Self employed

[StevieC]

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A wee heads on anyone who’s Furloughed an employee. You need to register online with your Company PAYE details

The bit I’m not sure about, is do you register your own name or company name

https://www.gov.uk/paye-online/enrol

I assume this is just to ensure they are registered online for those that might still do it manually rather than using the PAYE software?

Did they not do away with manual submissions a while ago? I seem to remember something about phasing in the online software for all employees.

I got an email yesterday saying that they are closer to having the online claim process ready, and a further email will be sent in due course.

[Billy Whizz]

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I assume this is just to ensure they are registered online for those that might still do it manually rather than using the PAYE software?

Did they not do away with manual submissions a while ago? I seem to remember something about phasing in the online software for all employees.

I got an email yesterday saying that they are closer to having the online claim process ready, and a further email will be sent in due course.

My accountant does my PAYE, but they said there was no way they could do this for every client, so told me to sign up

[StevieC]

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My accountant does my PAYE, but they said there was no way they could do this for every client, so told me to sign up

This was in the email I got yesterday from HMRC.

“ If you’re eligible for the scheme, there are things that you can do now to be ready when the system is up and running later this month.

You’ll need to provide the following to make a claim:

The bank account number and sort code you’d like us to use when we pay your claim.

The name and phone number of the person in your business for us to call with any questions.

Your Self-Assessment UTR (Unique Tax Reference), Company UTR or CRN (Company Registration Number).

The name, employee number and National Insurance number for each of your furloughed employees.

The total amount being claimed for all employees and the total furlough period.

If you use an agent who is authorised to act for you for PAYE purposes, they will be able to make a claim on your behalf, so please speak to them now.”


I’m not sure how you are meant to work out the amount you are claiming for when we’ve no idea how long the Furlough will last??
But I assume this question will be getting asked and they’ll have an answer by the time they are ready to start taking applications.

[ronaldo7]

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This was in the email I got yesterday from HMRC.

“ If you’re eligible for the scheme, there are things that you can do now to be ready when the system is up and running later this month.

You’ll need to provide the following to make a claim:

The bank account number and sort code you’d like us to use when we pay your claim.

The name and phone number of the person in your business for us to call with any questions.

Your Self-Assessment UTR (Unique Tax Reference), Company UTR or CRN (Company Registration Number).

The name, employee number and National Insurance number for each of your furloughed employees.

The total amount being claimed for all employees and the total furlough period.


If you use an agent who is authorised to act for you for PAYE purposes, they will be able to make a claim on your behalf, so please speak to them now.”


I’m not sure how you are meant to work out the amount you are claiming for when we’ve no idea how long the Furlough will last??
But I assume this question will be getting asked and they’ll have an answer by the time they are ready to start taking applications.

Furlough periods last 3 weeks, so I think you have to claim for the whole 3 weeks.

[CropleyWasGod]

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A wee heads on anyone who’s Furloughed an employee. You need to register online with your Company PAYE details

The bit I’m not sure about, is do you register your own name or company name

https://www.gov.uk/paye-online/enrol

If the employer is the company, that is the name you should use.

As Stevie says, though, every employer should be registered online now.

Edit... just read your later post.

Your company will already be registered, but your accountant is suggesting that "you" take over the administration of the payroll. That will need you to get log-in details from HMRC for your company.

I'm surprised at your accountant, though. I thought they would have been glad of the work.

[Billy Whizz]

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If the employer is the company, that is the name you should use.

As Stevie says, though, every employer should be registered online now.

Edit... just read your later post.

Your company will already be registered, but your accountant is suggesting that "you" take over the administration of the payroll. That will need you to get log-in details from HMRC for your company.

I'm surprised at your accountant, though. I thought they would have been glad of the work.

Crops, thanks for the feedback, they’ve told all their clients to register, just a small family firm who are under staffed

I’ll need to do it again, as I used my name rather than the Company name

[hibeg]

My son is self employed, sole trader. He knows he can’t get a payment till end June but was told by somebody that he should expect a letter sometime from HMRC explaining everything !

Is that the case ?
Are other sole traders still waiting for a letter or have they contacted HMRC direct ?

[CropleyWasGod]

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My son is self employed, sole trader. He knows he can’t get a payment till end June but was told by somebody that he should expect a letter sometime from HMRC explaining everything !

Is that the case ?
Are other sole traders still waiting for a letter or have they contacted HMRC direct ?

There is no application process as such. As you say, HMRC will be in touch. As I understand it, they will write with their assessment of the amount due, and it will be for your son to confirm his agreement.

I'm not sure what happens if he doesn't agree.

[Smartie]

I received an update from a specialist accountant in my field this morning.

"Although we have heard of a small number of receipts in the Edinburgh Council territory it is fair to say that their team appear to be the most challenged in the country at this time and many have found they still await any communication for early submissions. It is hoped that this bottleneck experience will be relieved shortly to ease cash concerns at this time of need."

If, like me, anyone is waiting for the £10k local authority grant, it appears that Edinburgh are either busier or are making harder work of things than other Scottish authorities.

Looks like we just need to be patient. Not easy when you're facing up to having to pay your second wage bill after having had revenue cut by 90% and with the furlough scheme yet to kick in.

[hibeg]

Thanks for that CWG. Yes I had a quick look myself after originally posting. Looks like they will hopefully be in touch mid May.
He moved house just before lockdown so will have to inform them of change of address
He never thought of that 😂

[Onceinawhile]

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I received an update from a specialist accountant in my field this morning.

"Although we have heard of a small number of receipts in the Edinburgh Council territory it is fair to say that their team appear to be the most challenged in the country at this time and many have found they still await any communication for early submissions. It is hoped that this bottleneck experience will be relieved shortly to ease cash concerns at this time of need."

