I had to provide information about income and outgoings as part of my Statement of Affairs when I put in my petition last year. Three months on, my Trustee in Bankruptcy requires me to complete this form with a view to seeing whether he should apply for an IPO or enter into an IPA with me. I see the Insolvency Service website publishes their Technical Manual which gives a lot of information. http://www.insolvency.gov.uk/freedomofinformation/technical/TechnicalManual/Ch25-36/Chapter31/part7/part2/part_2.htm
However I still have some questions and wonder if anyone on this Forum can comment:
- Self employed income:do you put in the gross income and then estimate the tax? The form is designed for employed income and refers to "take-home pay"
- Income Tax: I understand that I will not be liable to tax for the tax year of my BR order but from 6 April 2009 I will be liable so I should be putting aside funds to meet tax (and NIC) liabilities?
- Pension contribution: the Technical Manual states that "additional pension contributions to enhance a pension" are not allowed, but does this mean that the monthly pension payment I have been making to my only personal pension plan is allowed?
In reverse order - depending upon your personal pension it is likely that the trustee will realise this for the estate. It tends to be company pensions rather than personal ones that are safe.
you are right to put aside estimated tax payments from april 09 as you do not want to start afresh with a debt.
as a self employed person you should put your take hone earnings AFTER all your business expenses etc.
Re personal pension, you worry me! Surely under the WRPA99 personal pension schemes that have been approved by the HM Revenue and Customs for tax purposes do not form part of the BR estate?
Income and Outgoings form
Posted - 21 February 2009 : 17:22:59
