Ltd Comp - Solihull-PEO - Application not processed

[johnjoe]

Hello all,

My tier 1 G extension application processing was not taken up by the case worker as she felt that my case is complex and they will not handle complex cases in same day appointments. Case worker asked me to show the payslips and dividend vouchers and asked me if it matches in the bank statement or not. As it was not matching, she advised me to send the application form through post as the case workers who handle postal applications tend to have more time to work on the case.

Although my accountant letter mentions that Annual accounts and cash credited in business bank account may not match as annual accounts are completed as per accounting standards and also that directors are entitled to take any amount from the retained profits and accounts will be finalised and matched at the year end. But my case worker said that she will not consider accountant's letter as she is dealing with same day appointment and she too acknowledged that she is aware that it may not match and she said that my case should be applied by post as it needs more time to come to a decision based on reconciliation of the figures.

My case background is as below.

- My visa expiry is on 20-Sep-2012
- I have more than the required earnings (which are declared as salary+Dividend amounts in payslip)
- I am the director of my limited company. - My class 1 NIC payments are up-to-date.
- My monthly business bank transactions in to my personal bank are not matching as per the monthly payslip. I have NOT transferred exact amounts of salary figure and dividend figure of payslip as I have transferred a lump sump amount in one transaction.
- For 2 months I have not transferred any amount to my personal bank account. At one point of time, I have also drawn over and above retained profits although I have transferred back the necessary amounts in to business bank account before the financial year end (will this be a problem in generating the dividend vouchers?).


Senior members and other gurus, please advise on my options. I want to try and get another in person appointment as the visa processing time lines for postal applications are running for more than 5 months. If I don't get PEO slot well before my visa expiry date, I will then go for postal application.

1. Ask the accountant to generate dividend vouchers as per the bank transactions. i.e. If there is a transaction of fund movement in to my personal bank account of say £X, then dividend voucher £Y should be (£X - Gross Salary £Z).

2. the other option is to go just with dividends. My dividends alone will be sufficient for me to get the necessary points. Can I Show only dividends as my earnings? Will I be asked about salary figures as I have already paid Class 1 NI ?

3. Or Should I just post my visa application with the letter which my accountant has given me which says Annual accounts and cash credited in business bank account may not match as annual accounts are completed as per accounting standards. My accountant says that this will work as he has provided the same and has worked in the past for other applicants.

Thanks in advance.

[tier1_aspirant_del]

I would suggest to go for 1 and 2. The amounts in your business bank account and personal bank account must match exactly.

Ask your accountant to prepare exact same salary slips and dividend vouchers and if he can't accomodate salary slips (because of PAYE issues) then you can go only with dividends.

To me point 3 is a risk which may or may not work.

[rajesh9pl]

- My monthly business bank transactions in to my personal bank are not matching as per the monthly payslip. I have NOT transferred exact amounts of salary figure and dividend figure of payslip as I have transferred a lump sump amount in one transaction.
- For 2 months I have not transferred any amount to my personal bank account. At one point of time, I have also drawn over and above retained profits although I have transferred back the necessary amounts in to business bank account before the financial year end (will this be a problem in generating the dividend vouchers?).
Thanks in advance.

What is on Payslip and Dividend voucher should match with both Business and Personal bank account. Some include expenses as separate entry on Payslip, some do not even mention Expenses on Payslip.

I used to have two txns (Salary + Expenses and Dividend) every month on both business and Personal account - amount, description and date should match.

If you do not do this, then your case is COMPLEX.

[johnjoe]

Thanks Rajesh9pl, Tier1_aspirant_del

Now I understand that my case is complex but I am sure that I am not the first person to move the funds in this way.

Please advise, for my case if there are any templates that I can follow in which I can show that the evidence of my earnings. I want to simplify the evidence so that I can have my visa extended in same day appointment.

[gaurav76.5]

the best way to do this is to ensure the amount which is in your business and personal statement matches with the amount shown in your payslips and dividends...

just ask your accountant to do this (he will be able to do this because account will be unaudited which can be changed afterwards)...

[johnjoe]

Thanks Gaurav.

[Oasis-inin]

@johnjoe : My suggestion to you would be apply by post and don’t waste more time. In case you have any imminent travel or any plans, please let HO know, they will definitely expedite the case.

Now regarding your proof of income, do not panic... I know amount should match with your bank statements but if it doesn’t match it is not a big deal. As you are the director of your company and you know how to operate but now you definitely need to do a lot more homework.
Please get the letter from your account confirming your earnings on table and stating your sole shareholder status with a line saying that your amount may not match ( I am sure you have one). To prove the accountant statement you would need to support this by documents.
Now I don’t know how do you operate?
Do u pay any company expenses from your personal account? if yes please advise.. You would then need to create reconciliation of all payments with references.
Let me know if you have any questions.
Thanks,

OM
Every problem comes with a solution

[johnjoe]

@Oasis-inn

I do not have any expenses which I paid through personal account. So I guess no matching is required with respect to expenses. My expenses are paid through the business bank account.

I am considering to show only dividends as my evidence. I have transferred lump amounts in 4 months - which should be sufficient for my earnings points. So I am asking my accountant to provide me the dividend vouchers(along with accountant letter confirming the same) as per the business bank transactions in to my personal bank account. I will be using business bank statements and the dividend vouchers as the evidence for my earnings. I intend not showing any payslip. I think this way I will be able to match the figures.

Do you see any problem with the above approach?

[johnjoe]

Please can some one please tell me if the above approach is good to go or not?

[Oasis-inin]

Hi Johnjoe,

To be very I honest I am not too sure, but as long as dividends are in accordance with the company laws you are fine..

But again take advice from senior members and financial consultants.

