HMRC enquires into Self Employed Income Support Scheme claims

HMRC is writing to Self-employment Income Support Scheme (SEISS) grant claimants that may have ceased trading and no longer qualify.

The tax department is keen to talk to taxpayers who claimed SEISS grants but have ceased trading.

Claimants are being requested to complete a form either to confirm that they have ceased trading and need to repay the grant, or to confirm that they have not cease trading or has restarted.

Extra time is being given to recipients to complete the form.

The deadline to avoid a possible penalty is 20 November 2020, rather than the statutory notification date where the grant was received before 22 July 2020.

Where a grant was received on or after 22 July 2020, the deadline is within 90 days of receiving the grant.

In cases where the taxpayer accepts that they need to repay the grant, HMRC will follow up with an assessment.

Where the taxpayer says they have continued trading, HMRC may ask for further evidence. 

Should you receive a message from HMRC, please contact your usual Bishop Fleming advisor in the first instance.

For further help, please check out our Business after COVID-19: Transition Knowledge Hub.