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Last day to apply for up to £7,500 self-employed grant

Paloma Kubiak
Written By:
Paloma Kubiak

Today is your last chance to apply for the third tranche of the Self-Employment Income Support Scheme (SEISS) worth up to £7,500.

The self-employed and partnerships have been able to claim the third instalment of the government grant where they have had a new or continuing impact from coronavirus between 1 November 2020 and 29 January 2021.

Applicants must “reasonably believe” this will have a “significant reduction in profits”, HMRC said.

Today is the last day to apply for the third grant which is taxable, and worth 80% of average monthly trading profits.

It’s paid in a single instalment covering three months of profits, up a £7,500 maximum.

You can make a claim for the third SEISS grant even if you didn’t claim the first or second instalment.

Are you eligible for the Self-Employment Income Support Scheme?

If you trade through a limited company or a trust, you won’t be eligible, but if you claim Maternity Allowance, it won’t affect your eligibility for the grant.

You can apply for a grant if your business has been adversely affected by coronavirus and you filed a self-assessment tax return for 2018/19 before 23 April 2020.

You also must have traded in both these tax years: 2018/19 and 2019/20 and declare that you intend to continue to trade.

You must earn at least half of your income through self-employment and have trading profits of no more than £50,000 a year.

If you’re not eligible based on your 2018/2019 tax return, HMRC will look at the tax years 2016 to 2017, 2017 to 2018, and 2018 to 2019.

There will be a fourth grant covering February 2021 to April 2021. HMRC will set out further details, including the level of the fourth grant in due course.