Tag Archives: SEISS

Self-employed Covid relief: When is SEISS grant five open for claims?

If the claimant’s turnover has decreased by less than 30 percent, the grant will be worth 30 percent of three months’ average trading profits.

In this case, the grant will also be subject to a cap of £2,850.

To claim, HMRC has asked claimants to calculate two different turnover figures.

Claimants will need to know their turnover for April 2020 to April 2021, in addition to their turnover for either 2019 to 2020 or 2018 to 2019.

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This post originally posted here Daily Express :: Finance Feed

SEISS warning: Self-employed fear ‘freedom day’ as support deadlines near – why?

Self-employed workers were among the hardest hit by coronavirus but despite this, new research showed many freelancers and SMEs are concerned about the economy reopening from tomorrow. From July 19, dubbed by many to be “freedom day”, the majority of lockdown restrictions will be eased and this prospect is creating unease among many workers.

Recently, Simply Business, the small business insurance provider, surveyed 936 small business owners from across the UK.

The results of this survey highlighted “mixed feelings” for freedom day among SMEs and the self-employed.

Over half (53 percent) of those polled believe social distancing restrictions are being lifted too soon and risk another lockdown.

The concern is so great, almost one in three (30 percent) small business owners will retain social distancing and reduced capacity within their businesses.

READ MORE: SEISS alert: Claimants ‘are confused’ about how grants impact returns

Alan Thomas, the UK CEO at Simply Business, commented on these results.

Mr Thomas said: “No business, big or small, has been able to escape the impact of the Covid-19 pandemic. Sixteen months of restrictions, lockdowns, and uncertainty were always likely to take their toll.

“But the scale of the impact felt by the self-employed is abundantly clear from our latest research which shows Covid-19 will cost SMEs an estimated £126.6billion – double what owners predicted it would cost them when asked a year ago.

“Small business owners’ hopes for freedom day are at risk of turning to fears, with over half of SMEs saying restrictions are being lifted too soon.

“Given the rising number of cases, it comes as no surprise that there are strong calls for clearer guidance on how to safely manage a full reopening of businesses.

“Small business owners need clear, consistent guidelines but the onus on personal responsibility breeds confusion.

“SMEs aren’t public health experts with the ability to gauge the threat of a disease.

“SMEs account for over 99 percent of all British businesses and contribute £2trillion to our economy every year. They’ve been among the hardest hit by Covid-19 lockdowns and will prove central to our collective economic recovery.

“With one in 10 small business owners not confident in resuming trading after 19 July, it’s vital that we support small businesses through this latest – and possibly confusing – period of recovery from the pandemic.”

While it remains to be seen how businesses cope following freedom day, it should be remembered self-employed workers can continue to receive support through SEISS until the Autumn.

SEISS claims for the fifth set of grants can be made from late July onwards.

Support from SEISS will be available until September 30, 2021.

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This post originally posted here Daily Express :: Finance Feed

When will SEISS grant five be paid out? Key timings to be aware of

Eligible claimants will be able to apply for one final grant from the Self-Employment Income Support Scheme (SEISS) later this year. Those who wish to apply for the fifth grant should be aware that guidance for claiming the grant is expected to be rolled out at the end of June. The scheme opens again at the end of July for applications.

How much is the fifth SEISS grant worth?

The fifth SEISS grant is paid out in one lump sum and it is subject to tax.

Unlike the previous four SEISS grants, grant five will be determined based on the claimant’s turnover.

A claimant with a turnover reduction of 30 percent or more could get a grant worth 80 percent of three months’ average trading profits, capped at £7,500 in total.

A claimant with a turnover reduction of less than 30 percent could get a grant worth 30 percent of three months’ average trading profits, capped at £2,850.

READ MORE: state pension: Voluntary NI payments may be restricted – why?

Robert Hayton, UK president of Altus Group, said leisure and hospitality firms will need more support, with nightclubs in a particularly precarious situation.

He said: “The deviation from the roadmap means Covid support, particularly rates relief, should be revisited as the largest operators will essentially be returned to normal level of business rates in just over two weeks’ time with the cap on help.”

