Categories
Covid-19

SEISS Further update

We still do not have your Gov. login account details, we use an Accountants gateway!

The GovernmentThe Government’s Self-Employment Income Support Scheme will be extended and will pay out a final grant.

This will be the final grant from the self-employment income support scheme. (SEISS)

Applications for the second grant will open in August, you will have to confirm your business has been adversely affected on or after 14 July 2020 on the application.

The Second Grant, which comes in August, is for those whose business was impacted by Covid-19 on or after 14 July. 

The first grant is for those whose business was impacted by Covid-19 before 13 July. 

If your business has been impacted both before and after the dates, you may apply for both Grants.

Those eligible will be able to claim the final grant in August, which will be worth up to 70% of their average monthly net profits, though it’s capped at £6,570 overall. 

Your net profit is your total income minus your total expenses, if you claimed a large tax rebate, you will have lower net profits, than someone on a similar income who received less of a tax rebate. 

The final Grant will be paid out in one single instalment.

Use Our Calculators to check your estimated Grant payments.

You can use our “First payment” calculator to estimate your second grant based on the amount of your first grant. 

You can use our Annual net profits calculator to estimate both grants based on your net profits.

Use Our Calculators to check your estimated Grant payments.

The eligibility criteria are the same for both grants, and you don’t need to have claimed the first grant to receive the second grant.

Here’s what you need to know about the second and final grant. 

Here’s what you need to know about the first grant

SEISS – the Government grant to self-employed individuals whose businesses have been adversely affected by coronavirus – opened for applications on Wednesday 13 May. 

It initially covered three months (March, April and May) and the grants were worth up to 80% of profits, capped at £2,500 per month, or £7,500 in total. 

If you’re eligible for the scheme you can still apply for this first grant, but the Government’s now said that you’ll need to do so by Monday 13 July.

Full information on eligibility criteria for the scheme can be found in this guide Coronavirus Self-Employed & Small Limited Company Help, but in brief:

• Your average trading profit must be less than £50,000/year. This is essentially a ‘cliff-edge’ requirement – so those whose average annual trading profit is more than £50,000 (to be specific, £50,000.01 and above) won’t be able to get any support from this scheme.

• You must earn more than 50% of your total income from self-employment. This must have been the case for either your 2018/19 tax return or, if not, the average of your 2016/17, 2017/18 and 2018/19 tax returns. Income from property, dividends, savings, pensions and taxable benefits all count as “non-trading income” and qualify for the SEISS. The total of these combined must NOT exceed 50% of your total income. For more information on which benefits count as “taxable income”, see our full list here.

• Grants are based on your profits over three tax years. They are based on an average of the tax returns for 2016/17, 2017/18 and 2018/19.

• You must have filed a tax return for 2018/19. This means you must have been self-employed prior to 6 April 2019. The last possible moment to file a 2018/19 tax return was Thursday 23 April (the deadline had been extended from 31 January 2020). If you only had a few months’ self-employment on your 2018/19 return, this will be counted as your total profit for the year – the Government won’t pro-rata it based on your monthly profits.


We still do not have your Gov. login account details, we use an Accountants gateway!

Useful links and sources:

https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

https://www.gov.uk/government/news/chancellor-extends-self-employment-support-scheme-and-confirms-furlough-next-steps

https://www.moneysavingexpert.com/news/2020/04/self-employed-help-coronavirus/

https://www.moneysavingexpert.com/news/2020/05/government-s-self-employment-support-scheme-extended-and-furloug/

https://www.rossmartin.co.uk/covid-19/4632-covid-19-proposed-statutory-self-employment-pay-scheme

Categories
Covid-19

Second SEISS Grant

We still do not have your Gov. login account details, we use an Accountants gateway!

The Government’s Self-Employment Income Support Scheme will be extended and will pay out another single grant covering three months, the Chancellor has announced. 

He also said this will be the final grant from the self-employment 
scheme.

Those eligible for the Self-Employment Income Support Scheme (SEISS) will be able to claim the additional grant in August, which will be worth up to 70% of their average monthly net profits, though it’s capped at £6,570 overall. 

The money will again be paid out in a single instalment covering June, July and August.

Your Net profit is your total income minus your total expenses, if you claimed a large tax rebate, you will have lower net profits, than someone on a similar income who received less of a tax rebate. 

Use Our Calculators to check your estimated Grant payments.

You can use our first calculator to estimate your grants based on your net profits.

You can use our second calculator to estimate your second grant based on the amount of your first grant. 

Use Our Calculators to check your estimated Grant payments.

SEISS – the Government grant to self-employed individuals whose businesses have been adversely affected by coronavirus – opened for applications on Wednesday 13 May. 

It initially covered three months (March, April and May) and the grants were worth up to 80% of profits, capped at £2,500 per month, or £7,500 in total. 

If you’re eligible for the scheme you can still apply for this first grant, but the Government’s now said that you’ll need to do so by Monday 13 July.

Here’s what you need to know about the first grant

Applications for the second and final grant will open in August. 

It’ll be worth 70% of average monthly trading profits, again paid out in a single instalment covering three months’ worth of average profits (June, July and August), though this time it’ll be capped at £2,190 per month, or £6,570 
in total.

The eligibility criteria are the same for both grants, and you don’t need to have claimed the first grant to receive the second grant. 

Here’s what you need to know about the second and final grant.

Full information on eligibility criteria for the scheme can be found in this guide Coronavirus Self-Employed & Small Limited Company Help, but in brief:

• Your average trading profit must be less than £50,000/year. This is essentially a ‘cliff-edge’ requirement – so those whose average annual trading profit is more than £50,000 (to be specific, £50,000.01 and above) won’t be able to get any support from this scheme.

• You must earn more than 50% of your total income from self-employment. This must have been the case for either your 2018/19 tax return or, if not, the average of your 2016/17, 2017/18 and 2018/19 tax returns. Income from property, dividends, savings, pensions and taxable benefits all count as “non-trading income” and qualify for the SEISS. The total of these combined must NOT exceed 50% of your total income. For more information on which benefits count as “taxable income”, see our full list here.

• Grants are based on your profits over three tax years. They are based on an average of the tax returns for 2016/17, 2017/18 and 2018/19.

• You must have filed a tax return for 2018/19. This means you must have been self-employed prior to 6 April 2019. The last possible moment to file a 2018/19 tax return was Thursday 23 April (the deadline had been extended from 31 January 2020). If you only had a few months’ self-employment on your 2018/19 return, this will be counted as your total profit for the year – the Government won’t pro-rata it based on your monthly profits.

Further guidance on the second grant will be published on Friday 12 June.

We still do not have your Gov. login account details, we use an Accountants gateway!

Useful links and sources:

https://www.gov.uk/government/news/chancellor-extends-self-employment-support-scheme-and-confirms-furlough-next-steps

https://www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

https://www.moneysavingexpert.com/news/2020/04/self-employed-help-coronavirus/

https://www.moneysavingexpert.com/news/2020/05/government-s-self-employment-support-scheme-extended-and-furloug/

https://www.rossmartin.co.uk/covid-19/4632-covid-19-proposed-statutory-self-employment-pay-scheme