Fifth Self Employed Income Support Grant
The fifth SEISS grant will be available for the self-employed to claim, towards the end of July.
It is proposed that this will be the final payment that will be made under the scheme. It marks the point where HMRC will stop supporting the self employed that have been affected by Covid 19.
The eligibility criteria remain broadly the same as the fourth grant. Self-employed profits in 2019/20 must not exceed £50,000 and must be more than 50% of your total income. If that test is not met, then the same £50,000 and 50% tests are applied to average profits and total income over the four fiscal years to 2019/20.
Self-employed traders need not have claimed grants under the previous scheme to qualify for the July payment and will be required to confirm that their business continues to be adversely affected by Covid-19. The amount that traders will be able to claim will depend on how much their turnover has reduced by. If the reduction is more than 30% the grant will be 80% of average profits capped at £7,500 but if less than 30% only 30% of average profits, capped at £2,850.
We are still waiting for more details from HMRC on the basis for the turnover comparison.
If you are self-employed and have received any SEISS grants in 2020/21 can you please let us have details of the amounts received so that we can include the correct amounts in your return. The amounts received are taxable but should not be included in your turnover as that would mean double counting.
Contact us on 01661 872004 to discuss claiming the fifth SEISS grant.