Self Employed Income Support (SEISS) 4th & 5th Grants
- The 4th grant covers 1st February to 30th April at 80% of the 3-month average profits and can be claimed from late April. Deadline to claim is 1st June.
- The 5th and final grant covers 1st May to 30th September 2021 at a reduced rate depending on the reduction in profits of the business and can be claimed from late September. Deadline to claim is 1st November.
- HMRC will contact you in mid-April and in mid-September respectively to give you a date that you can make your claims from via email, letter or within the online service. You’ll not be able to claim before these dates.
How are these different from previous grants?
- Previously only those eligible for the original 3 grants could keep applying but now eligibility has been expanded.
- New checks are being imposed if you haven’t already claimed.
- The previous grants were based on historical information while these last two are based on your current situation.
Am I eligible for these?
You’re eligible for the 4th and 5th grants if the following is true in addition to the existing SEISS conditions:
- You carried on a trade, in both the tax years 2019/20, and 2020/21.
- You filed a 2019/20 Self Assessment tax return by 2 March 2021.
- You can provide evidence of trade, such as:
– Evidence of business transactions
– Contractual agreements to provide goods or services
– Evidence of payments through a business bank account
– Any other examples. HMRC says they will be happy to review them in addition to or instead of these items.
– The business must have been impacted by reduced activity and demand within the period 1st Feb 2021-30th April 2021.
What do you mean by “impacted by reduced activity, capacity and demand”?
This applies to your business if it has been impacted by reduced activity, capacity or demand due to coronavirus. For example, you:
- have fewer customers or clients than you’d normally expect, resulting in reduced activity due to social distancing or government restrictions
- have one or more contracts that have been cancelled and not replaced
- carried out less work due to supply chain disruptions
You must not claim if the only impact on your business is increased costs – for example, if you’ve had to purchase face masks and cleaning supplies. This would not be considered as reduced activity, capacity or demand.
Grant income will require separate disclosure on your next tax return which we expect will be a way for HMRC to check you were indeed eligible for the grant and if not, any amounts overpaid will need to be paid back to HMRC by 31st Jan 2022 to avoid any penalties.
How can I claim?
If you haven’t claimed before or are claiming again after skipping a previous grant because your situation changed, the steps will be as follows:
If you’re eligible based on your tax returns, HMRC will contact you by letter, email or SMS text message to advise eligibility criteria.
HMRC will subsequently phone you to discuss your eligibility.
If you are confirmed as eligible, HMRC will contact you a second time by letter, email or text advising when the latest grant is open for applications.
When you have your date, you can submit your claim online.
You must make the claim yourself, MATCH cannot do this on your behalf.
You will receive the grant money around six days after putting in the claim.
How will HMRC phone me?
HMRC will use the number it has on record for you.
You can log in to your Self Assessment, personal tax account, or Government Gateway account to ensure this number is up to date.
If MATCH has access to your Government Gateway account(s), please ask if you wish us to check this for you and tell us your preferred number.
Alternatively, phone 0800 024 1222 to let HMRC know which number to use.
If MATCH handles your Self Assessment, HMRC may contact us to request your number to speak to you directly.
We are unable to act on your behalf to determine eligibility.
HMRC will try to call you three times. If you don’t answer, they will write to you again to ask if you want to proceed with the SEISS eligibility checks.
Claimants will have until 1st June to provide the details required.
Potential fraudulent HMRC calls
HMRC has confirmed the call will appear to be from a withheld number.
Even if the number identifies itself as being from HMRC in some way, the call cannot be trusted because this is easily faked by scammers.
The caller may attempt to authenticate themselves by reciting personal details about you that you might feel a stranger simply wouldn’t know. However, hacks of major institutions mean significant personal details about many UK citizens are available online. This includes names, addresses, dates of birth, bank account details, security questions such as your mother’s maiden name, and even National Insurance numbers.
Although MATCH has more experience dealing with HMRC and may be better equipped to spot scam calls, it’s not possible to ask HMRC to speak to us on your behalf. HMRC wants to speak to you directly.
HMRC will ask for proof of identity and evidence of trade in the form of bank statements.
If you receive a call, take the operative’s name and office location, then terminate the call.
Look on the gov.uk website or in official documentation for a contact number you can use to call them back. Do not call any numbers not listed on the official gov.uk website.
Here you can check a list of genuine HMRC contacts.
Call them back using a different phone, preferably a mobile.
If a landline is used, scammers have been known to keep the line open when you hang up. They then fake the dialling tone and call process, before resuming the scam. This is not possible with mobile phone calls.
As soon as we know more information about proving the authenticity of HMRC’s SEISS confirmation calls we’ll provide an update.
MATCH is working hard to keep on top of all the latest news and government support so, as always, feel free to get in touch if you have any queries and we’ll be happy to help.
MATCH Accounting Limited