Applications for the first Self-Employed Income Support Scheme grant close today

Applications for the first Self-Employed Income Support Scheme grant close today

Readers are reminded that claims for the first grant under the self-employed income support scheme (“SEISS”) must be made by today Monday 13 July.

Claims for the second grant are expected to open in August 2020. In order to qualify for the second SEISS grant, the business must be adversely affected by the coronavirus pandemic on or after 14 July 2020. HMRC has recently updated their guidance on the meaning of this. Anyone seeking to make a claim should review this guidance before applying and consider carefully if their circumstances qualify.

HMRC has also recently updated the guidance for the SEISS to confirm an extension of eligibility. This extension affects self-employed parents who did not submit a tax return for 2018/2019, or whose trading profits in 2018/19 were less than their other income, and were therefore ineligible for the SEISS, because they were taking time out of their trade to care for their new-born or newly adopted child (i.e. within 12 months of the birth of the child or within 12 months of an adoption placement).

Such individuals will be able to claim for the SEISS, as long as they meet the other standard eligibility criteria, using either their 2017/18 or both their 2016/17 and 2017/18 self-assessment returns as the basis for their eligibility and grant calculation. Those who have become eligible can make a claim for the first SEISS grant, the second SEISS grant, or both (depending on when their businesses may have been adversely affected by the pandemic) when applications for the second grant open in August.

This is an amendment to bring these individuals into eligibility for the scheme. It does not affect the grant calculation for those who submitted a 2018/19 return and were already eligible.

The extension complements the Government confirming recently that parents on statutory maternity and paternity leave who return to work in the coming months after a long period of absence will be permitted to be furloughed under the job retention scheme.

source: www.charteredaccountants.ie