The Self-Employment Income Support Scheme (SEISS) has no doubt offered a lifeline for self-employed professionals up and down the country. To date, the government has paid out some £25.2 billion via more than 9 million SEISS grant claims to support self-employed professionals and businesses who have been adversely affected by the Covid-19 pandemic.
With the fifth and final SEISS grant now open for claims, eligible business owners and self-employed workers have new support available to them once again. Unlike previous grants however, the claim process for SEISS 5 is different, with the changes to the scheme even able to impact your eligibility and the final grant total.
When is the deadline to claim the latest grant?
As announced by HM Revenue & Customs (HMRC), you have until 30th September 2021 to make your claim. Applications for the fifth grant opened in mid-July, and many of the self-employed workers and business owners who have previously claimed have already received an SEISS grant notification informing them of their personal claim date.
Will I be eligible for the fifth and final SEISS grant?
Even if you have previously claimed one or more SEISS grants, this does not guarantee your eligibility for the fifth and final grant.
As with other grant applications, you must state whether you have been affected and your income reduced or lost as a result of the Covid-19 pandemic during a particular period. To be eligible for this grant, you must reasonably believe that your income has been and will continue to be significantly reduced as a result of the Covid-19 pandemic from May 2021 to September 2021.
As before, you must declare that you intend to continue to trade as a business or self-employed professional.
How is eligibility different with this grant?
Unlike previous grants, this grant will be awarded based on the level your income has been reduced by the Covid-19 pandemic. To determine how much you are eligible to receive, HMRC will compare two turnover figures – from the last tax year (April 2020 to April 2021) and either April 2019 to April 2020 or April 2018 to April 2019.
You must input these turnover figures during the application process so be sure to have them to hand. In your turnover, you must not include any previous SEISS grants, Eat Out to Help Out payments or any other local authority grants.
If your turnover has decreased by 30% or more, you will receive the full grant, which is 80% of your average profits for 3 months and is capped at £7,500. If your turnover has decreased by less than 30%, you will receive a partial payment, which is 30% of your average profits for 3 months and is capped at £2,850.
For advice regarding the SEISS grants or further support during this difficult time, please contact us today on 0191 251 7599 or info@hj-accountants.co.uk.
