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Self-employed people affected by the coronavirus crisis are being reminded that applications are now open for the third SEISS grant.
The third SEISS grant will be based on 80 per cent of three months' average trading profits, paid out in a single taxable instalment capped at £7,500, and will cover the period from 1 November to 29 January 2021. Self-employed people who are eligible will be able to claim the third grant at any time from 30 November 2020 to 29 January 2021.
The HMRC has reminded that rules on who is eligible to claim are different to those for the previous SEISS grants, however, a self assessment tax return for the tax year 2018 to 2019 showing self-employed income will still need to have been submitted in order to claim.
As previously, the third grant will also be subject to income tax and self-employed national insurance and must be reported on 2020 to 2021 self assessment tax returns, due by 31 January 2022.
What customers should do to get ready
Who is eligible
To make a claim for the third grant, customers must meet a number of conditions, and make an honest assessment about whether they reasonably believe their trading profits will be significantly reduced due to coronavirus.
To make a claim for the third grant, customers must – as previously:
For this third SEISS grant customers must also now:
When deciding whether the reduction is significant, the HMRC is advising customers to consider their wider business circumstances.
"We expect claimants to make an honest assessment about whether they reasonably believe their trading profits will be significantly reduced compared to what they would otherwise expect to achieve during this period. HMRC cannot make this decision for them because their individual and wider business circumstances will need to be considered when deciding whether the reduction is significant," the tax authority stressed.
It reminded that the claimant's business must have been impacted on or after 1 November 2020.
More information and examples to help you check eligibility to claim are available on GOV.UK.