Self-Employment Income Support Scheme Grant Extension
In his statement today the Chancellor, Rishi Sunak, announced an extension to the Self-Employed Income Support Scheme (SEISS).
The SEISS Grant Extension will provide further support to the self-employed over the winter months. The grant will be limited to self-employed individuals who are eligible for current SEISS grants and are actively continuing to trade but are facing reduced demand due to COVID-19. A claim can be made even if no claims have been made under the earlier SEISS schemes.
The extension will provide two grants and will last for six months from November 2020 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.
The first grant will cover 20% of trading profits for the three-month period from 1 November 2020 to 31 January 2021, capped at £1,875. Broadly, the calculation is the same as for the earlier grants, but with a much-reduced percentage and maximum claim.
The second grant will cover a three-month period from the start of February until the end of April 2021. The Government will review the level of the second grant and set this in due course.
As with the earlier grants, the new grants will be subject to both Income Tax and National Insurance Contributions.
The government have prepared this useful factsheet:
As always we will provide further information when additional guidance is published by the Government.
The information in this blog provides only an overview of HMRC guidance and legislation in force at the date of publication and no action should be taken without consulting the detailed HMRC guidance and legislation or seeking professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this blog can be accepted by the firm.
Photo by Dagny Reese on Unsplash
