The claims portal for the second Self Employment Income Support Grant (SEISS) opens today (17th August), with eligible Sole Traders and Partnership members able to claim additional government support in the wake of Coronavirus.
The second SEISS grant is worth 70% of average quarterly trading profits based on the last three years self assessment tax return figures, up to a maximum of £6570.00
The grant which is subject to income tax and national insurance as part of the 20/21 self assessment period, is for self employed tradespeople who have continued to be or have been adversely affected by COVID-19 since 14th July 2020.
HMRC cities such examples as valid reasons for claiming the second grant :
- having fewer or no customers
- having been on sick leave due to contracting the virus or due to self isolation
- having to buy protective equipment so you could trade following social distancing rules e.g corner shop owner/cafe
Small business owners are required to keep records to show how they were affected during this period including evidence of reduced income, dates of closure and confirmation of any additional financial support received.
The grant which must be claimed by 19th October 2020, may be reduced for some claimants following the recent announcement by HMRC that a number of self-employed individuals received the incorrect amount or were paid the grant in error. Whilst HMRC have advised they will not seek to reclaim these amounts to avoid financial hardship, second SEISS claims may adjusted to compensate.
For individuals who made a claim they were not entitled to, they can notify HMRC and arrange to repay any monies received as part of an ‘amnesty’ period ending on 20th October 2020.
For more information on the grant and access to the claims portal vist https://www.gov.uk/guidance/claim-a-grant-through-the-self-employment-income-support-scheme