception had being committed in this case as the gentlemen did not file tax return for year 2011 before his first extension in year 2013 and basically deceive the home office for year 2013 by getting his extension based on previous facts. For the Year 2013 he can argue that paying a tax return late should not be considered "bad character" but for year 2011, how you can he justify, not paying tax and waited right before ILR and than paying tax for both year in January 2016. Regards less if it was a mistake, By home office view or even by looking from a third party point of view it does look shabby and it would be very difficult to justify such behavior and even to judge, unless you have a very solid reason. Please note I am not judging any one, but such behavior by certain individual have put lots of genuine people in trouble.

[HarryJones]

i think that a good solicitor can help him out

[mian1]

If you can old put the refusal letter wording as it is
Thanks

[tg2016]

@ screenprint I did file both returns but didnt show the self employ earnings for both. I amended both later and paid the taxes due. The case worker only mentioned that i was refused based on paragraph 321(1c) and paragraph 245CD

Please correct me if I am wrong.

As far as I know Self assessment si done to declare your self employed earnings and pay that tax. The tax for earnings from salaried employment anyways is deducted by employer. So on what logic did you actually not mention the seld emplpyment.

Were you not aware that you had showed gross earnings for your Tier 1 and were liable to pay the tax? Did you mention about your combo of salaried and self employment for those years to your accountant? In that case how did your accountant not include those eanrnings when he filed the tax returns?

These are the questions that come to my mind on first instance and maybe teh reason the CW too rejected. Can you answer teh above so that we can get clarity on your situation.

[chuck2020]

@tg2016 replying to your question. I filed my self assessment myself and only used the earning showed in my permanent job P60 earning and that was the honest mistake i made and i did authorize my accountant to amend the return and include the earnings for self employment. I informed the HMRC about and they accepted i post the amended copy to them and pay all taxes related to the undeclared self employment including interest. HMRC did not fine me or gave me any penalty because the understand it was an error/ honest mistake. They hold all my tax record including for my limited company that i always pay promptly for my VAT, NI and employer/employee income tax on monthly basis. I accepted my mistake and paid all the taxes and interest and also received form SA302 calculation from HMRC showing my tax liabilities are cleared and are in order for all years. The main reason for the refusal is that even if i had paid all my taxes and my tax history is in order they still believe i paid it retrospectively and its seen as deception. My argument is that my tax was amended and taxes paid before i applied for my ilr and not after so how can they see it as deception. I'm looking for a good solicitor to help me present my case to the home office.

[chuck2020]

@screenshot replying to your message that you agreed its deception. I guess you havene't read my post or you didn't understand it. I filed all my tax return and make mistake by not showing earnings for self employ. I did realize my mistake and correted it. I amended the returns and paid all taxes due plus interest and this was accepted my HMRC. HMRC understand that error could made in tax returns and you have a right to amend or even make claims for overpayment, the reason when i contacted them they did point to me that in the self assessment form it is stated boldly that you complete your tax return based on your best knowldge and they don' t assume that your assessment is 100% correct. I made some errors and have corrected them without beeing asked to do so my either hmrc or home office. I was not refused ilr and that prompted me to correct or amend my tax return. I corrected it voluntrily on my own and paid the due before i applied for ilr. You need to view this case from both point views and reason with care before delivering unfounded judgement.

[tg2016]

OK then you need to prepare proper justifications for the below questions. Can you shed some light on the below:

1) Did you show your self employed earnings as director salary or dividends or a combination of both? If its only as salary did you pay any taxes for that when you filed your SA for permenent employee? If you haven't then why have you not?

2) If you have taken dividends then why didn't you declare that to HMRC? It is your responsibility to pay your tax? Didn't your accountant letter when your applie for Tier 1 initially and later for extensions mention that your earnings are gross earnings and not net income which also included your tax credits. Under what logic did you think that teh extra income you showed for your earnings would be tax-free? This is teh most critical part and saying you were unaware wouldn't help. You need to catch a good solicitor and prepare you case well.

3) You need to justify your case properly as to why you only added permanent employment in your SA. As far as I know those who work as salaried employees do not ned ti file their taxes as tehy ahve paid their tax. So under what logic did you file SA for earnings you ahve alreday paid tax.

4) Lastly and most importantly you seem to have claimed X points for A+B salary but declared and paid tax only for B salary thereby not justifying the points you claimed and only retrospectively paid it after you learned that UKBA has tightened teh screws.

I have played the devil's advocate here and posed the questions. Since you ahve paid all your taxes before applying for ILR you have a positive point and need to build your case on it meanwhile justifying the above actions.

All the best and sincerely hope all goes well.

[jimtoole]

For Extension application tax paid on previous application was not a primary condition as otherwise application would have been rejected any way. For each application you make your are considered with the relevant rules so for extension only what you earned in the last 12 months period was mandatory. As long as tax is paid on the declared income you do not break any immigration or Tax laws.

[noajthan]

There is a clear pattern here & the writing is clearly on the wall...

As has been pointed out (in yet another depressingly similar thread charting similar challenges), same day service at PEO may not be the wisest choice for these types of 'challenging' applications.

See:
http://www.immigrationboards.com/indefi ... x#p1307117