Tuesday 18 August 2020
Self-Employment Income Support Scheme - If you think you were not eligible for the grant or have been overpaid
Payments under the Self-Employment Income Support Scheme (SEISS) are grants, not loans, so are not necessarily repayable. However, if you think you were not eligible for the grant or have been overpaid you should tell HMRC.
You must tell HMRC if when you made the claim you:
received more than HMRC said you were entitled to
and / or
were not eligible for the grant, for example:
- your business was not adversely affected by Coronavirus (for claims under the first round of the SEISS, this was the period up to and including 13 July 2020. For the second round of SEISS, it is the period on or after 14 July 2020)
- you did not trade in the tax year 2019 to 2020
- you did not intend to continue to trade in the tax year 2020 to 2021
- you have incorporated your business since 5 April 2019
It is necessary to pay back the grant even if the claim was made due to an inadvertent error, or innocent misunderstanding of the rules.
You can also tell HMRC if you want to voluntarily pay back some or all of the grant you received. You can do this at any time. This may apply if the business was adversely affected at the time of the claim but later recovered so that, overall, annual profits are the same or higher than previous years. You are not required to make a repayment but may choose to volunteer repayment of some or all of the grant.
When you must tell HMRC depends on the date you received your grant
If you received the grant:
- before 22 July 2020 you must tell HMRC on or before 20 October 2020
- on or after 22 July 2020 you must tell HMRC within 90 days of receiving the grant
If you do not you may have to pay a penalty.
Find out more here about when you may have to pay a penalty and other information, including:
- how HMRC decides how much the penalty will be, which could be up to 100% of the grant amount
- when you will not have to pay a penalty
- how to appeal against a penalty
What you will need to notify HMRC of an overpayment
- your Government Gateway user ID and password that you used when you made your claim
- your grant claim reference - you’ll find this in the online service or on your copy of the grant claim
- your Self Assessment Unique Taxpayer Reference (UTR) number - if you do not have this find out how to get your lost UTR
Please click here to notify HMRC of the overpayment.
What happens next
When you’ve completed the form, you will be given bank details to pay back the grant. You should print or save this page so you can make the payment.
HMRC will only contact you if they need more details or if there is a problem with your payment.
If you have any questions or are concerned about whether you were eligible or may have been overpaid by HMRC please contact us.
Monday 17 August 2020
Self-Employment Income Support Scheme – the service to claim the second grant is now open
If you're self-employed or a member of a partnership and your business has been adversely affected by Coronavirus (COVID-19), on or after 14 July 2020, use this scheme if you're eligible to claim the grant. You must make your claim for the second grant on or before 19 October 2020. Claims for the first grant are now closed.
Who can claim
You can make a claim even if you did not make a claim for the first grant if your business has been adversely affected on or after 14 July 2020.
You must also meet all other eligibility criteria.
You should not claim the grant if you’re a limited company or operating a trade through a trust.
What you will need
You will need your:
- Self Assessment Unique Taxpayer Reference (UTR) – if you do not have this find out how to get your lost UTR
- National Insurance number – if you do not have this find out how to get your lost National Insurance number
- Government Gateway user ID and password – if you do not have a user ID, you can create one when you make your claim
- UK bank details (only provide bank account details where a Bacs payment can be accepted) including:
• bank account number
• sort code
• name on the account
• your address linked to your bank account
You must make the claim yourself. You must not ask a tax agent or adviser to claim on your behalf as this will trigger a fraud alert, which will delay your payment.
Tuesday 4 August 2020
Ask HMRC to verify you had a new child which affected your eligibility for the Self-Employment Income Support Scheme
If you’re self-employed or a member of a partnership, and having a new child affected the trading profits or total income you reported for the tax year 2018 to 2019, use this form to ask HMRC to verify that you had a new child.
Tuesday 14 July 2020
Summer Economic Update
On 8th July, the Chancellor Rishi Sunak made a speech entitled “Summer Economic Update” where he unveiled further Government supports and he unveiled the Government’s plan for jobs which he described as the “Second phase in the Government’s economic response to the crisis.”
Please see our July e-news for the highlights on the following announcements:
- Coronavirus Job Retention Scheme (CJRS) and Job Retention Bonus
- Kickstart Scheme and Measures to Help People Find Work
- Value Added Tax Reduced Rate for Hospitality and Tourism Sectors
- Eat Out To Help Out Scheme
- Stamp Duty Land Tax Holiday
- Residential Rates on Purchases from 8 July 2020 to 31 March 2021
Wednesday 8 July 2020
Today the Chancellor, Rishi Sunak, set out plans for the next stage of our economic recovery. Important announcements:
- Companies will receive a £1,000 bonus for each furloughed employee who is still employed as of 31 January 2021.
- From today until 31 March 2021, buyers will pay no Stamp Duty on the first £500k when they move home. Nearly 9 out of 10 people getting on or moving up the property ladder will pay no Stamp Duty at all.
- The Government will cut the rate of VAT applied on tourism and hospitality related activities from 20% to 5% for six months.
More information on all the Chancellors announcements can be found here.
Monday 6 July 2020
How different circumstances affect the Self-Employment Income Support Scheme
The Government has updated the guidance for self-employed or member of a partnership to explain how certain circumstances can affect your eligibility for the scheme. Please click here for further information.
Tuesday 2 June 2020
Chancellor Extends Self-Employment Support Scheme
The government’s Self-Employment Income Support Scheme (SEISS) will be extended with those eligible able to claim a second and final grant capped at £6,570. This will give more security to individuals whose livelihoods are adversely affected by Coronavirus in the coming months. You do not need to have claimed the first grant to receive the second grant, for example, if your business has only recently been affected by Coronavirus.
