SEISS Second & Final Grant
Applications for the second grant will open from 17 August 2020 and close on 19 October 2020.
The grant will be capped at £6,570 and eligibility based on the same compliance and taxable profit criteria as for the first grant.
A comprehensive summary of the eligibility criteria, how to apply and much more is provided by the Institute of Chartered Accountants in England and Wales on their website – see link below:
How do I apply ?
When the Application opens on 17 August you will have to apply using the HMRC portal link, as provided below.
Once again you will need:
- Self-assessment unique taxpayer reference (UTR)
- National Insurance Number
- Government Gateway User ID and Password
- Your bank account details including account number, sort code, name of account holder and address linked to the account
You must make the claim yourself – your tax agent or accountant cannot make the claim on your behalf as this will trigger a fraud alert.
Please note that, just as with the first grant, this second grant will also be liable to Income Tax and National Insurance via your 2021 Self-Assessment Tax Return.
For construction industry sub-contractors, who are used to receiving their income with CIS deductions already made, this will provide a cashflow boost as no tax will be deducted at source. This means that you are likely to have an Income Tax and National Insurance liability of at least 29% of both grants payable to HMRC on 31 January 2022.
Therefore, we believe it would be wise for Guild Resources sub-contractors to put aside one third of the total grants received towards the settlement of a potential self-assessment liability on 31 January 2022. However, as always, we suggest you consult your accountant or financial adviser to discuss your particular situation.
You can begin your 2nd Grant application here – https://www.gov.uk/guidance/claim-a-grant-through-the-self-employment-income-support-scheme