In order to be eligible to claim from the Self-Employment Income Support Scheme (SEISS) your business must have been adversely affected by coronavirus. However many clients are asking what qualifies as ‘adversely affected’?
HMRC has provided some guidance on the meaning. This includes being unable to work because you are shielding, self-isolating or are on sick leave or have care responsibilities because of coronavirus. It also includes scaling down or temporarily stopping trading because the supply chain has been interrupted, the business has fewer or no customers or staff are unable to work.
The lack of any specific, measurable reductions in income is intentional. You should keep evidence of the impact on your trade, but there is no link between the amount of the grant and the financial loss.
The scheme specifically allows a claim where the trade has continued, so long as the trade is ‘adversely affected’. During the application process, you will be asked to confirm that you meet the eligibility criteria, but we strongly recommend that you keep evidence of how your business has been ‘adversely affected’.
Please note: This article is a commentary on general principles and should not be interpreted as advice for your specific situation.