What this means for you and how do you apply.
Who can claim?
This is for self employed people and partnerships only and the grant cannot be claimed through a limited company or a trust.
You must have traded in both 2019/2020 (with returns filed before 2nd March 2021) and 2020/2021 tax years. You must also be impacted by COVID-19 by having reduced profits, or by being unable to work due to the pandemic. There should be sufficient evidence to support this.
How is it worked out?
HMRC will check your submitted returns from 2019/2020, but your trading profits must be less than £50,000. If you're not eligible based on this, HRMC will look at the previous 4 years.
How much will you get?
This grant is awarded at 80% of 3 months average trading profits and is capped at £7,500.
Start with your average trading profit (£42,000).
Divide by 12 = £3,500.
Multiply by 3 = £10,500.
Work out 80% of £10,500 = £8,400. You’ll receive only £7,500 due to the cap.
How do I claim?
To make a claim, follow the attached link here.
You will need your:
National Insurance Number
Gateway log in
Bank details for where the grant is to be sent.
HMRC are saying that it'll take 10 days for the claim to be approved, but in reality it'll be less than this.