Just today, the Government has again increased support under the third Self-Employment Income Support Scheme (SEISS) grant to cover 80% of three months average trading profits capped at £7,500 in total.
This third grant will cover the period from 1 November 2020 to 31 January 2021 and the uplift brings the support for the self-employed into line with that for employees, also announced today.
Claimants can expect to be paid faster following HMRC’s announcement that the on-line service will now open on 30 November 2020 instead of 14 December 2020 as previously announced. Applications must be made by taxpayers themselves and they should be paid a lump sum within six working days of submitting a successful claim. HMRC uses the information submitted in tax returns, so those claiming don’t have to provide any figures, though grants are taxable and subject to income tax and self-employment national insurance contributions in the 2020/21 tax year, for which HMRC will provide a specific section in the self-assessment tax return for reporting SEISS grants.
Further guidance about who can claim, what the grant extension covers and how you can claim can be found on the HMRC website.
Details about the fourth grant, which will be available in February next year and will cover the period from 1 February until 30 April, have not yet been confirmed.
Please get in touch with your usual Sagars team member for help with any SEISS queries, or contact senior tax manager, Helen Furniss.