Self-Employed and Individuals

Covid-19 Business and Individual Support Measures for Self-Employed and Individuals 

Information

How we can help

Self-Employed Income Support Scheme

  • Self-employed trader or in a trading partnership
  • Must have < £50k profits on average over the last 3 years (note: this is based on profits after expenses, not the gross income)
  • Majority of taxable income must be from the trade
  • Have lost trading profits due to COVID-19
  • Have filed a tax return for 2018-19
  • Late filers will have until a new 23 April 2020 deadline to bring their returns up to date and these late returns will be “risk assessed” by HMRC, no doubt to check for excessive income
  • Must have traded in 2019-20; be currently trading at the point of application (or would be except for COVID-19) and intend to continue to trade in the tax year 2020-21
  • New Update SEISSV2
  • New Update SEISSV3
  • New Update SEISS Grant
  • HMRC will work out who is eligible from their records and contact you
  • This will likely be end April as they need to design the systems
  • The initial three-month grant will be paid directly to a nominated bank account in a single lump sum.
  • There will be a form to complete
  • Please be careful to check that any communication from HMRC is really from them and is not a scam
  • The grants are expected to be paid out at the beginning of June.

For Directors

  • Dividends and salary do not qualify as being self-employed and so will not qualify for the self-employment income support scheme. Self-employed people operate a trade through either a sole trader or partnership.

  • If you have both a self-employment business and also a director, you will only qualify for self-employment income support scheme if the self-employment profit declared on your 2019 tax return was more than 50% of the total income declared on the tax return and was below £50K on average over last 3 years. 

  • Benefits do not count towards your self-employment profits, (only trading profits declared on your self-assessment return)

Must have traded in 2019-20; be currently trading at the point of application (or would be except for COVID-19) and intend to continue to trade in the tax year 2020-21.
 

Universal Credit

If you are on low income or unemployed, you can now more easily make a claim for Universal Credit or Contributory Employment and Support Allowance

For a guide on how to claim click here.

Read more...

 

Contributory Employment and Support Allowance will be payable, at a rate of £73.10 a week if you are over 25, for eligible people affected by COVID-19 or self-isolating in line with advice from Day 1 of sickness, rather than Day 8

 
You may be able to claim New Style Jobseeker’s Allowance (JSA) with, or instead of, Universal Credit, depending on your National Insurance record. Click here for more information

What other support is available?

 
The second tax payment on account for self-assessment, due on 31 July 2020, for 2019-20, is being deferred for all taxpayers, not just the self employed The second tax payment on account for self-assessment, due on 31 July 2020, for 2019-20, is being deferred for all taxpayers, not just the self employed