12th August 2021 Posted by - Alexander Accountancy
HM Treasury has published a Correction Treasury Direction made under the Coronavirus Act 2020, section 76, which modifies and extends the effect of the Self-Employment Income Support Scheme (SEISS). The Direction mainly deals with the expansion of the SEISS from 1 May 2021 to 30 September 2021, officially referred to as the SEISS Grant Extension 5 (SEISS 5).
The modified direction makes small changes to the Financial Impact Declaration (FID) Test with effect to claims made on or after 29 July 2021. The changes may affect those carrying on trade in a partnership.
The online portal for making a claim reopened on 29 July. However, the earliest date taxpayers can use the portal is being rolled out on a staggered basis with all those eligible for the SEISS 5 allowed to apply by 6 August at the latest. The final date for making a claim for the SEISS 5 is 30 September 2021.
To be eligible for an SEISS 5 payment, self-employed individuals, including members of partnerships, must meet the necessary criteria. This fifth and final grant is more complicated than previous grants as the level of turnover will affect the amount of the grant.
Self-employed persons whose turnover has fallen by more than 30% will continue to qualify for the 80% grant, capped at £7,500. Those with decreases in turnover of less than 30% will be restricted to a 30% claim, capped at £2,850.