SEISS grant help

[Whuut]

I have been self employed for 6 years, I went back to work after coming off mat leave at beginning of March 2020. Obviously only worked for a few weeks and then lockdown happened. My work instantly stopped with only the odd day here and there. My partner continued working from home but we couldnt afford our house so had to move in with my family. I claimed the self employed grants available but when I realised this whole thing was going to last a lot longer than originally thought, I got a job at a supermarket- this was in Nov 2020. We then got our own place again.

Now to my point. I don't know whether I should claim the next grant. I think I'm eligible as still self employed but I'm not sure if I should get it in my circumstance. I was claiming the last ones as I intended to go back to my self employed business when I could (still looks like a way off) but, I've just found out I'm pregnant so even if I do, that wont be for a long time. I could really use the money, as I'm sure anyone could. But should I claim it? If I'm working (employed-paye), still self employed and business has been very affected but will be going on mat leave end of this year?

Obviously I don't want any issues with HMRC but just wondered if anyone is in a similar position. I'm sure there's some people claiming it when they shouldn't be but I don't want to be one of those.

Thanks.

I think the Seiss grants are if you continue trading in this tax year

You won’t be so guessing won’t be eligible

I could be wrong. Maybe ask cab

The application will make the criteria clear - last time you had to confirm you would be continuing to trade and that your trade had been significantly affected. I'd wait and see what the wording is and claim if you are comfortable with meeting the criteria.

Thanks for replies. I think I meet the criteria as in my business has totally stopped due to covid. I guess my issues are just that I am now working a full time job- this is separate from my self employed business though. And that I wont continue trading this year as I will be going on mat leave before it will be possible to start self employed work again.

Calling cab is a good idea. I really want to be confident either way.

I thought one of the criteria is that you should be currently employed more than 50% of the time in your self employed business, and it sounds like if you have a full time job somewhere else atm, then you wouldn’t get the grant.

I got another job because I couldnt work at all due to coronavirus which makes me eligible. There has to have been a significant impact on business- unable to work comes under that.

My mistake- I've just had a look and it seems for the fourth grant you do have to have earnt 50% of income from self employment. I guess this means I wont be eligible. At least I know now! Thanks for all the replies.

Remember as well, the grants will be taxable and you'll be expected to pay tax on it at some point - you're already now paying tax through PAYE, you don't want to be hit with an extra demand during your upcoming maternity leave.

That's true. Although, because I only had a few days work here and there last year and couldnt continue trading at all from Nov(which is when I got the other job), my income will pretty much be just the grants, which alone, I'm almost certain wont be enough to pay tax on. I get where you are coming from though.

I think I will still ring cab just to be 100% sure on where I stand.

The 50%relates to earnings in previous years and not your current situation.

The inland revenue will first look at 50/50Rule in 20/21 if you don't meEt the criteria in 20/21 they will look to your 4 previous tax years for eligibility.
Your payment will be 80% of your average profit if you comply with the 50/50 rule.

@Livelovebehappy

I thought one of the criteria is that you should be currently employed more than 50% of the time in your self employed business, and it sounds like if you have a full time job somewhere else atm, then you wouldn’t get the grant.

50% of your profit not 50% of your time. The other 50% may include paye, pension income , interest from savings, income from property.

@Livelovebehappy

I thought one of the criteria is that you should be currently employed more than 50% of the time in your self employed business, and it sounds like if you have a full time job somewhere else atm, then you wouldn’t get the grant.

The 50:50 rule applies to specific past years, not the current year. So if the OP's income from self employment was more than 50% of total income pre-covid, then they qualify for SEISS under the 50:50 rule. What the OP is doing in the current year, i.e. if the split changes, doesn't change eligibility. That's one of the main components of the 3 million excluded self employed - i.e. they were employed more than 50% back in 2008/9 and weren't eligible for SEISS even if they'd given up that employment pre covid and their "current" income (2019/20) was wholly self employed.

@Alwayscheerful

The inland revenue will first look at 50/50Rule in 20/21 if you don't meEt the criteria in 20/21 they will look to your 4 previous tax years for eligibility. Your payment will be 80% of your average profit if you comply with the 50/50 rule.

Don't you mean 19/20? That's the year that has now been opened up as a basis for the 3rd and 4th claims. For the first 3 it was up to the 18/19 tax year. The 19/20 tax return filing deadline was 31/1/21 (extended to end of Feb 21), hence why Rishi claimed it couldn't be used for the first 3 SEISS grant claims!

www.gov.uk/government/publications/self-employment-income-support-scheme-grant-extension/self-employment-income-support-scheme-grant-extension

www.citizensadvice.org.uk/work/coronavirus-if-youre-self-employed/

Yes I meant 19/20