Coronavirus - if you're self-employed
If your business has been affected by coronavirus you might be able to get money from the government, for example if you've:
- lost out on income
- had to stop working to look after someone
You could get 80% of your average profits up to a maximum of £2,500 per month from the government. This is called the Self-employment Income Support Scheme.
If you're eligible, you can get money to cover lost income for 3 months. You have until 13 July 2020 to apply.
If your business is still affected by coronavirus in August, you’ll be able to apply to the scheme again. You’ll be able to apply even if you didn’t apply for a first payment.
You won’t have to pay the money back, but you’ll have to pay tax on it.
Check if you can use the Self-employment Income Support Scheme
You can use the scheme if you’re self-employed or a member of a partnership.
Your self-employed profits must not be more than £50,000 per year and they must make up at least half of your total income. The government will look at your tax returns to see if you’re eligible - if you’re not sure you can check the rules on GOV.UK.
You’ll also have to:
- have been affected by coronavirus - you won’t need to give evidence of this when you apply
- have done self-employed work in the tax year 2019-20
- be planning to do self-employed work in the tax year 2020-21
You’ll probably also need to have done self-employed work in the tax year 2018-19 and submitted your tax return. If you didn’t do self-employed work in 2018-19 you should check the scheme rules on GOV.UK.
If you don’t think you’re eligible
You can check what benefits you can get.
Check how much you’ll get
HMRC will calculate how much you should get based on your self-employed profits. You’ll get 1 payment to cover lost income for 3 months. If you apply to the scheme again in August you’ll get a second payment.
You can find out more about the scheme rules on GOV.UK
Applying for the Self-employment Income Support Scheme
You can apply for the scheme on GOV.UK.
If you can’t apply online, you can check how to contact HMRC for help on GOV.UK.
If HMRC accept your application, they say they’ll pay you within 6 working days.
If you need money while you’re waiting, you can check what benefits you can get.
You’re allowed to keep working and still get money from the scheme. You can also get another job as an employee somewhere else. But you should remember:
- you’re only eligible for the scheme if you plan to continue trading in this tax year - you might have to pay the money back if you apply and then stop trading
- the money you get from the scheme is taxable income, so you might end up paying more tax
If your company pays people through PAYE
If you need help while you’re waiting for money through the Coronavirus Job Retention Scheme, you might also be able to use the Business Interruption Loan Scheme on GOV.UK.
If you think you were paid the wrong amount
You can challenge the decision through your online personal tax account on GOV.UK.
Check if something is a scam
Make sure you only use trusted sources of information about coronavirus.
If you see emails about coronavirus from someone you don't know, don't click on any links or pay for anything.
Never move your money into a ‘safe account’ if someone asks you to - even if they say they’re from the police or your bank.
You can protect your business by: