For sole traders and partnerships, the government has introduced the Self-Employment Income Support Scheme Grant Extension.

‍

The Self-Employment Income Support Scheme Grant Extension provides support to the self-employed in the form of two grants, each available for three month periods covering November 2020 to January 2021 and February 2021 to April 2021.

‍

1. Who can claim

‍

To be eligible for the Grant Extension self-employed individuals, including members of partnerships, must:

·       have been previously eligible for the Self-Employment Income Support Scheme first and second grant (although they do not have to have claimed the previous grants)

·       declare that they intend to continue to trade and either:

·       are currently actively trading but are impacted by reduced demand due to coronavirus

·       were previously trading but are temporarily unable to do so due to coronavirus

2. What the Grant Extension covers

‍

The extension will last for six months, from November 2020 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.

The first grant will cover a three-month period from 1 November 2020 until 31 January 2021.The Government will provide a taxable grant covering 40% of average monthly trading profits, paid out in a single instalment covering 3 months’ worth of profits, and capped at £3,750 in total.

The second grant will cover a three-month period from 1 February 2021 until 30 April 2021.The Government will review the level of the second grant and set this in due course.

The grants are considered taxable income and also subject to National Insurance contributions.

‍

3. How to claim

‍

The online service for the next grant will be available from 14 December 2020. You will be able to claim for this through your HMRC online self assessment log in, or by phone.

‍