previous earnings

[64CSSI]

please i don't know if i am reading the paragraph wrongly.paragraph 94 for the guidance of or after 13 December 2012

"If an applicant is self-employed and
has chosen to retain the profits within the
business, his/her earnings are limited to the
share of the business’s net profits to which
he/she is entitled. The appropriate proportion
of the net profit of the business (that is, after
tax and outgoings) can therefore be counted
as the gross salary of the applicant. We
will only consider profits made during the
appropriate 12-month earnings period for
which the applicant is claiming."


does this means it has to be profit after tax and expenses for business?

[chary]

Yes, that is what they mean by 'Net Profit'.

[64CSSI]

i was thinking it was income less expensive, but before tax

[scorpio_besal]

Net Profit (Sole Traders)= Total income less expenses (before tax)

[64CSSI]

ok does this paragraph relate only to limited company

[scorpio_besal]

The para which you are referring to, does not relate to sole traders.