Like the CJRS scheme for employers, the Self Employed Income Support Scheme (SEISS) has been extended to September 2021 and details of claims for the fifth grant have now been released. This fifth grant covers May to September 2021 and will open for applications in late July.
How much will I be able to claim this time?
The latest grant allows the self-employed to claim 80% of their average profits for the period up to 2019/20 if turnover is down at least 30%. If your turnover is down less than 30%, you’ll be able to claim 30% of your average profits.
Like CJRS there are lots of conditions that need to be satisfied, such as being self-employed in 2019/20 and continuing to trade in 2020/21 or would be doing so if it the business had not been impacted by coronavirus.
How does the fifth self employed income support scheme grant differ?
Conditions for the fifth grant will be linked to a reduction in business turnover.
Self-employed individuals whose turnover has fallen by 30% or more will continue to receive the full grant worth 80% of three months’ average trading profits, capped at £7,500. People whose turnover has fallen by less than 30% will receive a 30% grant, capped at £2,850.
What do I need to do in order to claim?
In order to be able to make a successful claim the self-employed profits in 2019/20 must not exceed £50,000 and must be more than 50% of the individual’s total income. If that test is not met, then the same £50,000 and 50% tests are applied to average profits and total income over the four years (or shorter period) to 5 April 2020. This means that those who commenced trading in 2019/20 will now potentially be eligible for SEISS grants, having not previously qualified for the first three grants.
Although we cannot make the claim on your behalf we can help you determine whether you are eligible and assist you with your claim if required. Get in touch to discuss your individual circumstances and requirements.