Also as announced in the budget is that the SEISS scheme is being extended until September 2021. The guidance on the fourth grant has been published with the details. The grant will be set at 80% of 3 months’ average trading profits, paid out in a single instalment and capped at £7,500. It will take into account 2019 to 2020 tax returns and will be open to those who became self-employed in the 2019/20 tax year. The rest of the eligibility criteria remain unchanged. The online claims service for the fourth grant will be available from late April 2021 until 31 May 2021 and will be followed by a fifth and final grant.
The UK Government has also announced changes to the time and circumstances when a 100% tax charge may arise in relation to Self-Employment Income Support Scheme payments. It enables HMRC to recover grants where an individual was entitled to the grant at the time of claim but subsequently ceases to be entitled to all or part of the grant. It also extends the Treasury’s regulation making powers in relation to charges if a person is not entitled to a coronavirus support payment, to bring the Self-Employment Income Support Scheme within scope of the legislation.