2. Help for the self-employed
Government has announced a new self-employed income support scheme. Self-employed people who have been adversely affected will be able to access taxable grants of 80% of average annual profits over the last 3 years, up to £2,500 per month. It will be open for a period of at least 3 months, backdated to 1 March 2020. The scheme is targeted to those who have a trading profit of up to £50,000 per year and that make the majority of their income from self-employment. It is for people who are already self-employed and who have a tax return for 2018/19. If anyone missed filing their tax return at the end of January 2020, they will have until 23 April to submit a tax return.
The scheme will be administered by HMRC and it is expected that businesses will be able to receive the grant in early June. HMRC will contact you directly. Self-employed people can also access business interruption loans and universal credit.
Income tax deferral
If you are self-employed, Income Tax payments due in July 2020 under the Self-Assessment system will be deferred to 31 January 2021.