Self Employment

Hi my Husband got his ILR in Jan 2011 and wil be eligible to apply for British Citizenship in Feb 2012.
He was in full time employment since May 2009 with an employer and paying tax and NI on Paye up until Feb 2011. He left the job due to ill health and has just started Taxi driving this week and has registered himself for self assesement.
When it come to applying for BC next year he will not have completed any tax returns as he is not required to do this until April 2012.
Will it reflect badly on his application, that he won't have paid any tax from feb 2011 until Feb 2012, (he will have paid NI though as this is payable in 6 monthly intervals) or will Home Office know that this is the case due to self employment and starting work in the new tax year.

Any advice would be appreciated.

Many thanks

I recently got my naturalization and was in same situation becoz my accounting period ends april 2011 and i was applying for naturalization in feb 2011.

My accountant prepared management accounts for the 2010-2011 period and also mentioned in his letter stating the tax period will be ending april 2011. Also prepared the statement to show the company is making profit.

Although its not necessary i did paid online £500 advance corporation tax and accountant mentioned in the letter.

I would suggest to get the qualified accountant to do this job. I was suggested by others above documents was unnecessary but paying tax falls in good character requirement.

I got my naturalization in 18 days in march 2011.

Good luck with your application!!!

Many thanks for your reply and congratualtions on BC. Wow 18 days that is fantastic. My husband doesn't really want to pay an accountant until he needs to at the next tax year, so im not sure if it will look bad on him....

If you dont do it through accountant it will make no difference to your application.

Above is just my experience i am sure there is cheaper way plz wait for seniors to reply and give there suggestions.

Also search the forum key word "self employed"

london2009uk, what you did clearly does no harm, but in the circumstances we are talking about here it was totally unnecessary to do what you did, as regards an application for Naturalisation.

After all there is no need to produce any details of income. Instead it is merely necessary to show that tax and national insurance requirements are complied with. It is not necessary to invent extra requirements that do not exist in tax or NI law.

juliajules1979, so the self-employment started this week and has already been registered with HMRC. Great! As you correctly say this will result in Class 2 NICs being payable half-yearly. The first Tax Return, or notice requiring a Self Assessment tax return to be filed, will be issued in April 2012. Your husband will have until 31.01.13 to file it, assuming it is filed online.

Will it reflect badly on his application, that he won't have paid any tax from feb 2011 until Feb 2012

Absolutely not, he is complying with tax legislation. Not a problem that he will not pay tax on his Self Assessment profit until January 2013.

Hi John,

I agree with you my situation was different and i was director of limited company but above person is self employed.

You given the above person excellent advice hope this clarifies the matter.

london2009uk, yes but all that effort and expense by you was unnecessary.

The requirement is to comply with tax law and NI law, not to invent and comply with legislation that does not assist.

Over the years on this board I have seen many people confused by just how little information needs to be supplied when an application is made for Naturalisation.

JOHN,

I agree the above documents are not necessary. May be i was anxious and was trying to provide as much as information to satisfy good character requirement (paying tax etc).

In reality very few documents required according home office tick box.