SEISS, otherwise known as the Self-Employment Income Support Scheme, is intended to help self-employed people who have experienced difficulties as a result of the ongoing pandemic. Self-employed people have undoubtedly faced challenges due to lockdown and business closures over the past year. To offer help, SEISS was established and then extended by the Government to provide financial aid.
The claim date of late April for the fourth grant, as previously announced, is now fast approaching, with self-employed people looking for significant assistance.
However, to avoid being disappointed, Britons may wish to check their eligibility for the income support scheme.
To be eligible for the fourth grant of SEISS, individuals must be a self-employed individual or a member of a partnership.
HMRC, however, has warned the grant cannot be claimed if they trade through a limited company or trust.
READ MORE: National Insurance warning as ‘Crime Agency’ scam call spreads
Self-employed people are required to declare they intend to trade, as well as stating they “reasonably believe” there will be a significant reduction to their trading profits.
Individuals are required to keep evidence to show how their business has been impacted by COVID-19 to claim SEISS.
The Government website states: “HMRC expects you to make an honest assessment about whether you reasonably believe your business will have a significant reduction in profits.
“You must decide if the impact on your business will cause a significant reduction in your trading profits for the tax year you report them in.
Overall, the fourth grant is calculated at 80 percent of three months’ average trading profits, and this paid out in a single instalment and capped at a total of £7,500.
The Chancellor Rishi Sunak confirmed in his Budget speech that SEISS support would be continued, laying out the Government’s plans.
He said: “Support for the self-employed will continue until September, with a fourth grant covering February to April and a fifth and final grant from May onwards.
“The fourth grant will provide three months of support at 80 percent of average trading profits.
“For the fifth grant, people will continue to receive grants worth three months of average profits, with the system open for claims from late July.”
Mr Sunak, however, acknowledged the Government would be targeting its support to those most palpably impacted by COVID-19 within the fifth grant.
As a result, Britons can expect various amounts of support depending on how much their turnover has fallen.