Coronavirus Self-employment Income Support Scheme

The Self-employment Income Support Scheme (SEISS) will support self-employed individuals (including members of partnerships) who have lost income due to coronavirus (COVID-19).

The scheme has been extended. If you were not eligible for the first and second grant based on the information in your Self Assessment tax returns, you will not be eligible for the third.

HMRC expects you to make an honest assessment about whether you reasonably believe your business will have a significant reduction in profits.

To make a claim for the third grant your business must have had a new or continuing impact from coronavirus between 1 November 2020 and 29 January 2021, which you reasonably believe will have a significant reduction in your profits.

The third taxable grant is worth 80% of your average monthly trading profits, paid out in a single instalment covering 3 months’ worth of profits, and capped at £7,500 in total.

The online service to claim the third grant is open. If you’re eligible, you must make your claim for the third grant on or before 29 January 2021.

The grant does not need to be repaid if you’re eligible. However, it will be subject to Income Tax and self-employed National Insurance and must be reported on your 2020 to 2021 Self Assessment tax return.

Online checker tool available – you will need your UTR and National Insurance Number. Make sure you update your contact details.

https://www.tax.service.gov.uk/self-employment-support/enter-unique-taxpayer-reference

To find out how HMRC will calculate your trading profits go to:

https://www.gov.uk/guidance/how-hmrc-works-out-total-income-and-trading-profits-for-the-self-employment-income-support-scheme

If you started trading after 6th April 2019 then you cannot access this scheme.

Full details of the scheme can be found at:

https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

Any business wishing to have a 1.1 discussion with one of the business finance specialists working on the Access to Finance team can arrange this by contacting us as below:

Want to talk to us about your options? Email us