Self-Employed Income Support Scheme – Covid19

HMRC has opened the Self-Employed Income Support Scheme, where freelancers and contractors can apply up to 80% of lost earnings in a £7,500 lump sum.

To qualify for this grant, your self employed income must be below £50k AND this amount must be >50% of total income.

It is a very quick seamless application process, information required:

1. Personal UTR Number

2. National Insurance Number

3. Government Gateway ID and Password

4. Bank Account Information (where you would like the grant paid into)

The system automatically calculates if you are eligible for the grant and how much you are to receive based on your historic submitted returns.

Only make this claim if you’re self-employed or a member of a partnership and have been adversely affected by coronavirus (COVID-19).

Around 3.5m self-employed freelancers and contractors will already have been contacted by HMRC, deeming that they are eligible for the Self-Employed Income Support Scheme (SEISS).

Freelancers and the self-employed can apply for a one-off payment of up to £7,500 covering three months. This is based at looking at your tax returns for the past three years and then averaging your monthly income. Only freelancers and the self-employed who have been earning up to £50,000 a year can apply for the self-employed coronavirus income support scheme.

The grant does not need to be repaid but will be subject to income tax and national insurance.

Money should hit bank accounts by May 25 or six working days after a claim is made.

The Treasury is thinking about dropping the ceiling for self-employed support to £30,000 when the scheme is extended.

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