Self-Employed HMRC update

[Snorkelface]

HMRC has added a few updates for the self employed grant scheme.

www.gov.uk/guidance/claim-a-grant-through-the-coronavirus-covid-19-self-employment-income-support-scheme

While HMRC will be contacting eligible claimants directly over the next couple of weeks with more specific details you can now see if you're eligible to claim and what date you'll be able to lodge your claim by using their on-line tool (about half way down their web page).

You'll need your UTR and NI number to do this and it will also give you the opportunity to set up your Gateway account if you don't already have one and to update your contact details. It's a good idea to set this up now as the website is likely to get very busy when it goes live on 13th May.

You can find both your UTR and NI number on your tax return. If you're setting up your Gateway at the same time you'll need to provide email/mobile details and you'll need to set up additional security measures to identify you using either security questions or drivers license details or your passport. The system can time out so it's a good idea to have all the details to hand.

I've logged in and claimed, was very easy, just like last time. Got the amount I expected, and it said I'd have it within 6 days.

Email received yesterday. Logged on today and system tells me to apply tomorrow onwards.

Good to know it’s worked smoothly for all who have tried so far.

.

Email this morning, states I can apply from 21st

Anyone confused about whether or not to go for the second grant? I'm still a bit confused because owing to the last one am in profit compared with where I was last year (because the amount I lost was not equal to the amount of the grant). That said I have a client that has still not come back to me so I still fit the very woolly terms of "adversely affected". If anyone has feedback on what they are thinking if they are in a similar situation I would be grateful. For the first grant I consulted a tax advisor and he said it would be ok to apply.

I applied this morning. My business is definitely affected, I have earned £40 since March.

Magic Mallow - if you have a client that has still not come back to you after July 14th then that is being adversely affected. There are no rules about profit or year on year comparison or actual amounts of money earned, received or owed of any kind. If you're still not sure then don't claim it now and see how you feel further down the line. You have until October to claim.

@snorkelface thank you, I will give it a bit of time and see how it goes. I don't want to lose out if I am legitimately eligible but likewise want to be cautious about doing it before rushing ahead and claiming etc.

I applied yesterday and received an email saying I'll receive money in three working days, so hopefully by Fri. Fingers crossed..

Just done mine - super fast and bank details were saved on their system from last time (there's an option to have the grant paid into a different bank account than before if you need to change it). It said payment would be made within 6 days. Remember to take screen shots/downloads/printed copies/anything at all of their calculations, the grant amount and reference number.

And remember, you know your business best, better than HMRC, better than anyone here, better than your accountant, better than any example of what being 'adversely affected' means that you might find on the internet. However if you're still worried about whether you qualify and are searching for examples of your own circumstances the Martin Lewis examples are good - half way down the page, the 'Real Life Scenarios' bit.......

www.moneysavingexpert.com/news/2020/06/i-am-self-employed-but-confused-about-whether-i-can-claim-my-bus/

And as said before if you're not sure or if things are on the up right now then wait and see how things go before October and claim a bit later if things aren't completely back on track. As things stand this is the last help we are going to get, don't give it up lightly.

I did mine on Monday, and the money was there first thing this morning. I'm impressed at the ease and efficiency - it's worked well for me, for sure.

That's great news Grumblyberries, it has been an astoundingly well run system for most. Glad you've got your money.

Applied Tuesday and my money is in this morning!

Just a reminder that there is now less than one month to go before applications for the second SEISS grant will close. The closing date is the 19 October. With the miserable further restrictions announced yesterday please think very carefully before choosing not to claim if you're eligible.

Unless Rishi Sunak puts his hand in his pocket again the next best option for those still struggling is a Bounce Back Loan. This too has a shelf life and under the current rules the 4th November is the cut off date for arranging this with your bank or a bank who can offer you a feeder account if you don't operate from a business account already. Many banks have got huge back logs for the Bounce Back Loan so get on with it if you need it. It's a brilliant deal unless you're absolutely pants with money and know you shouldn't deal with debt of any kind.

Hope everyone who has posted here is muddling through one way or another.

And another thing............

It's petition time again! If you want to get on board with fighting for further help for the self-employed in the coming months please sign the petition from Organise below. They did a huge amount of campaigning to get the second grant through last time with signatures and press attention and will need at least 100,000 signatures on this one. Just put 'For myself' in the 'Where do you work?' box if you don't have a company name.

platform.organise.org.uk/campaigns/teamup-3rd-round-of-self-employment-grant

Bounceback loans are well worth it
especially if you use them to clear other higher rate debt and thus improve cashflow for the next year or two

for those looking at 6 months more of zero income
its going to be a very tough winter

Hey there ListeningQuietly! Hope you're fine!

Signed! Thank you for posting link

Hi Snorkel
I am OK, but many around me are not.

Announcement of limited support today, 20% for six months. Seems to be on same basis as before. Two tranches with dates to be announced.

And you can spread out January's tax bill payment. Phew.

20% is a bloody joke.. I know so many are suffering financially but those still able to be furloughed will get 77%..

I've completely lost half my income from Nov - March, 20% is going to do bugger all.. Everything around here is seasonal and i struggle through Winter at the best of times.

I know so many are suffering financially but those still able to be furloughed will get 77%
No, Furlough ends. Only those working get support now.

Many people have lost ALL their income from March until the end of the pandemic
and are getting no support at all

Gawd, well it's better than nothing but nowhere near good enough for many. And so many still with nothing at all.

So for clarity, those previously eligible under all the rules and still being adversely affected can claim a 3rd grant which will be a measly 20% of trading profits (calculated the same way as before). There's a £1875 maximum pay out. This 3rd grant is to cover November to January. No details yet about when it can be claimed but presume it will be via the portal again on HMRC's website etc. This is subject to tax and NI as before.

Then there is a 4th grant to cover February to April but it has not been confirmed what the percentage will be or whether the same eligibility rules apply. Keep an eye on this one because this will fall after everyone should have filed their 19/20 tax return which could mean they have another plan in mind.

There's also an extension to the Bounce Back Loan application date - 30th November is now the cut off rather than the 4th November. Don't leave this too late. The banks are overloaded with applications and are now likely to receive a lot more. The amount of time given to pay back the loan has now been extended from 6 years to 10, which is great but also means you'll pay more in interest if you take longer to pay it back. But still a brilliant deal, wish they'd upped the percentage we're allowed to borrow however.

There's also a further extension to paying January tax bills. Full details haven't been announced yet but basically it looks like it'll be instalments over an additional 12 months.

As before the devil will be in the detail for all of this.

So we have to pay interest on tax paid late.

Does this mean late after the planned 12months - or is after January considered late?