New government tool checks you’re eligible for £7,500 self-employed grant
SELF-employed workers can use a new government tool to check if they’re eligible for a coronavirus grant offering up to £7,500.
The tool is part of the new self-employment income support scheme (SEISS) which opens for applications today.
The scheme has been set up to help support self-employed workers who’ve been unable to work during the coronavirus lockdown.
As part of the help, the government will give grants worth 80 per cent of total profits, up to £2,500 a month.
SEISS can be backdated to cover March, April and May meaning you could claim up to £7,500.
The self-employed scheme is similar to the government’s furlough help for workers on PAYE payroll.
Who is eligible for SEISS?
Self-employed workers can apply if their business has been affected by coronavirus and they:
- Traded in the tax year 2019 to 2020 and intend to continue trading.
- Earn at least half of their income through self-employment.
- Have trading profits of no more than £50,000 per year.
- Traded in the tax year 2018 to 2019 and submitted their self-assessment tax return on or before April 23 2020 for that year.
How do I apply to SEISS?
The government says HMRC has been contacting eligible self-employed workers by text, email or letter.
If you've yet to hear from HMRC, and you think you should be entitled to the grant, you can also check online.
Start by using this .
To check your eligibility, you'll need to enter your self-assessment unique taxpayer reference number.
This should be 10 numbers long and can be found on tax returns letters or any other documents regarding self-assessments.
It may also be called a "reference", "UTR" or "official use".
If you've lost your self-assessment unique taxpayer reference number, you can .
To check your grant eligibility, you'll also need to know your national insurance number and have up-to-date details on your government gateway account.
Once the online check is complete, eligible customers will be given a date for when they can submit their claim.
What other help is available?
THE government has also introduced the following measures to help self-employed workers and businesses during the coronavirus outbreak.
- Income-tax deferrals: Self-assessment income tax payments, that were due in July, can be deferred to the end of January next year.
- Rent support: Businesses who are struggling to pay their rents are protected from eviction until the end of June.
- Coronavirus business interruption loan scheme: SMEs can get loans and overdrafts of up to £5 million for up to six years and the government with guarantee up to 80 per of these loans.
- Grants of up to £10,000: Small firms can get grants of up to £10,000 to help with ongoing business costs.
- VAT payments: VAT payments can be deferred for three months.
- Tax bill help: SMEs that cannot afford their tax bills can ask HMRC for a “time to pay” arrangement so any debt collection is suspended.
- Business rates holiday: A 12-month business rates holiday has been introduced for many businesses.
When can I apply for SEISS - and when do I get paid?
If you've been told you're eligible for SEISS, or you've gone through the online checker tool, you'll be given an appointment time where you can then apply online.
Dates and times for applications have been allocated randomly, with the first batch of times running between today, May 13, and May 18.
Claimants will need to have been pre-approved by the government to apply.
Applications can be made online using this - or if you're having trouble applying, you can call HMRC on 0800 024 1222.
You'll need to log in to the service on your given date and time to put forward your claim.
HMRC says the money will then being paid into your account six days later.
This means the first batch of payments, from those who've been chosen to apply today, May 13, should hit bank accounts on May 21.
If you miss your claim window, or forget to check your eligibility, you'll still be able to apply beyond May 18.
The government has yet to officially announce an end date for SEISS.
You can check the status of your claim .
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Previously, the scheme was due to go live in June but the government has fast-forwarded this date.
For those who don't have internet access, HMRC says it will be contacting these people separately.