Posted: 17, January 2021 by Amy Richardson
The New Self-Employment Income Support Scheme Grants have been released by HMRC.
However this time the qualifications to apply for this grant have been revised.
HMRC States that your business must have been impacted by Coronavirus on or after 1st November.
You can make the claim even if you did not need to apply for any previous grants.
In order to claim you must have:
- Have traded in Tax Years 18/19 and submitted a return before 23rd April 2020 and 19/20
And either:
- Be currently trading but are impacted by reduced demand due to coronavirus
- Have been trading but are temporarily unable to do so due to coronavirus
You Must Declare that:
- You intend to continue to trade
- You reasonably believe there will be a significant reduction in your trading profits
Reasonable belief
In order to claim, you must reasonably believe that you will suffer a significant reduction in trading profits due to reduced business activity, capacity or demand or inability to trade due to coronavirus during the period 1 November to 29 January 2021. You must keep evidence that shows how your business has been impacted by coronavirus resulting in less business activity than otherwise expected.
Significant reduction
Before you make a claim, 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.
HMRC cannot make this decision for you because your individual and wider business circumstances will need to be considered when deciding whether the reduction is significant.
You should wait until you have a reasonable belief that your trading profits are going to be significantly reduced, before you make your claim.
If you are in any doubt if you should make a claim feel free to contact us to discuss this further or you may contact HMRC directly.
We recommend you keep all records, such as any positive coronavirus tests, track and trace messages advising you that need to self-isolate, any letters from the NHS confirming that you must shield, letters from schools where children have to remain at home, and any other proof you may have for a reduction in income even a diary of data where you were unable to work.