HMRC’s Self-employed Income Support Scheme

The chancellor has announced further support for the self-employed.  The Self-employed Income Support Scheme (SISS)

The government will pay the self-employed a taxable grant worth 80% of their average monthly profits over the last three years up to £2,500 per month.

This will be available for three months and the chancellor said he would extend it if necessary.

Who can apply –
– Open to any self-employed person with trading profits less than £50,000.
– The self-employed income must make up more than 50% of the individuals income.
– You must have a 2018/19 tax return filed.
– If the 2018/19 tax return is outstanding you have an extra four weeks from 26/3/2020 to submit.

How much will you receive – 
– A taxable grant which is based on 80% of the average monthly profit from the three tax years, 2016/17, 2017/18 and 2018/19.
– The chancellor did also state that where there wasn’t three years trading figures available, they would work with the individual to help them.

How to receive it –
– You cannot apply for this grant yet.
– HMRC will contact you if you are eligible for the scheme as they will use the information they already have filed with them.
– HMRC will invite you to apply online.
– Once you have made the claim and you are eligible for the grant, HMRC will contact you to tell you how much you will receive
– Grants are expected to be paid early June 2020 (backdated three months)
– HMRC will pay the grant in one instalment directly into your bank account

Other measures already announced by the government to support self-employed –
– Deferral of the income tax payment on account due in July 2020
– Deferral of the VAT payment due between 20 March – 30 June 2020
– Grants for businesses that pay little or no business rates
– Increased amounts for Universal Credits
– Business interruption loan

If you need to make a claim for universal credits please click on the link https://www.gov.uk/universal-credit/how-to-claim