The Self-Employment Income Support Scheme (SEISS) has provided a lifeline to self-employed individuals during the pandemic. The scheme is now offering its fourth grant and those eligible are able to apply.
The fourth self-employed grant is now available to claim via the Government website and must be claimed by 1 June 2021
All applications must be submitted by the individual self employed worked and cannot be handled by accountants or tax advisers.
To be eligible for the fourth grant you must be a self-employed individual or a member of a partnership. Grants are not available if you trade through a limited company or a trust. Trading profits must be no more than £50,000 and at least equal to or more than you non-trading income.
Capped at £7,500 the fourth grant will be set at 80% of three months’ average trading profits. There will also be a fifth grant covering May to September 2021 and will take individuals trading position for 2020/2021.
There is no requirement that an earlier SEISS grant has been claimed in order to be able to claim the fourth grant.
If you’re currently trading but have reduced demand
You must keep an any evidence that your business has had reduced activity, capacity or demand due to coronavirus at the time you made your claim, such as:
– business accounts showing reduction in activity compared to previous years;
– records of reduced or cancelled contracts or appointments; and
– a record of dates where you had reduced demand or capacity due to government restrictions
If your business is temporarily unable to trade
You must keep evidence if your business has been unable to trade due to coronavirus such as;
– a record of dates where you had to close due to government restrictions;
– NHS Test and Trace communications – if you’ve been instructed to self-isolate in line with NHS guidelines and are unable to work from home;
– a letter or email from the NHS asking you to shield;
– test results if you’ve been diagnosed with coronavirus; and
– letters or emails from your child’s school with information on closures or reduced hours
What do you need to claim?
To make your claim, you will need the following:
– Self Assessment Unique Taxpayer Reference (UTR);
– National Insurance number;
– UK Bank details including account number, sort code, name on the account and address linked to the account.
HMRC will check claims and take appropriate action to withhold or recover payments found to be dishonest or inaccurate with a penalty system in place.
If an amendment to a tax return on or after 3 March 2021 lowers the amount you are eligible for, HMRC must be informed within 90 days.
For self-employed people currently trading but have reduced demand, keep any evidence that your business has had reduced activity, capacity or demand due to coronavirus at the time you made your claims, such as business accounts showing a reduction in activity compared to previous years, records of reduced or cancelled contracts or appointments, and a record of dates where you had reduced demand or capacity due to government restrictions.
