Self Employed Gov Grant

[Saleen836]

The portal for this is now up and running,currently you can only register to find out if you are eligible or not.
https://www.gov.uk/government/publications/self-em...

You will need your NI number and your UTR number

[Eric Mc]

They had said there would be no payments until June.

[Poseidon]

If you cannot be bothered to find your UTR for now, claims open at 8am on the 16th. Payments within 6 working days.

I feel slightly guilty claiming this since I’ve already had the rates grant and the BB loan but I guess you should take all the help you can get at the moment.

[Simpo Two]

On a side note, if you claim the support, then start trading again, presumably you have to 'sign off'?

[Eric Mc]

There is no requirement to stop trading.

[Chris Type R]

"You are not eligible to make a claim"

As expected.

[Eric Mc]

Do you know why you may have failed the test?

[Chris Type R]

Eric Mc said:

Do you know why you may have failed the test?

Yes Eric, profits too high. I've user tested the restrictions and found them to be functional

[Tlandcruiser]

Simpo Two said:

On a side note, if you claim the support, then start trading again, presumably you have to 'sign off'?

No it’s a taxable income, since the scheme was announced you were allowed to continue to work and still claim the grant.

[Eric Mc]

Chris Type R said:

Eric Mc said:

Do you know why you may have failed the test?

Yes Eric, profits too high. I've user tested the restrictions and found them to be functional

There are four main criteria which will cause the application to fail-

- did not have any self employed income in tax years 2016/17, 2017/18 or 2018/19.
These years are not mutually exclusive. As long as you had self employed income in 2018/19 you will be eligible (subject to the other tests). For instance you could have income in 2018/19 but not 2016/17 or 2017/18 and still be eligible. However, you would fail the test if you had self employed income in 2016/17 and 2017/18 but not 2018/19.

- your average self employed income over the test years exceeded £50,000

- you started self employment after 5 April 2019. So those who started self employment in tax year 2019/20 get nothing

- over 50% of your income for the test period was derived from other sources (employment, rents, dividends, interest etc).

[Saleen836]

It told me I am eligible to claim, I was expecting to be not as I had an accident in Nov 2016 which kept me off work until April 8 2019 so the only income profit in their qualifying period for me is Apr 16 -Nov 16, so if I do get a payment it wont be much.

[Eric Mc]

So you had no self employed income for the entirety of tax year 2018/19?

What did you live off in that tax year?

Are you self employed now?

[Saleen836]

Eric Mc said:

So you had no self employed income for the entirety of tax year 2018/19?

What did you live off in that tax year?

Are you self employed now?

Correct, 2018/19 zero income from self employment, only income I received was rental income,lived off savings and interim insurance payments,yes still self employed now but tax return for 19-20 not submitted yet

[Eric Mc]

Saleen836 said:

Correct, 2018/19 zero income from self employment, only income I received was rental income,lived off savings and interim insurance payments,yes still self employed now but tax return for 19-20 not submitted yet

The tax return for 19/20 is of no importance regarding this grant.

Was your rental income, averaged over the three years 2016/17, 2017/18 and 2018/19 more than 50% of your self employed income in that period?

[Saleen836]

Eric Mc said:

The tax return for 19/20 is of no importance regarding this grant.

Was your rental income, averaged over the three years 2016/17, 2017/18 and 2018/19 more than 50% of your self employed income in that period?

No, the average rental net profit for those years is less than 50% of self employment income profit for the 7 months submitted for 16/17

I

[Eric Mc]

I think you might have dodged a bullet there.

I presume you are back earning self employed income now?

[Saleen836]

Eric Mc said:

I think you might have dodged a bullet there.

I presume you are back earning self employed income now?

Correct

[Mudfing]

Arggh - Decided this was the year to 'go it alone' Finished all my business setup in December-February, thousands of pounds of machinery, safety equipment, months of training etc, monthly outgoings on liability insurance, premises insurance/electricity still ongoing, over £300 per month of business bills even with no work coming in.

Not eligible for the self employment grant as I have not been up and running long enough
Not eligible for the SBRR grant as they feel I was not in full time occupation by the start of lock down.
Not eligible for the bounce back loan as no proof of yearly turnover yet.

I understand that all these grants must have criteria attached but this is massively painful, especially as I know others in the same industry are planning what to spend their 10k grants and 50k loans on despite only minor drops in income.

[Tlandcruiser]

Mudfing said:

I understand that all these grants must have criteria attached but this is massively painful, especially as I know others in the same industry are planning what to spend their 10k grants and 50k loans on despite only minor drops in income.

It’s not free money , it’s a taxable income.

[Eric Mc]

It's free in that you don't have to pay it back and you won't be charged interest on it.

And of course it's taxable as it is to replace normal trading income lost due to the lockdown - which would have been taxable anyway.