05/06/20 Self-Employed Income Support Grants Extended
The Self-Employed Income Support Scheme which started on 13th May has already helped many sole traders and members of partnerships.
Although agents such as Camfield Chapman Lowe could not claim on behalf of clients, we can check to see if you have received the correct amount and request a review if we find the amount is incorrect.
To be able to claim the Self Employed Income Support Grant, your self-employed profits in 2018/19 must not exceed £50,000 and must be more than 50% of your total income. If that test is not met, then the same £50,000 and 50% tests are applied to average profits and total income over the three years (or shorter period) to April 2019.
The grant is 80% of average profits for the three years to 5th April 2019. Capped at £2,500 per month, the maximum amount for the initial 3 month period is £7,500. The Chancellor has just announced that the Self Employed Income Support Scheme will be extended for another 3 months from 1st June but the grant will be reduced to 70% of average profits and limited to £6,570.
There are a number of exceptions, for example if the trade commenced 6th October 2017 the profits for 2017/18 and 2018/19 are divided by 2 to establish an annual profit figure rather than divided by 18 months which we consider to be unfair.
These amounts received from the Government are included in your trading profits and therefore subject to income tax and national insurance.
The closing date for the first grant is 13th July 2020 and the opening date for the second grant will be August 2020 (exact date to be confirmed).
If you would like Camfield Chapman Lowe to check to see if you have received the correct amount for this grant, please call us on Milton Keynes 01908 583800.