Coronavirus (COVID-19) Self-Employed Income Support Scheme (SEISS): Get ready to claim
Since yesterday HMRC have been emailing and texting self-employed taxpayers asking them to get ready to claim the SEISS grant. I will summarise the latest guidance and what you should do now. However the full guidance is not too long and is found here: https://www.gov.uk/https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme
Please note this article does not apply to employee’s or directors of their own limited company, only self-employed Sole-Traders / Partners.
What is SEISS and what are the conditions to claim?
- SEISS is a one-off taxable grant of 80% of 3 months average trading profits up to max £7,500
- You must have been trading since 2018/19 and intend to continue to trade
- You can continue to work and even start a new self-employment or employed position
- It will be declarable as taxable income on your 2020/21 Tax Return and for Tax Credit / Universal Credit purposes.
- You must have been adversely affected by COVID19 due to either:
1. you’re unable to work because you: are shielding, are self-isolating, are on sick leave because of coronavirus, have caring responsibilities because of coronavirus
2. you’ve had to scale down or temporarily stop trading because: your supply chain has been interrupted, you have fewer or no customers or clients, your staff are unable to come in to work
When can you make the claim?
- The go live date is being staggered for individuals you can find yours by using the HMRC tool mentioned below. The first applicants will be invited to claim from 13 May onwards
What can you do now?
- Your accountant will not be able to claim on your behalf
- Right now you’re able to use an online HMRC tool to check if you’re eligible
- The most important thing you can do now is to make sure you’ve a working Personal Tax Account (PTA) (aka Government Gateway). You’ll be using your PTA to login and claim. However, most individuals with accountants either haven’t signed-up to a PTA or rarely use it. Many of my client’s have old login credentials that they might have forgotten. It some cases I have notes of these from when you first signed-up to my service. Therefore, if you’re struggling to sign-in please get in-touch before setting up a new PTA. Login to test your PTA or sign-up to a new one here: https://www.gov.uk/personal-tax-account
My previous COVID-19 posts remain relevant and are:
- COVID-19 Job Retention Scheme (detailed guidance for employers)
- Coronavirus (COVID-19): Help for the Self-Employed – PER THE 26 MARCH ANNOUNCEMENT
- Help for the Self-Employed and other FAQ’s
- Can the Self-Employed go to work?
- What financial support is available for UK businesses? – NOW UPDATED
Enjoy saving tax?