H.M. Revenue & Customs are looking to clawback some self employed grants advanced to taxpayers who have not filed their 2019-20 self-assessment return on time. If you still have not filed your 2019-20 tax return then we suggest that you get this done immediately or you are likely to lose your Self Employed Income Support Scheme (SEISS) grant.
HMRC are also sending out letters to taxpayers who have claimed the first, second and/or third Self Employment Income Support Scheme grants but have not yet filed their 2019/20 SA Return.
Hopefully readers of this blog do not fit this criteria, but if you do we recommend that you contact your accountant immediately or ourselves as we are happy to help.
The letter from H.M. Revenue & Customs explains that it only refers to the first, second and third grant claim and stipulates that to be eligible for the grant, filing a 2019-20 is an essential requirement. It reminds taxpayers that to be eligible for a grant they must have traded in the 2018-19 tax year and filed that return by 23 April 2020. Tax payers must also have traded in 2019-20 and intended to trade in 2020-21.
If the taxpayer did not trade in 2019-20 then they will be required to pay back any grant received.
Finally, if the taxpayer does not file their 2019-20 tax return within 30 days of receiving such a letter, then they will have to repay the grants which they have received.
H.M Revenue & Customs are not sending a copy of the letter to accountants so it is important that as the taxpayer you act immediately, if you receive such a letter or risk losing your grant funding.
As a self employed taxpayer, if you receive correspondence from H.M. Revenue & Customs stating that your 2019-20 tax return is outstanding you need to act immediately. Contact you accountant and get your return filed or risk losing SEISS grants that you have received.
We are here to help, so if you find yourself in this situation, do not delay, and contact us so that we can get your return filed and secure your SEISS grant.