UK Chancellor Rishi Sunak has this evening announced help for self-employed at the daily Government briefing here are the details.
The Governments’ new Coronavirus Self-employment Income Support Scheme, is open to those who were trading in the last financial year, still trading now, and planning to continue doing so this year. The scheme will be open to those with a trading profit of less than £50,000 in 2018-19, or an average trading profit of less than £50,000 from 2016-17, 2017-18 and 2018-19. More than half of your income needs to come from self-employment to qualify for the relief.
If you have suffered a loss in income due to the Coronavirus crisis, a taxable grant will be paid to the self-employed or partnerships, worth 80% of your profits, up to a cap of £2,500, per month. Initially, this will be available for three months, payable in one lump-sum which is anticipated to be paid at the beginning of June.
The Chancellor said this will cover 95% of the UK self-employed population, the majority of whose income derives from self-employment.
This is how it works:
• HM Revenue and Customs (HMRC) will use existing information to identify those eligible and will invite applications
• The application will require them to confirm that they meet the eligibility requirements
• It will be paid straight into a bank account which eligible taxpayers will need to confirm on their application form
• People do not need to contact HMRC now. If they are eligible HMRC will contact them directly
If you have not submitted your tax return for 18/19 the Chancellor has stated that there will be a four week grace period to get the returns submitted.
Your relationship partner is on hand to assist with any queries you may have so please do not hesitate to contact them, we are here to help.
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