Self-employed Covid relief: When is SEISS grant five open for claims?
Martin Lewis outlines details on the fifth SEISS grant
We use your sign-up to provide content in ways you’ve consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. More info
Eligible self-employed individuals could soon get a grant worth up to £7,500 from the Government under the Self-Employment Income Support Scheme (SEISS). The grant is taxable and will be worth either 30 or 80 percent of a claimant’s average trading profits for three months.
How does turnover impact SEISS grant five?
Unlike the previous four SEISS grants, turnover will be crucial in determining the size of the fifth SEISS grant.
If the claimant’s turnover has decreased by 30 percent or above, the grant will be worth 80 percent of three months’ average trading profits.
The total grant will be subject to a cap of £7,500 in this instance.
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.
When is SEISS grant five open for claims?
SEISS grant five will open for claims in late July 2021, but an exact date has not been set yet.
HMRC is contacting people from mid-July with personal claim dates to apply if they are eligible based on their tax returns.
HMRC may contact potential claimants about applying via email, text message, letter or within the online SEISS service.
People will need to make their claims on or before September 30, 2021, to get the grant.
HMRC updates SEISS claiming rules for 5th grants – check now [INSIGHT]
Mortgage warning as SEISS claim could impact your chances of a deal [WARNING]
Self-employed grant 5: How much will fifth SEISS grant be worth? [ANALYSIS]
What other relief is available for self-employed people?
Many people have benefited from the previous four SEISS grants while lockdown measures have been in place.
But since the scheme was introduced last year, there has been significant criticism about the number of people who aren’t eligible for the grants.
Some changes were announced by the Chancellor earlier this year, which meant swathes of newly self-employed people were eligible for SEISS grants four and five.
But many self-employed people remain ineligible for the self-employment grants based on the current eligibility criteria.
For example, self-employed people who have trading profits of more than £50,000 per year have not been eligible for the previous grants.
There has also been a requirement that at least half of the applicant’s income must be from self-employment to get the grant.
People who cannot claim SEISS may be able to get some financial support from the Government by claiming Universal Credit.
Further information on what support is available can be found on the Government website HERE.
Source: Read Full Article