The SEISS has been extended in the form of two further grants – the third and fourth under the scheme – each available for three-month periods covering November 2020 to January 2021 and February 2021 to April 2021. Grants will be paid in two lump sum instalments each covering a three-month period.
To be eligible for the grant extension self-employed individuals, including members of partnerships, must:
- have been previously eligible for the SEISS first and second grant (although they do not have to have claimed the previous grants)
- declare that they intend to continue to trade and either:
- are currently actively trading but are impacted by reduced demand due to coronavirus
- were previously trading, but are temporarily unable to do so due to coronavirus
The third grant will cover a three-month period from 1 November 2020 until 31 January 2021, which will be calculated at 80% of three-month’s average monthly trading profits, paid out in a single instalment and capped at £7,500 in total. This is an increase from the previously announced amount of 55%.
The fourth grant will cover February 2021 to April 2021. The Government will set out further details, including the level, of the fourth grant in due course.
As with the first and second grants under the scheme, the grants are taxable income and are subject to National Insurance contributions.
The online service for the next grant will be available from 30 November 2020. HMRC will provide full details about claiming and applications in guidance on GOV.UK, in due course.