SELF EMPLOYMENT INCOME SUPPORT SCHEME (SEISS) SECOND PAYMENT
Applications for the second grant are now open.
Claim from the 17 August 2020 – Closing Date for claims is 19 October 2020
- 70% of average 3 months profit (capped at £6,570)
- Must be adversely affected on or after 14 July 2020
- Must have submitted a tax return for 2018/19 by 23 April 2020
- Must have traded in 2018/19 and 2019/20
- Intend to continue trading in 2020/21
- Profits are less than £50k in 2018/19 (or less than £50k on average for the previous 3 tax years)
- Self employed profits must be more than 50% of total income
- Grants are subject to income tax and Class 4 NIC and must be reported on 2020/21 Tax Return
Examples of adversely affected
You are unable to work because you:
Are on sick leave because of coronavirus
Have caring responsibilities because of coronavirus
You’ve had to scale down or temporarily stop trading because:
Your supply chain has been interrupted
You have fewer or no customers or clients
Your staff are unable to come in to work
One or more of your contracts have been cancelled
You had to buy protective equipment so you could trade following social distancing rules
To be eligible you must have been adversely affected by Coronavirus on or after 14 July 2020. Please see below the HMRC examples of this in case the claim is queried.
If you have any queries please contact us: email@example.com
Affected both up to and after 13/14 July 2020
Pam is self-employed running a small restaurant.
20 March -restaurant shuts, staff furloughed
15 April -opens for takeaway food only
Before 4 July –prepares for re-opening for dine-in customers
4 July onwards –re-opens under Govt social distancing guidelines
There are adverse effects in both periods. Pam can claim both grants
Adversely affected up to 13 July 2020 but not after
Andy is a self-employed window cleaner.
18 March –stops working completely
Mid-May –starts working again for some clients
By 13 July –working as normal
The adverse effect relates wholly to the period before 13 July 2020. There was no new adverse effect on or after 14 July 2020. Andy can claim the first grant but not the second.
Adversely affected up to 13 July but not after
Janet is a self-employed copywriter, working from home.
23 March –continues to work from home during lockdown
Before 13 July –several sales invoices long overdue
By 31 August –all outstanding sales invoices paid
Janet can claim the first grant because she was adversely affected when she made her claim even though the invoices were later paid. She can’t claim the second grant because there was no adverse effect on or after 14 July 2020.
Adversely affected after 14 July but not before
Leroy is a self-employed lorry driver.
Before 13 July –works as normal despite fear work might dry up
August –contract with farming client for September cancelled due to coronavirus affecting recruitment of workers to pick crops
Leroy can’t claim the first grant as he was not actually adversely affected before 13 July. Anticipating a future adverse effect is not enough to meet the qualifying condition. But he can claim the second grant as there was an actual adverse effect on or after 14 July 2020.