SEISS rules updated – HMRC confirms how self-employed tax returns may impact grant claims

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HMRC has updated its guidance on tax returns for the self-employed and SEISS eligibility. This specifically concerns whether a tax return needs to be amended.

HMRC confirmed: “You must tell us if there is an amendment to any of your tax returns on or after March 3 2021 which either:

  • lowers the amount of fourth grant you’re eligible for
  • causes you to no longer be eligible for the fourth grant

“If your return has been amended before claiming your grant, you must tell us within 90 days of receiving your grant.

“If your return has been amended after receiving your grant, you must tell us within 90 days of making the amendment.

“If you do not tell us, we’ll write to you to recover the grant and you may also have to pay a penalty.”

HMRC went on to detail it does not need to be informed if the claimants grant amount has lowered by £100 or less.

It should be noted voluntary repayments can be made directly to HMRC at any time.

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In order to do this, people will need their:

  • Government Gateway user ID and password that they used when they made their claim
  • Grant claim reference – which will be found in the online service or on a copy of the grant claim
  • Self Assessment Unique Taxpayer Reference (UTR) number

For those who need to need to inform HMRC of any tax return amendments made after March 3, a specific online form will need to be completed.

This form can be found on the Government’s website through its Government Gateway.

Once this has been done, HMRC will send the claimant a letter confirming if their grant has been affected.

Additionally, this letter will confirm how much needs to be paid back and how this can be done.

Claims for SEISS grants must be made by claimants themselves and not delegated to a tax agent or advisor.

If this is done, it could trigger a fraud alert which will delay payments.

HMRC notes they check all claims and will take appropriate action to withhold or recover payments for claims found to be dishonest or inaccurate.

So long as a claimant is eligible, the money should arrive in their account within six working days.

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