- Individuals can continue to apply for the first SEISS grant until 13 July. Under the first grant, eligible individuals can claim a taxable grant worth 80% of their average monthly trading profits, paid out in a single instalment covering three months’ worth of profits, and capped at £7,500 in total. Those eligible have the money paid into their bank account within six working days of completing a claim.
- Applications for the second grant will open in August. Individuals will be able to claim a second taxable grant worth 70% of their average monthly trading profits, paid out in a single instalment covering three months’ worth of profits, and capped at £6,570 in total.
- The eligibility criteria are the same for both grants, and individuals will need to confirm that their business has been adversely affected by Coronavirus. An individual does not need to have claimed the first grant to receive the second grant: for example, they may only have been adversely affected by COVID-19 in this later phase.
Further guidance on the second grant will be published on Friday 12 June and we will keep you up to date with the details when we know them. See more details here.
No announcement or Grant was made at the daily press conference regarding Company Directors and those who became self-employed after April 2019.
Thursday 14 May 2020
Claim a grant through the Self-Employment Income Support Scheme (SEISS)
Please click here to access the SEISS portal for applications. This scheme is available if you’re self-employed or a member of a partnership and have been adversely affected by coronavirus (COVID-19). If you haven’t already, please check if you are eligible to claim a grant by clicking here.
Please note that for a small number of cases, the checker is giving an incorrect not-eligible result. In most cases this as a result of late filing of the 2018/19 Tax Return. HMRC is updating the system and those who may be in this situation should keep trying the checker.
The eligibility checker includes an option to request a review of not-eligible results. The review can be requested by the taxpayer or their agent. HMRC will start to consider review cases later in May, after the bulk of the claims have been made.
The level of grant will be automatically calculated by HMRC, individuals will not need to enter any figures or information about past income. Therefore a review should also be requested if you believe the grant calculated by HMRC to be incorrect, please note that reviews of this nature can only be requested by the individual making the claim, agents are currently unable to make these requests. Clients of Humphrey & Co should speak to their usual contact if they would like calculations checked for them.
Those who are digitally excluded and unable to claim online are expected to be able to make claims by phoning HMRCs SEISS helpline. HMRC recommend that, where possible, the webchat facility be used in preference to phoning, to help manage demand.
Wednesday 6 May 2020
Self-Employed Income Support Scheme (SEISS) Update
Following our update yesterday on SEISS, if you do not yet have a Government Gateway account, rather than applying for it separately, we suggest you wait until you apply for the grant. You should be invited to apply for such an account as part of the first step of the SEISS grant process.
Tuesday 5 May 2020
Self-Employed Income Support Scheme (SEISS)
Further guidance has now been issued by the Government in respect of the Self-Employed Income Support Scheme (“SEISS”).
HMRC will begin contacting individuals who may be eligible to receive a grant under the SEISS from 4 May. You may, therefore, have already received correspondence from HMRC. Once you have received confirmation from HMRC that you may be eligible to receive a grant you will be entitled to make a claim when the online system opens on 13 May. We understand, however, that HMRC are trying to stagger claim applications so the date you can claim from may be later.
It is important to note that we, as your agent, are unable to make the claim on your behalf.
We will, of course, be happy to assist with any queries you may have when making the claim or in assessing your eligibility for a grant.
What you will need to make a claim
The current guidance suggests that you will require the following:
- Your Unique Taxpayer Reference (UTR) (can be found on the front on your Tax Return)
- Your National Insurance Number (can be found on the front of your Tax Return)
- Your Government Gateway ID and Password
- Bank account number and sort code for payment
As you will see from point 3, it is important that you have a Government Gateway account setup in order to make the claim application yourself. If you do not already have a Government Gateway account you will need to register for one as soon as possible. To do this, please:
- click on the following link - https://www.tax.service.gov.uk/bas-gateway/sign-in?continue_url=/account&origin=
- click “Continue to your account” at the bottom of the page
- click “Create sign in details” on the next page (underneath the green 'sign in' button)
Ahead of receiving correspondence from HMRC in connection with the SEISS they are also inviting you to check your eligibility for a grant as follows - https://www.tax.service.gov.uk/self-employment-support/enter-unique-taxpayer-reference.
You will be required to enter your UTR and National Insurance Number and will then be prompted to ensure your contact details are correct by logging into your Government Gateway account. This is also a good opportunity to create a new account if you do not already have one. Should you be entitled to claim a grant we understand that it will be paid into your chosen bank account within 6 working days from the date of the claim.
If you have any queries in connection with your eligibility for a grant under the SEISS following the completion of the above online check please do not hesitate to contact us.
Thursday 16 April 2020
Self-Employment Income Support Scheme
To find out how HMRC will work out your income and profits if you’re self-employed or a member of a partnership in the UK and have lost profits due to Coronavirus (COVID-19) click here.
Please note that the online service for accessing this scheme is not yet ready, and that HMRC are planning to contact eligible individuals by mid-May, with payments expected in early June.
If you are a client of Humphrey & Co and require any help with the scheme or would like copies of your last three years Tax Return’s please do get in contact with your usual partner.
Wednesday 15 April 2020
Genuine HMRC contact and recognising phishing emails and texts
Please beware of emails and messages pertaining to be from HMRC. Take extra caution at this time and do not click on links or share personal details. Please talk to us if you want to confirm whether any correspondence is genuine. Find out how to recognise when contact from HMRC is genuine, and how to recognise phishing or bogus emails and text messages by clicking here.