Self-Employed Income Support SEISS claiming the 5th final grant May to September 2021
Posted on 23rd June 2021 by David Rudd
Claims process for the final Self-Employed Income Support Scheme grant will open next month
The 5th and final grant under the SEISS will be opened to claims from late July 2021.
If you need help deciding if you can make a claim contact us when HMRC issue their extended guidance notes later this month.
The grant is taxable, as are all of the other COVID grants.
Look out for communication from HMRC mid-July 2021
HMRC will be contacting you in mid-July to let you know a date to make a claim. This will be sent by letter, email or within HMRC’s online service.
Conditions to qualify for this grant:
- You must have traded in the tax year 2019-20 and submitted your tax return for that year on or before 2 March 2021 and traded in the tax year 2020-21.
- You must either be currently trading but impacted by reduced demand due to COVID or have been trading but are presently unable to do so due to COVID restrictions.
- To be eligible to claim HMRC will check previous years tax returns to see if your trading profits are no more than £50,000 and at least equal to your non-trading income.
- When claiming you must declare that you will continue to trade and that you reasonably believe that your business activity will be reduced in the period 1 May to 30 September 2021.
The 5th grant is different:
The 5th grant will be determined by how much your turnover has been reduced in the year April 2020 to April 2021.
- If the turnover reduction is 30% or more, you can claim 80% of 3 months’ average trading profits up to a maximum £7,500.
- If the turnover reduction is less than 30%, you can claim 30% of 3 months’ average trading profits up to a maximum £2,850.
HMRC have said they will provide more information by the end of June to help you work out how your turnover will be affected.
Making your claim
You can only apply online, and the online service is timed to open from late July 2021. Your letter from HMRC will advise you of the earliest date you can apply.
You must make the claim personally, we cannot do this for you.
Source material: https://www.gov.uk/government/publications/self-employment-income-support-scheme-fifth-grant/self-employment-income-support-scheme-fifth-grant
How we can help
Remember, you can only claim the grant if you have been adversely affected by the pandemic, and grants received under the scheme are taxable and must be considered in working out your profits. If you are unsure how to proceed please call us.
Although we cannot directly make claims for clients, we can help if you are unsure if you should make a claim or you are having difficulty completing the online application process.
The Steven Burton & Co team are here to help you. If you need a sounding board, some advice or a steer in the right direction, then please don’t hesitate to get in touch.
This material has been prepared for informational guidance purposes only. Whilst every effort has been made to ensure the contents are accurate, information contained may not be comprehensive. Furthermore it is not intended to provide, and should not be relied on for, tax or accounting advice. Steven Burton & Co Limited can not accept any liability for any errors or omission or for any person acting on or refraining from acting on the information provided.
David is an Accountant with over 15 years’ experience in helping a large number of different business owners in numerous sectors from consulting agencies to every area of construction you can think of.
At home dealing with numerous different types of accounting software from Xero to QBO and everything in between. David is always on the lookout for new technology to help business owners to create more time for themselves and their teams.
With a healthy ambition of never resting on the results of yesterday, David is at his best when working with ambitious business owners who want to improve their businesses for eventual sale.
In his spare time, David is often found cheering on his two boys at football, building Lego (which he pretends is for his boys) or watching the latest TV series on Netflix.