Self-employed people and members of a partnership that have seen a drop in earnings may be eligible for the latest round of grant funding through the Self-Employment Income Support Scheme (SEISS).
The Government updated its guidance on July 28 on how to apply for the fifth grant which covers May 2021 to September 2021.
It will be open to claims from late July 2021.
Who is eligible?
To be eligible for the grant - which is taxable - you must be a self-employed individual or a member of a partnership.
You must have traded in the tax years 2019 to 2020 and submitted your tax return on or before 2 March 2021 and in the tax year 2020 to 2021.
You must either:
- be currently trading but are impacted by reduced demand due to coronavirus
- have been trading but are temporarily unable to do so due to coronavirus
You will need to show evidence of how your business has been impacted by coronavirus resulting in less business activity than otherwise expected.
Is the fifth grant different?
The amount of the fifth grant will be determined by how much your turnover has been reduced in the year April 2020 to April 2021.
How much you could receive?
For those who have seen a turnover reduction of more than 30%, the amount is 80% of three months' average trading profits capped at £7,500.
For those who have seen a turnover reduction of less than 30%, the amount is 30% of three months' average trading profits capped at £2,850.
What happens next?
The online claims service for the fifth grant will be available from late July 2021.
HMRC is due to provide more information this month help you work out how your turnover was affected.
If you’re eligible based on your tax returns, HMRC will contact you in mid-July 2021 to give you a date that you can make your claim from.