He added: “1,167 night clubs have been unable to open their doors since the onset of the pandemic and the right to appeal citing the pandemic is retrospectively being removed which is just wrong.”

This post originally appeared on Daily Express :: Finance Feed

SEISS: Self-employed must claim by June 1 or miss out – act now to get support

SEISS, or the Self-Employment Income Support Scheme as it is more formally known, was designed by the Government to help self-employed individuals affected by the pandemic. Offering a number of instalments, the most recent form of support has been issued through the fourth grant. However, according to HMRC, claims for the fourth grant must be made on or before June 1, 2021.
Before making a claim, self-employed people have been urged to check whether the impact of COVID-19 has indeed caused a significant reduction in their trading profits.

This must have been the case between February 1, 2021 and April 30, 2021. 

The Government explains: “HMRC cannot make this decision for you because your individual and wider business circumstances will need to be considered when deciding whether the reduction is significant.

“You should wait until you have a reasonable belief that your trading profits are going to be significantly reduced, before you make your claim.

“You do not have to consider any other coronavirus scheme support payments that you have received when deciding if you’ve had a significant reduction in trading profits.”

For example, if a cafe owner has had fewer customers due to restrictions and has only been able to offer take-away service, then she may reasonably believe this will significantly reduce her trading profits.

As a result, HMRC confirms, someone in this circumstance or similar will be eligible to claim the fourth grant. 

People who are eligible for the fourth grant will be able to claim their sum online through the Government’s website.

However, they will need certain information to hand in order to make this claim.

This includes:

  • National Insurance number
  • Self-assessment unique taxpayer reference (UTR) number
  • Government Gateway User ID and Password
  • Bank account number and sort code
  • Address

Individuals who are claiming this form of support for the first time, though, may need additional documentation for questions asked.

This could mean providing a UK passport, details of a credit file, a P60 and one of a person’s three most recent payslips.

Once a person has claimed the fourth grant for SEISS, and this has been approved, Britons can expect the money into their account within six working days. 

The fourth grant, however, is not the last form of support for the self-employed which is being offered by the Government.

From July onwards, individuals will be able to receive a fifth grant if they are eligible.

Details on this are set to be released by the Government in due course. 

This post originally appeared on Daily Express :: Finance Feed

SEISS grant 4: When is the deadline to apply for self-employed grant?

“I’ve spoken about this a lot before, it’s worth up to £7,500, three months average profit from February to April.

“You must declare a reasonable belief of significant Covid profit reduction.

“Remember, for this grant, because they [HMRC] are accepting the most recent tax returns, many people who weren’t eligible for the earlier grants have been eligible for this.”

He added: “If you haven’t checked, do it soon because that deadline is coming.”

This post originally appeared on Daily Express :: Finance Feed

SEISS: HMRC reminds Britons of important deadline for fourth grant support – check now

HMRC has confirmed individuals may also need to answer other questions relating to their personal circumstances when applying for fourth grant support.

This could include passport, driving licence or credit file information. 

A claim must be made by the person in question, as asking a tax agent, adviser or someone else to claim on a person’s behalf is likely to trigger a fraud alert.

This is part of HMRC’s system to ensure the payments of SEISS are issued to the right people, and a fraud alert will delay an individual’s payment. 

This post originally appeared on Daily Express :: Finance Feed

SEISS grant 4: What can you do if your SEISS claim is rejected?

This post originally appeared on Daily Express :: Finance Feed

How can you contact HMRC?

To query an SEISS claim, HMRC can be contacted via phone or online.

Pete McMillan, a partner at Azets, told Express.co.uk: “You can request for a review of either your SEISS eligibility or the grant amount calculated by calling the SEISS helpline on 0800 024 1222, but you will need to supply details of why you consider the amount or eligibility is incorrect and provide evidence where necessary.

“The onus is on you as the taxpayer to provide this information, we recommend that you carefully prepare before calling the helpline to ensure that your case is properly presented.”

Details on how to contact HMRC can be found on the Government website HERE.