Wayne at ESP, of Westgate Grantham, warns…
SEISS Grant claim at risk
This information has only just come to my notice. But, because of the fast approaching deadline, i.e. today, I thought I ought to make you aware of it. I accept that this may apply in only limited cases, but please check so that it isn’t you who misses out.
What is the problem?
- In October HMRC contacted just over 24,000 self-employed individuals direct by email, who had claimed either one or both of the SEISS grants rolled out to date. Agents would not have received it.
- The email asked them to confirm, through a completion of an online form, whether or not they had ceased trading.
- A large percentage of the ’24,000’ have not responded to the email. This could be fear of it being a ‘hacking’ email or it has gone into spam for example.
- Where a business has not responded to the email by the end of today (20th November 2020), they will not be eligible to make a SEISS claim when the portal opens for the third time on 30th November 2020
Why were the 24,000 selected?
- HMRC noted on the 2019/20 SA Return that the trade had ceased during the course of that tax year. If that is the case HMRC will ask for the grant to be paid back and penalties may arise.
- Third Party information that the trade had ceased. However, that Third Party information could be incorrect and the business is still holding itself out to trade.
- Businesses had deregistered for VAT. However, many of these businesses will have deregistered on the basis that their turnover had fallen due to the pandemic but they are continuing to hold themselves out to trade.
What are your options?
- Don’t do anything as the deadline is too tight to respond or I am certain that I replied to everything I should have from HMRC
- Just to play safe, as I don’t want to miss out and check my spam just in case.
I apologise for making you aware of this so late in the day but it has only just come to my notice.