If you are self employed and need support during coronavirus, there is support available. Please read our guidelines below for more information:

*Updated 3/7/2020

CHANGES TO THE SELF EMPLOYED INCOME SUPPORT SCHEME

The scheme currently allows you to claim a taxable grant worth 80% of your average monthly trading profits, paid out in a single instalment covering 3 months’ worth of profits, and capped at £7,500 in total.

If you’re eligible and want to claim the first grant you must make your claim on or before 13 July 2020.

Payments made for the three months up till June are 80% of profit up to a maximum of £2500 per month or £7500 in total.

The scheme is now extended from June till August but payments will be made at 70%, a reduction in line with the Furlough reduction. This means that a maximum payment of £6570 can be received for the three months till the end of August. Find out more about the extension to the scheme

 

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Who can apply for support  - Updated 3/7/2020

You can apply if you’re a self-employed individual or a member of a partnership and you:

  • have submitted your Income Tax Self Assessment tax return for the tax year 2018-19
  • traded in the tax year 2019-20
  • are trading when you apply, or would be except for COVID-19
  • intend to continue to trade in the tax year 2020-21
  • have lost trading/partnership trading profits due to COVID-19

If having a new child affected the trading profits you reported for the tax year 2018 to 2019

If you’re self-employed and had a new child, you may still be able to make a claim. You may be able to make a claim if having a new child either:

  • affected the trading profits or total income you reported for the tax year 2018 to 2019
  • meant you did not submit a Self Assessment tax return for the tax year 2018 to 2019

Your self-employed trading profits must also be less than £50,000 and more than half of your income come from self-employment. This is determined by at least one of the following conditions being true:

  • having trading profits/partnership trading profits in 2018-19 of less than £50,000 and these profits constitute more than half of your total taxable income
  • having average trading profits in 2016-17, 2017-18, and 2018-19 of less than £50,000 and these profits constitute more than half of your average taxable income in the same period

If you started trading between 2016-19, HMRC will only use those years for which you filed a Self-Assessment tax return.


Part of the eligibility for this funding was that 2018/19 tax returns had to be submitted to HMRC by the 23rd April 2020. If you did not meet this deadline, you are unlikely to be eligible for the financial help and will need to seek other support. Citizens Advice has information on this here.


If you did meet this deadline, HMRC have started to contact Self Employed people to invite them to claim for the Self Employed Income Support Scheme,  to see if you’re eligible, click on the link now , how to use the checker

In order to get a payment by the end of May, you need to have applied by the 20th May.

HMRC have produced a webinar which you can join for more information about the Self Employed Support Scheme click to Choose a date and time.

 

The links below take you to some useful guidance, and you might find it helpful to look at several or all of them to get as much information as you can relevant to your situation.


Throughout this our Tax Team will be here to support you with any queries around self -employment, employment or other related issues please ring 01983 823898 ext 2836 to talk it through and make sure you have all the information you need or email us on [email protected]