HMRC changes coronavirus business helpline number to increase capacity

HMRC has set up a helpline for businesses and self employed who are concerned about paying their tax due to Covid-19.  The updated helpline number is 0800 024 1222 and is open 8am – 4pm Monday to Friday.

Support to the self employed

In the latest step to protect individuals and businesses, Rishi Sunak has set out plans that will see the self-employed receive up to £2,500 per month in grants for at least 3 months.

Millions of people across the UK could benefit from the new Self-Employed Income Support Scheme, with those eligible receiving a cash grant worth 80% of their average monthly trading profit over the last three years.

Self-employed people who are eligible for the new scheme will be able to apply directly to HMRC for the taxable grant, using a simple online form, with the cash being paid directly into people’s bank account. The scheme will be open to those with a trading profit of less than £50,000 in 2018-19 or an average trading profit of less than £50,000 from 2016-17, 2017-18 and 2018-19.

To qualify, more than half of their income in these periods must come from self-employment.

To minimise fraud, only those who are already in self-employment and meet the above conditions will be eligible to apply. HMRC will identify eligible taxpayers and contact them directly with guidance on how to apply.

The income support scheme will cover the three months to May and grants will be paid in a single lump sum instalment covering all 3 months at the beginning of June.

Those who pay themselves a salary and dividends through their own company are not covered by the scheme but will be covered for their salary by the Coronavirus Job Retention Scheme if they are operating PAYE schemes.

Notes

• further information and details of the scheme will be shared shortly by HMRC

• HMRC will use the average trading profits from tax returns in 2016-17, 2017-18 and 2018-19 to determine the size of the grant

• this scheme also applies to members of partnerships

• before grant payments are made, the self-employed will still be able to access other available government support for those affected by coronavirus including universal credit and business continuity loans where they have a business bank account.