Self-Employment Income Support Scheme

HMRC has also updated their guidance on the Self-Employment Income Support Scheme, (SEISS) with further details on terms for claiming a second grant in August.

The big news for drivers is:

Self-Employment Income Support Scheme will be extended – with those eligible able to claim a second and final gran. Those eligible will be able to claim a second and final grant in August. The grant will be worth 70% of average monthly net profit.

To be paid out in a single instalment covering three months’ worth of profits and capped at £6,570 in total.

REMEMBER You can still apply for the first SEISS grant until 13 July.

• Applications for the second grant will open in August.

Individuals will be able to claim a second taxable grant worth 70% of their average monthly trading profits, paid out in a single instalment covering three months’ worth of profits, and capped at £6,570 in total.

• The eligibility criteria are the same for both grants.

Individuals will need to confirm that their business has been adversely affected by coronavirus. An individual does not need to have claimed the first grant to receive the second grant. It may be that you have been adversely affected by COVID-19 in this later phase.

What if you are not entitled to help from the SEISS grant?

You can make a claim for Universal Credit. Making a claim for Universal Credit may affect other benefits so you should check how tax credits and other benefits affect each other, and find out what to do if you’re already getting benefits,

Also don’t forget you can get:

• deferral of Self-Assessment Income Tax and VAT payments
• Bounce Back Loan

Do not forget the Bounce Back Loan

Once again it is there for sole traders and companies, so everyone is entitled subject to the eligibility criteria.

• based in the UK
• established before 1 March 2020
• has been adversely impacted by the coronavirus

It is there for all small and medium-sized businesses to borrow between £2,000 and up to 25% of their turnover. The maximum loan available is £50,000.

The government guarantees 100% of the loan and there won’t be any fees or interest to pay for the first 12 months. After 12 months the interest rate will be 2.5% a year.

Many of my clients have done it and it works and is generally quite speedy.

FINALLY, and this is a big deal….

Protect yourself from scams

HMRC says:

“Stay vigilant about scams, which may mimic government messages as a way of appearing authentic and unthreatening. Search ‘scams’ on GOV‌‌‌.UK for information on how to recognise genuine HMRC contact. You can also forward suspicious emails claiming to be from HMRC to phishing@hmrc.gov.uk and texts to 60599”. 

Stay safe