Self-Employment Income Support Scheme Extension
On 20th May 2020 we advised you about the Self-employment Income Support Scheme (SEISS) designed to provide grants to self-employed workers who are ineligible for other support schemes such as the Job Retention Scheme. The original scheme covered a 3 month period which expired on 13th July 2020 and claims for that period can no longer be filed.
However the scheme has now been extended for a further 3 months running from 14th July 2020. Eligibility for the second grant will be determined in the same way as for the first and HMRC will again contact you if you are eligible. To be able to claim the second grant you will need to be able to confirm to HMRC that your business has been adversely affected by Covid-19 on or after 14th July 2020. The grant will be worth 70% of your average monthly trading profits and will be paid out in a single instalment covering 3 months' worth of profits, capped at £6750.
You can make a claim for the second grant whether or not you made a claim for the first grant. If you receive the grant you can still continue to work, start a new trade or begin other employment which includes voluntary work but to claim you must also intend to continue to trade in the 2020-2021 tax year. The grant doesn't have to be repaid but it is subject to Income Tax and to self-employed National Insurance.
Reasons for your business to be adversely affected by Covid-19 could include:
- you or your staff are unable to work because you or they are shielding, self-isolating, have caring responsibilities or are on sick leave because of Covid-19
- your trade has stopped, been reduced or you've incurred additional costs because:
- you have no/fewer customers or clients
- your staff cannot come into work
- your contracts have been cancelled
- you had to buy protective equipment to enable you to trade following social distancing rules
You must keep evidence to confirm that your business was adversely affected at the time you made your claim.
Claims must be made on or before 19th October 2020 and must be made by the claimant NOT by their agent or tax advisor.
The online claims service is not yet open but if you are eligible you will be able to make a claim from 17th August 2020.
If you are not eligible to claim a grant through the SEISS then other help may still be available:
For more information, support and advice in relation to the measures available to support businesses contact us on 01942 760500 or e-mail firstname.lastname@example.org