Following announcements by Rishi Sunak of further support, we outlined the Chancellor’s additional support measures. Here, we explore the detail of the Self Employed Income Scheme following key changes.
- You can now claim for 40% of previous earnings, which has been doubled from the previous 20% grants.
- The maximum grant you can claim has been increased to £3,750.
These changes mean that those who have claimed the SEISS grant can now expect to receive up to double the previous grant awarded under the scheme.
The Chancellor’s winter statement extended this scheme and the deadline for claiming was the 19th of October. The extension period is expected to run from November for a period of 6 months. The grant will be paid in two taxable grants covering the periods November to January and February to April.
It is anticipated that this support will provide £3.1bn in grants to the self employed for the period November – January.
It Is Worth Noting…
For previous grants, you were able to claim if you had been adversely impacted by the pandemic, to be eligible for the new support you must declare that you have suffered “reduced demand” due to the pandemic.
- You may continue to trade, but this must reflect reduced trading due to Coronavirus.
- The grant is available to anyone who applied for the previous grants and meets the eligibility criteria.
- Each grant will again be paid in one lump sum calculated on 40% of 3 months average trading profits capped at £3,750
- The cap for the second grant covering the period of February to April will be announced by the Government in due course.
If you are self employed and need to file tax returns with HMRC, contact MJB Avanti (08000) 388 799.