In the last few months, those who are self-employed have often found themselves unable to carry out their usual business. Chancellor Rishi Sunak recently announced further support for the self-employed from HMRC. Here’s what you can expect.

SEISS Second Round

For those who were eligible for the initial Self-Employment Income Support Scheme grant, you will need to prove to HMRC that your business is still being adversely impacted by Coronavirus restrictions on or after 14th July 2020.

If you didn’t claim for the first grant, you are still able to submit a claim for the second grant.

HMRC states that this is the final grant to be offered under the SEISS.

The online portal opens on 17th August 2020. HMRC will contact you and invite you to apply if you are eligible.

Once you have applied, HMRC will check your claim and pay your grant within 6 working days.

How is the grant calculated?

By looking at your Self-Assessment returns over the tax years from 2016, HMRC will work out your average trading profits or losses.

The second and final grant is paid in one instalment to the value of 70% of your average monthly trading profits. The grant is capped at £6,570.

If you need to find out more, you can see the HMRC advice here.

How accountants can help

If your grant is lower than you expected, you can first use the online service to see how HMRC calculated your grant amount.

Your accountant will be able to help you check the calculations. If they agree that your grant was underpaid, you can request a review from HMRC.

Be prepared with:

  • Your grant claim reference
  • Your National Insurance number
  • The Unique Taxpayer Reference used on your claim
  • Details about why you think the grant is too low
  • The Government Gateway user ID you used to make your claim