Chancellor Rishi Sunak has called upon all self-employed taxpayers yet to submit their 2018/19 self-assessment tax return online to do so by 23rd April to ensure they do not miss out on eligibility for the new Self-Employed Income Support Scheme.
For those with only a year of self-employed income, HM Revenue and Customs (HMRC) will use data from your 2018/19 tax return at face value.
All overdue 2018/19 tax returns submitted between now and 23rd April will be risk assessed in the usual way. For those who missed the original 31st January 2020 electronic filing deadline for their 2018-19 tax return, they will have already incurred a £100 late-filing penalty and may have additional penalties to pay if tax hasn’t been paid by the due date. To avoid further penalties being imposed, contact us so we can help you get your tax return submitted.
The scheme forms the core of the UK Government’s unprecedented fiscal package for the UK’s self-employed community amid the COVID-19 lockdown.
The Self-Employed Income Support Scheme will provide self-employed individuals with a taxable grant worth 80% of average monthly profits, of up to £2,500 a month for an initial three month period, which will be paid in June.
The scheme will only be available to people with annual trading profits of up to £50,000, and where they derive most of their income from their self-employed activities The calculations will be based on an individual’s self-assessment tax returns for the last three tax years to obtain a fair and reasonable average. HMRC has produced guidance on how they will work out total income and trading profits for the scheme here
If you need to make changes to any tax returns that you have previously filed, it is important to note that if the amendments are made after 26th March 2020 the changes will not be taken into account when working out eligibility for the grant.
The scheme may also be used by members of a trading partnership.
Let us help you file your overdue 2018/19 tax returns
With less than four weeks to go, we can work with you to calculate your income for the year, complete your return and calculate your tax liability, before filing your tax return online on your behalf.
For a fixed competitive price, we can ease your stress at this unprecedented time and give you the best possible chance of securing Government aid via the Self-Employement Income Support Scheme.