Welcome to the second newsletter from the Worcester City Council Economic Development Team. We are contacting you to let you know about business support available to you during the Coronavirus pandemic. We intend to keep you updated regularly throughout the crisis and beyond.
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Yesterday the Chancellor announced a major package of support for the self-employed. Here’s a summary:
What is the support available?
HMG will pay the self-employed a taxable grant worth 80% of their average monthly profits over the last three years – up to a maximum of £2500 per month
This will be available for three months and will be extended if necessary
People can claim these grants and continue to do business
Who can apply?
You can apply if you’re a self-employed individual or a member of a partnership and:
You have submitted your Income Tax Self Assessment tax return for the tax year 2018-19
You traded in the tax year 2019-20
You are trading when you apply, or would be except for COVID-19
You intend to continue to trade in the tax year 2020-21
You have lost trading/partnership trading profits due to COVID-19
Your trading profits are less than £50,000
More than half your income comes from self employment
If you started trading between 2016-19, HMRC will only use those years for which you filed a self-assessment tax return.
If you have not submitted your Income Tax Self-Assessment tax return for the tax year 2018-19, then this must be done by 23 April 2020.
How To Apply
You cannot apply for this scheme yet. HMRC will contact you if you are eligible for the scheme and invite you to apply online.
Once HMRC has received your claim and you are eligible for the grant, they will contact you to tell you how much you will get and the payment details. The aim is to pay at the beginning of June (3 months backdated). They are hoping to be quicker than this but are having to design two new systems.
HMRC have asked individuals not to contact them at this point in time to avoid further delays in implementing the new system.
The scheme can only be accessed through GOV.UK.
Who does the scheme not apply to?
Directors of your own company and paid through PAYE. You may be able to get support using the Job Retention Scheme.
Anyone with a trading profit over £50,000
Anyone who is recently self employed and does not have a full year of accounts. The eligible tax years are 2016-17, 2017-18 and 2018-19
Formerly the Networks Services Manager for the University of Cambridge (where I worked for 18 years) I am an student of Archaeology & Heritage, a commercial archaeologist but mainly Community Project Officer for Worcestershire Archive and Archaeology services.
Involved in two YAC's and outreach for Offa's Dyke Association
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