SEIS is going live
The Self Employed Income Support (SEIS) Scheme is going live for applications on 13 May 2020 and HMRC have already started contacting people who are eligible to apply.
Am I eligible?
You can check if you are eligible by using HMRCs new online eligibility checker which has been made available together with updated guidance on the scheme. To use the eligibility checker you will need your:
Unique Tax Payer Reference (UTR)
National Insurance Number
Both of these can be found on correspondence received from HMRC or on a copy of your self assessment return.
The SEIS scheme will allow you to claim a taxable grant worth 80% of your average trading profits up to a maximum of £7,500, equivalent to three months’ profits.
You can claim if you are self-employed, or a member of a business partnership, your business has been adversely impacted by coronavirus and you:
have traded in the tax year 2018 to 2019 and have submitted your Self-Assessment tax return for that year on or before 23 April 2020;
have traded in the tax year 2019 to 2020;
are trading when you apply. If you have temporarily stopped trading because of coronavirus you will still be classed as trading by HMRC; and
intend to continue to trade in the tax year 2020 to 2021.
Your trading profits must be no more than £50,000, and at least half of your total income for either:
the tax year 2018 to 2019; or
the average of the tax years 2016 to 2017, 2017 to 2018, and 2018 to 2019.
What are trading profits?
Trading profits are profits made from a business. Rental income, employment income and dividend income are not trading profits but do form part of your total income. If you receive significant income from these sources you may not eligible for the SEIS scheme.
How do I apply?
HMRC have already started contacting those eligible to apply by email, SMS and letter together with the information you will need to pull together for the application form.
If you haven't yet heard from HMRC and are unsure if you will be eligible please use the eligibility checker.
If you are eligible HMRC will let you know when you can make your application, which will be between 13 - 18 May.
Unfortunately in their haste to get the SEIS scheme up and running HMRC have not made the appliation process available to agents. Unlike the job renteion scheme your advisor cannot submit this application on your behalf.
Applications have to made online through your Personal Tax Account (also know as your Government Gateway account). If you have multiple logins, one for your personal tax and another for a limited company or a partnership, you will need to use your personal one.
What if I don't have a Government Gateway account?
If you do not have a Governemnt Gateway account it is anticipated that HMRC will allow two alternatives:
Driving Licence Number
This is for general information only. You are recommended to seek competent professional advice before taking any action on the basis of the contents of this publication.