The change from tax credits to universal credit.

[czechmate]

Monthly accounting sounds a ball ache, although on the other hand maybe easier while things are fresh in the mind. Selling stock wouldn’t give a monthly profit surge as the change in stock value would make the adjustment

 

[.David]

Monthly accounting sounds a ball ache, although on the other hand maybe easier while things are fresh in the mind. Selling stock wouldn’t give a monthly profit surge as the change in stock value would make the adjustment

Good point, hadn’t thought of that.

 

[.David]

Good point, hadn’t thought of that.

Monthly accounting sounds a ball ache, although on the other hand maybe easier while things are fresh in the mind. Selling stock wouldn’t give a monthly profit surge as the change in stock value would make the adjustment

I suppose for me it would be at the end of the summer when I get paid for baling and wrapping that would be a sudden income

 

[Bokey]

Yes, we’ve always been carful to give actual figures at the end of each financial year as you can actually give estimates which no doubt leads to all kinds of trouble. Can’t believe they’d be looking for it 10 years later!

We gave estimates when they asked and confirmed it with year end accounts we would always over estimate our income to make sure we weren't being overpaid and they would adjust accordingly, but they got it wrong and apparently over paying, with tax credits there's no time restriction for them looking back like ther is with self employment income tax it's sickening that they put so much effort into chasing families for that but big business walked off with millions in covid relief fraudulently

 

[serf]

can anyone guess what computer software hmrc we're using at that time!

Horizon ....

 

[unclescrooge]

We were put on UC when we moved farms from tax credits and were appointed a work coach had to go in every month and what felt let be berated for setting up our own business and of course had a sh!t tonne of debt. The folk in the job center have no clue how a business works and even less clue how a agricultural business works were they asked for our books from the accountant and found the biggest figure in there they could which of course was our stock value and started telling me I have more than enough money in stock and I should be drawing it out of the business and living off that not able to comprehend that that figure was for livestock and what I needed to use to make money they opened an investigation on us had to get MP involved and everything to get it sorted out as they were threatening to reclaim all monies paid over the last 5 years and when MP looked into it they had no right to ask for business accounts in first place as it only personal income they should be assessing and personal savings. The work coach was sacked and we told them to stick the payments where the sun don't shine and stopped claiming even tho we are entitled to claim them. Things are very very tight for us now but we decided we would rather be tight up than be threatened and berated by that lot of useless twits who can hardly understand how to run a race never mind a business.

 

[MRT]

Yet on another thread , I got called a Parasite for accepting Agricultural Subsidies, as we still have them on the continent. Yet you're saying UK farmers will be claiming benefits.

It is a Universal credit, not a farmers credit. Anyone eligible may apply. Though, for many I suspect not worth claiming. It is really just a smoke screen to allow the crazy tax credits system to be dismantled without a fuss

 

[MRT]

We were put on UC when we moved farms from tax credits and were appointed a work coach had to go in every month and what felt let be berated for setting up our own business and of course had a sh!t tonne of debt. The folk in the job center have no clue how a business works and even less clue how a agricultural business works were they asked for our books from the accountant and found the biggest figure in there they could which of course was our stock value and started telling me I have more than enough money in stock and I should be drawing it out of the business and living off that not able to comprehend that that figure was for livestock and what I needed to use to make money they opened an investigation on us had to get MP involved and everything to get it sorted out as they were threatening to reclaim all monies paid over the last 5 years and when MP looked into it they had no right to ask for business accounts in first place as it only personal income they should be assessing and personal savings. The work coach was sacked and we told them to stick the payments where the sun don't shine and stopped claiming even tho we are entitled to claim them. Things are very very tight for us now but we decided we would rather be tight up than be threatened and berated by that lot of useless twits who can hardly understand how to run a race never mind a business.

Cross posted with you, your experience is the plan, force people out of credits is plan A, collect financial data is plan B.

 

[czechmate]

When myself and my ex wife set up, 1986, there was a thing called enterprise allowance scheme. You had to be on the dole to start, then it turned from dole to this EAS, flat rate of £40/week each for a year. Helped us get started , I thought it was a great scheme

 

[muleman]

Our accountants have just washed their hands of it, says it isn't worth farmers bothering to apply.....suppose it served it's purpose when the children were young and got us through.
Just a shame the folk that work and feed the nation are going to have to skimp......all we really ask is a fair price for what we sell, not benefits

 

[Still Farming]

Yet on another thread , I got called a Parasite for accepting Agricultural Subsidies, as we still have them on the continent. Yet you're saying UK farmers will be claiming benefits.

If eligible as a human being, possibly some may? Who knows???
Benefits system in France I take it too?

 

[Still Farming]

That’s basically how the tax credit system works at the moment, but with universal credit you apparently have to declare profit for the month.

O profit then simple?

 

[Still Farming]

Our accountants have just washed their hands of it, says it isn't worth farmers bothering to apply.....suppose it served it's purpose when the children were young and got us through.
Just a shame the folk that work and feed the nation are going to have to skimp......all we really ask is a fair price for what we sell, not benefits

87 common muscle and joint conditions that qualify you for £737 from DWP

The amount of money you get will rise from April and there are some really common conditions that could make you eligible

www.walesonline.co.uk

 

[J 1177]

Our accountants have just washed their hands of it, says it isn't worth farmers bothering to apply.....suppose it served it's purpose when the children were young and got us through.
Just a shame the folk that work and feed the nation are going to have to skimp......all we really ask is a fair price for what we sell, not benefits

Same here. Not bothering with uc

 

[muleman]

87 common muscle and joint conditions that qualify you for £737 from DWP

The amount of money you get will rise from April and there are some really common conditions that could make you eligible

www.walesonline.co.uk

Well we should be thankful we haven't those ailments.... But that system will get abused won't it!

 

[ringi]

I think a Ltd company needs to be able to pay a directors wage

My understanding is that over each year the profit is more them the minimum wage but the issue is universal credit will not use the average profit from a years trading.

(A directors wage can be paid, and then paid back as a directors loan etc without needing the money in the bank if an accountant does the correct paperwork. )

 

[Still Farming]

My understanding is that over each year the profit is more them the minimum wage but the issue is universal credit will not use the average profit from a years trading.

(A directors wage can be paid, and then paid back as a directors loan etc without needing the money in the bank if an accountant does the correct paperwork. )

What way is trading losses treated with these and other benefits???

 

[ringi]

Looks like they have made it as difficult as possible now !

For most sole traders it have been made easyer, as their month bank statement is all the accounts required now. It only when timing of income is unrelated to timing of work that the new system gives problem.

 

[ringi]

What way is trading losses treated with these and other benefits???

You hope that the company year end will be chosen so there are no loses and all directors loan accounts etc are at zero on that day.

 

[ringi]

I’m still in a period of restoring buildings and infrastructure around the farm and up to now I’ve re invested everything I can into second hand machinery and building up stock

Yet keeping the money in the bank to buy equipment next year would disqualify from universal credit. Likewise if a disabled person saves money to buy a car rather then having leased cars.