ILR - Self assessment Query

[PK]

Hi guys

I will be applying for ILR under HSMP JR in 3 weeks time. I'm employed with ny P-60 showing a salary of £20K per annum. I also get rental income from my property and i want to show this as well to boost my earnings. I know members on the this forum have said that £20K is fine and shouldn't be a problem, but I'm jst being extra careful.

I spoke to one of the Chartered accoutants to get a letter confirming my Income and as per rules I don't have to pay my tax until Jan 2011, but he scared me to death saying Home office will ask for evidence that I have paid tax on my rental Income. I justified that when I have time until Jan 2011 why should pay tax now, i just need a letter to confirm my income.

I'm very worried now.

Can someone please shed some light on this.

Many thanks

PK

[Markie]

the ILR evaluation does not look directly at your income. it's shown as proof that you can support yourself past ILR approval. if you have been able to support yourself with your current income why create additional headache for yourself?

Hi guys

I will be applying for ILR under HSMP JR in 3 weeks time. I'm employed with ny P-60 showing a salary of £20K per annum. I also get rental income from my property and i want to show this as well to boost my earnings. I know members on the this forum have said that £20K is fine and shouldn't be a problem, but I'm jst being extra careful.

I spoke to one of the Chartered accoutants to get a letter confirming my Income and as per rules I don't have to pay my tax until Jan 2011, but he scared me to death saying Home office will ask for evidence that I have paid tax on my rental Income. I justified that when I have time until Jan 2011 why should pay tax now, i just need a letter to confirm my income.

I'm very worried now.

Can someone please shed some light on this.

Many thanks

PK

[John]

PK, how long ago did the rental income commence? In the tax year 2009-2010? Or earlier?

[PK]

~Hi Markie and John

Thanks for your reply

Markie: I'm comfortable and have been able to support myself and theres no problem with my Income, but I got my HSMP extended through Tier 1 and then in 2008 I had to show Income of £24K plus (I had 2 jobs then)to gain the required Ponts. I guess your right why should I take headache.

John: My rental Income started in April 2009 so your right it's for tax year 2009/2010.

Many thanks

PK

[shs213]

I guess your right why should I take headache.


PK

Exactly, if something is not broken, why fix it :d

Good lukc - |Keep us posted on the outcome...

[John]

John: My rental Income started in April 2009 so your right it's for tax year 2009/2010.

PK, have you given notice of that income to HMRC? If you are not already being issued with a requirement to complete a Self Assessment return, you need to do that. And surprise surprise, HMRC will react to that notice by insisting that you do complete a Self Assessment return for the year to 05.04.10.

[PK]

Hey guys

Thanks for your reply. I absolutely agree with u all that if there is no problem why fix it. I wouldn't have bothered about it, my only worry is

1.) In my set O form I'll state that my house is privately rented, coz I don't live in the property I own and will take a letter from the my landlord where I'm renting.
2.) If the caseworker looks at my bank statement (which I'm sure they will) and sees the mortgage amount debited he/she may then ask whats going on and then I will have to give evidence of my Property ownership and the rental Income I'm getting from it.

Thats the only reason I'm being extra careful and getting a letter from Chartered Accountant confirming my Income.

Am I doing the right thing? Plz guide me

[John]

Sounds OK to me.

[PK]

Thanks John

[PK]

Hi John

Sorry to bother you again

Is it compulsory to inform HMRC about my rental Income, beacuse I was thinking when the time comes I will complete my Self assessment Online. As far as I'm aware there is no need to Inform HMRC. ( I might be wrong).

Home office only looks at letter from Chartered accoutants for People who are self-employed or in Business, Unless they are due to pay tax, in which case H office may ask for proof of tax paid. In my situation I have another 8 months to complete my self assessment of rental Income and pay the relevant tax.

Some one Plz Guide

PK

[John]

As I posted before, and now I emphasise one word :-

PK, have you given notice of that income to HMRC? If you are not already being issued with a requirement to complete a Self Assessment return, you need to do that. And surprise surprise, HMRC will react to that notice by insisting that you do complete a Self Assessment return for the year to 05.04.10.

So no need to tell themnow about the rental income if you are already required to complete a Self Assessment return.