Tom Evennett, EY Partner, Private Client Services, comments on the extension of the Self Employed Income Support Scheme (SEISS):
“For those who have previously benefited from the SEISS, the extension to provide a fourth and fifth grant in 2021 will be welcome news as the impact of the COVID-19 pandemic continues to bite into their businesses.
“It will be especially welcomed - albeit some might argue slightly late in the day – by those who previously missed out on the SEISS as they had not met the necessary tax filing history requirements. As we have just been though another tax filing season (ending 31 January 2021, for the year ended 5 April 2020), the Chancellor has confirmed that self-employed individuals who established their businesses just prior to the first lockdown can now benefit from the fourth and fifth grants this year as long as their tax returns had been filed. Where they have, these individuals can now qualify for government support and access their slice of the £12.7bn on offer for the grants.
“Individuals who didn’t file their tax returns by the 31 January deadline due to COVID-19 and have not yet rectified this, may feel that missing out on this relief is a much greater penalty than the £100 one that the Chancellor waived after much lobbying.”