Updated 1st June 2020 – 09:45
On the 29th May, the Chancellor announced an extension to the Self Employed Income Support Scheme, with applications for a further 3 month period opening on 1 August. In line with the reduced contribution under the Job Retention Scheme, the 80% of average monthly profits over the last three years will reduce to 70%. The maximum amount also reduces, from £7,500 to £6,570.
For full details on the new SEISS developments, please go to the government resource here!
On 26 March 2020 the Chancellor announced measures to support self employed individuals. This scheme will allow eligible individuals to claim a taxable grant worth 80% of self-employment trading profits up to a maximum of £2,500 per month for the next 3 months.
On the 4th May HMRC announced further details about the scheme.
The online service will be available on a staged basis from 13th to 18th May 2020.
As previously announced HMRC will calculate whether you are eligible for the scheme. They will tell you when you can make your claim. Once submitted you should receive your payment within 6 working days.
You can check if you are eligible using their new online tool. You will need to enter your Self Assessment UTR and then your National Insurance number to check.
A couple of important matters to note:
When submitting the claim, you will also need the following:
There are strict eligibility criteria, to qualify for support you must:
Eligible applicants will be entitled to 80% of average profits for the tax years 2016/17, 2017/18 and 2018/19, up to a maximum payment of £2,500 per month. Individuals in receipt of the grant are still able to continue to work, subject to compliance with wider government guidance on social distancing etc. Note that the grant will be subject to income tax and national insurance contributions. Individuals may make a claim for universal credit whilst waiting for the grant payment, however the grant will be included within employment income for the purposes of calculating the level of UC available.
There are special rules if you included within any of the following categories:
Further information can be found at: https://www.gov.uk/guidance/how-different-circumstances-affect-the-self-employment-income-support-scheme
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