If, like me, anyone is waiting for the £10k local authority grant, it appears that Edinburgh are either busier or are making harder work of things than other Scottish authorities.

Looks like we just need to be patient. Not easy when you're facing up to having to pay your second wage bill after having had revenue cut by 90% and with the furlough scheme yet to kick in.

I know of a business in Edinburgh that has managed to get the 10k grant. So they are working in it. Hopefully yours won't be long in coming.

[hibeg]

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There is no application process as such. As you say, HMRC will be in touch. As I understand it, they will write with their assessment of the amount due, and it will be for your son to confirm his agreement.

I'm not sure what happens if he doesn't agree.

I’ve just found out that in year 18/19 he bought a van, which is a capital expenditure, thereby reducing his profits to a negligible amount. 18/19 was his first full year of trading
He has made a lot more in year 19/20
Am I correct in saying that he will not now get any money from HMRC due to this ?

[Onceinawhile]

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I’ve just found out that in year 18/19 he bought a van, which is a capital expenditure, thereby reducing his profits to a negligible amount. 18/19 was his first full year of trading
He has made a lot more in year 19/20
Am I correct in saying that he will not now get any money from HMRC due to this ?

Nightmare, perfectly good tax advice at the time, but now an albatross around his neck.

It's based on your three year average trading profit between 16/17 to 18/19 so unfortunately looks like he'll only get a 1/3rd of the profit he made in 18/19.

Id suggest getting his 19/20 return submitted pronto in the hope that he can maybe use those figures in an appeal if they're allowed at any point.

I think however, he might be in for bad news.

[CropleyWasGod]

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I’ve just found out that in year 18/19 he bought a van, which is a capital expenditure, thereby reducing his profits to a negligible amount. 18/19 was his first full year of trading
He has made a lot more in year 19/20
Am I correct in saying that he will not now get any money from HMRC due to this ?

I don't know the answer to that. There will be many who have taken advantage of one-off reliefs in one of the years on question, which will skew their average.

I can see a lot of appeals being made, on those grounds alone.

[hibeg]

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Nightmare, perfectly good tax advice at the time, but now an albatross around his neck.

It's based on your three year average trading profit between 16/17 to 18/19 so unfortunately looks like he'll only get a 1/3rd of the profit he made in 18/19.

Id suggest getting his 19/20 return submitted pronto in the hope that he can maybe use those figures in an appeal if they're allowed at any point.

I think however, he might be in for bad news.

Thanks for that mate. Yes it does seem unfair in a way. He is working on his 19/20 return now !!

[CropleyWasGod]

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Nightmare, perfectly good tax advice at the time, but now an albatross around his neck.

It's based on your three year average trading profit between 16/17 to 18/19 so unfortunately looks like he'll only get a 1/3rd of the profit he made in 18/19.

Id suggest getting his 19/20 return submitted pronto in the hope that he can maybe use those figures in an appeal if they're allowed at any point.

I think however, he might be in for bad news.

It won't be a 1/3 of his 18/19 profit. 18/19 will be used as his average.

[hibeg]

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It won't be a 1/3 of his 18/19 profit. 18/19 will be used as his average.

Thanks CWG. Yes as stated he only has 18/19 to work on and has hardly any profit because of van purchase.
If they would accept 19/20 figures then that would make a big difference
Obviously there are going to be many losers with similar situations I would guess.
Hopefully HMRC may update to include 19/20 returns, but I doubt it at the moment.

[CropleyWasGod]

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Thanks CWG. Yes as stated he only has 18/19 to work on and has hardly any profit because of van purchase.
If they would accept 19/20 figures then that would make a big difference
Obviously there are going to be many losers with similar situations I would guess.
Hopefully HMRC may update to include 19/20 returns, but I doubt it at the moment.

There may be a problem with using 19/20 Returns.

It's quite feasible for someone to put in a high income for the 19/20 Return, purely to get a large payout. Then, just before the deadline next January, put in an amended Return with much lower income. By that time, things may be back to normal and the trader could afford to pay back any overpaid help.

I think that HMG have spotted this potential scam, hence why 19/20 won't be used, other than in exceptional cases.

[hibeg]

I never thought of that, but makes sense.
I thought once you submitted your return, it was set in stone
I’m PAYE by the way so every days a school day 😂

[CropleyWasGod]

For those of you who are small company owners, this might be of interest.

https://petition.parliament.uk/petitions/310515

There's also a Facebook page, which will keep you up to date with how the campaign is going.

https://m.facebook.com/story.php?story_fbid=121317189535845&id=1035150046 49397

[BroxburnHibee]

The Government gateway site is up for folk who want to make a claim.

You cant make a claim until the 13th but think the site is up so people can ensure they have a login sorted.

[DH1875]

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The Government gateway site is up for folk who want to make a claim.

You cant make a claim until the 13th but think the site is up so people can ensure they have a login sorted.

A claim for what?
Thought they were getting into contact with us first about payments to be made in June.

[BroxburnHibee]

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A claim for what?
Thought they were getting into contact with us first about payments to be made in June.

That's what I thought too. I registered just in case.

[CropleyWasGod]

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The Government gateway site is up for folk who want to make a claim.

You cant make a claim until the 13th but think the site is up so people can ensure they have a login sorted.

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A claim for what?
Thought they were getting into contact with us first about payments to be made in June.

As I understand it (and the new web-page isn't clear) they are to contact you with their calculation of how much you're due. That contact process is starting today.

The "claim" is you going online and confirming your agreement, and giving them your bank details.

[DH1875]

So should I be doing anything just now or wait until they contact me.

[CropleyWasGod]

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So should I be doing anything just now or wait until they contact me.

I'd say nothing just now, but give it until the 13th.

[DH1875]

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I'd say nothing just now, but give it until the 13th.

Ta