If I were you I would check the accounts as layman because case workers are not financial consultants... Make lots of notes as you are explaing someone.. Better late and perfect than sorry that all I can say.

Sorry I couldn't be of any help.

Good Luck

Regards,

Om

[Oasis-inin]

Hi JohnJoe,

I was looking for some information regarding your case and came across a post on othe website called trackitt ..Pls see below his/her post and contact him if required

Posted by patricgates on 26 Jul 2012 Applied for Tier 1 General extension at Croydon PEO on 19/07/2012 11 AM.
Points claimed 80+20=100 (required 75+20=95).

Fees paid : 1500 main applicant + 900 spouse

Additional Information :
My payslips were complicated, not showing exact gross amount and it was difficult to match net pay with bank statements as salary was paid in parts. So I added explanation sheets wherever such confusion arose. This helped a lot. The case worker did not ask me to explain anything, unlike with few other applicants whom caseworkers had to ask some details.

Also the case worker returned my degree certi immediately to me since I claimed the same points as with my first application of Tier 1.

Total time spent at PEO was 4 hours (10.30 to 2.30, my appointment was at 11.00 ).

Let me know if any other help required.

Happy to help anytime !

Hope this helps!!

P.S. @guru/Moderators :I am not aware if we are allowed to copy post from another website, I am really if I have offended any rules. Please let me know I will take this off

[siddiqab]

Hello all,

My tier 1 G extension application processing was not taken up by the case worker as she felt that my case is complex and they will not handle complex cases in same day appointments. Case worker asked me to show the payslips and dividend vouchers and asked me if it matches in the bank statement or not. As it was not matching, she advised me to send the application form through post as the case workers who handle postal applications tend to have more time to work on the case.

Although my accountant letter mentions that Annual accounts and cash credited in business bank account may not match as annual accounts are completed as per accounting standards and also that directors are entitled to take any amount from the retained profits and accounts will be finalised and matched at the year end. But my case worker said that she will not consider accountant's letter as she is dealing with same day appointment and she too acknowledged that she is aware that it may not match and she said that my case should be applied by post as it needs more time to come to a decision based on reconciliation of the figures.

My case background is as below.

- My visa expiry is on 20-Sep-2012
- I have more than the required earnings (which are declared as salary+Dividend amounts in payslip)
- I am the director of my limited company. - My class 1 NIC payments are up-to-date.
- My monthly business bank transactions in to my personal bank are not matching as per the monthly payslip. I have NOT transferred exact amounts of salary figure and dividend figure of payslip as I have transferred a lump sump amount in one transaction.
- For 2 months I have not transferred any amount to my personal bank account. At one point of time, I have also drawn over and above retained profits although I have transferred back the necessary amounts in to business bank account before the financial year end (will this be a problem in generating the dividend vouchers?).


Senior members and other gurus, please advise on my options. I want to try and get another in person appointment as the visa processing time lines for postal applications are running for more than 5 months. If I don't get PEO slot well before my visa expiry date, I will then go for postal application.

1. Ask the accountant to generate dividend vouchers as per the bank transactions. i.e. If there is a transaction of fund movement in to my personal bank account of say £X, then dividend voucher £Y should be (£X - Gross Salary £Z).

2. the other option is to go just with dividends. My dividends alone will be sufficient for me to get the necessary points. Can I Show only dividends as my earnings? Will I be asked about salary figures as I have already paid Class 1 NI ?

3. Or Should I just post my visa application with the letter which my accountant has given me which says Annual accounts and cash credited in business bank account may not match as annual accounts are completed as per accounting standards. My accountant says that this will work as he has provided the same and has worked in the past for other applicants.

Thanks in advance.

Hi John,

I am facing the same case as yours. My salary slip does not match the bank statement, but i have a statement from my accountant which states each of the salary payments which matches exactly with the one in the bank statement.

I had overpaid the salary by £53/- which has been moved to dividend (in the letter).

Could you please let me know how you have applied ... i will be applying throuh postal, My visa expires on Oct 02 2012 so kindly provide an immediate reply

Thanks,
Siddiq

[johnjoe]

Thanks to all for the invaluable suggestions given. Below is what I have done and my visa is approved @ Croydon PEO.

I have shown dividends only (option 2 in my initial post in this thread) as my earnings proof. I have gone with dividends option(no salary) as I have not transferred funds as per the payslip. None of my bank transactions were matching salary or dividend figures mentioned on my payslip.

Lets say, I have transferred amounts a, b, c,d, e,f,g,h in the chosen 12 months period. I have shown the dividends only 5 months as it was sufficient to prove my earnings to claim the necessary points.

Also lets say, for my visa purpose, the amounts a+b+c+e+f will be sufficient and hence I have declared individual dividend vouchers matching the amounts of a, b, c, e, f. I have asked the accountant to give a supporting letter for this.

Now these dividend vouchers will obviously match with my bank statements and this is what case worker wanted to see. Case worker was able to match the figures a, b,c,e,f on dividend vouchers, accountant letter and bank statements and hence approved the visa extension.

[sshah20]

Congratulation mate,

I have one question reg Dividend.

Did you use Net Dividend or Gross Dividend?


Reg,

Shah

[johnjoe]

Gross Dividend is shown as my earnings.

But on dividend voucher, it should be clearly mentioned with the figures of Net dividend, Tax Credits and Gross dividend.

[saima80]

HI,
I got my limited company and i always transfer my dividend from my business account to my personal account and generate a dividend voucher against each transaction.I am director of the company and sole owner.

My question is
1.Dividend and Personal bank statement will be enough as two different sources of earnings.?
2.Did you submit you Business Statment as well the time you applied for your extention.?
3.Do i need other documents as well?

Thanks in Advance