HMRC announced it will be now contacting self-employed eligible for the Self-Employment Income Support Scheme (SEISS) that is set to help self-employed or members of a partnership adversely affected by coronavirus.

Key facts about the Support scheme

• This is a temporary 3 months scheme, but it may be extended
• The scheme allows to claim a taxable grant of 80% of average monthly trading profits
• The grant will be paid out in a single instalment covering 3 months
• It is capped at £7,500 altogether
• If you receive the grant you can continue to work, start a new trade or take on other employment including voluntary work, or duties as an armed forces reservist.
• The grant will be subject to Income Tax and self-employed National Insurance.

Where to check if you’re eligible for the grant?

HMRC introduced a new online tool to find out if you’re eligible for the SEISS.

To use the tool you’ll need to provide:

• UTR number
• National Insurance number

Your tax consultant can also use the online tool on your behalf, but only you can make the claim.

How to claim?

• The online service will be available from 13 May 2020.
• If you’re eligible for the grant, HMRC will indicate the date you’ll be able to make a claim from and ask you to add your contact details.
• If you’re not eligible for the grant, you can ask HMRC to review your application.
• If you’re not eligible for the grand, you can also check out other help and support you can get.
• After you make the claim you will be told straight away if your grant is approved and if it is, you’ll receive your payment within 6 working days.

Records keeping

After you make the claim, you have to keep a copy of

• the amount claimed
• the claim reference number
• evidence that your business has been adversely affected by coronavirus

You will need to report the grant:

• on your Self Assessment tax return
• as self-employed income for any Universal Credit claims
• as self-employed income and that you’re working 16 hours a week for any tax credits claims

!!! IMPORTANT !!!

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 [email protected] and then delete it.

Information in this blog is based on gov.uk text that is available here.