Claim Self-employment Income Support Scheme Grant
4 May 2020, Advocates, Artists, Barristers, Creative Industries, Musicians, Sole Traders
Smarter accounting
4 May 2020, Advocates, Artists, Barristers, Creative Industries, Musicians, Sole Traders
Find out if you are eligible to Claim Self-employment Income Support Scheme Grant of up to £7,500. Details of the Self-employment Income Support Scheme have now been published to support the self-employed or members of a partnership with trading income. You will need to claim this cash yourself. Your accountant will not be able to do this on your behalf.
You can apply if you’re a self-employed individual or a member of a partnership and you:
To claim self-employment income support scheme cash you will need your:
Make sure you can log in to your Government Gateway account. This is your online account with HMRC. If you have never logged in or you have lost your password / ID, make sure you can access it now! You can register for the Government Gateway here. To find your lost UTR number look up your previous tax returns or letters from HMRC.
If you have forgotten your user ID or password, there is a page here to reset your details.
Almost every business has been negatively affected by coronavirus, including the following:
You can apply if you’re a self-employed individual or a member of a partnership and you:
Your self-employed trading profits must be both:
To work out your eligibility HMRC consider your 2018 to 2019 Self Assessment tax return first. Your trading profits must be no more than £50,000 and at least equal to your non-trading income. Non-trading income includes
If you’re not eligible based on the 2018/2019 Self Assessment tax return, HMRC will then look at the tax years 2016/2017 and 2017/2018.
For businesses that started trading between after April 2016, HMRC will only use those years for which you filed a Self-Assessment tax return.
Your tax agent or adviser can’t make the claim for you. You must make the claim yourself. If you use an agent you should contact them if you need any help or support.
You’ll get a taxable grant which will be 80% of the average profits from the tax years (where applicable):
To work out the average HMRC will add together the total trading profit for the 3 tax years (where applicable) then divide by 3 (where applicable), and use this to calculate a monthly amount.
It will be up to a maximum of £2,500 per month for 3 months.
The online service will be available from 13th May 2020. If you’re eligible, HMRC will tell you the date you can make your claim from. If your claim is approved you’ll receive your payment within 6 working days.
As you can imagine, HMRC are currently inundated with new work at the moment and have to do this with a reduced workforce due to COVID-19.
HMRC will contact you if you are eligible for the Self-employment Income Support Scheme and invite you to apply online. Individuals do not need to contact HMRC now and doing so will only delay the urgent work being undertaken to introduce the scheme.
You will access this scheme only through GOV.UK. If someone texts, calls or emails claiming to be from HMRC, saying that you can claim financial help or are owed a tax refund, and asks you to click on a link or to give information such as your name, credit card or bank details, it is a scam.
The best thing you can do (apart from file any late accounts) is to make sure you have access to your HMRC online account. This means when the grants are ready to be paid, you will be able to log in and make your claim.
If you receive texts, calls or emails claiming to be from HMRC, offering financial help or a tax refund and asking you to click on a link or to give personal information, it is a scam. You should email it to phishing@hmrc.gov.uk and then delete it. Remember no-one else can claim Self-Employment Income Support Scheme funding on your behalf.
Alterledger Ltd is registered with the Information Commissioners Office.
© 2023 Alterledger Ltd