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Welchyboy1

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Hi all

Is there anybody who qualifies for the second self employed grant and claiming it?

The first one for me was a no brainier, i was quarantined for two weeks before lockdown, then staight after we was locked down my work was basically nothing so i claimed this first grant

The second one apparently becomes available in august if your business is still 'adversely effected' from mid july

I am working fairly reguarly now, mostly half days but as most of my work is domestic nowadays people still dont really want you in their house unless urgent

As i see it

  • Im probably only back up to 60-70% usual busy on a good week, less mostly
  • I have a few big extension jobs now that are effectively frozen and i cannot finish due to builders being unable to get plaster
  • I am having to now buy gloves/ sanitizer and masks as ppe to work inside houses when possible urgent

I would say if this carries on in july/august then i should be ok to claim the second grant, but i dont want to get fined by HMRC later on because im working and sometimes busy at the moment

It does say im allowed to work though but to what extent, i cant really find any clarity on this

And do i need evidence to show how im effected if i get any enquiry

In this case would you feel happy about claiming the grant, i think i should be

What are you guys doing?
 
It only asks if you’ve been adversely affected, you certainly sound like you have mate, claim it and then declare it on ya 20/21 returns....you’ll pay relevant tax and ni and all’s good ?
 
Remember, you only “earn” your profits.

If you are doing 70% of normal amount of work
It could easily be that your profit or take home pay is only 20 to 30% of normal.
 
If you lose a pound you’re adversely affected, it’s a bit vague but that’s the government isn’t it.....not saying I’d claim for being a pound down...have you claimed the bounce back as well @Welchyboy1?
 
The thing is you are either adversely affected so eligible to claim the grant or you are not. @Welchyboy1 as you are not doing full days and are only doing 60-70% you would be clearly right in claiming the 2nd grant.
The thing is uf you are eligible and apply you get the entire grant, it's not a sliding scale where you ask for the portion you require, its either none of it or all of it.
 
Having claimed the first grant I do not intend to claim the second grant. I was off for six weeks which did make a dent in my overdraft, as a direct result of the lockdown. I will not be claiming a second, as I am back at work more or less the same average amount as before. I worry about the effect/debt on the nation and the taxpayer bearing the burden (us) and feel it would be disingenuous for me to claim that second grant.
 
Martin Lewis, the money guy on tv said if you were eligible for the first grant, you would eligible for the second automatically.

I’m eligible for neither
 
I worked through to ensure I had cash flow albeit reduced until the first grant helped, the firms I work at are now returning but their own finances and production future is still a wait and see exercise thus work I had already confirmed has mostly been put on hold, I therefore will be applying for the 2nd one as I will be hit and I have no issue supplying the relevant financial info to demonstrate it if called on to.

The bounce back loan may be an option too for you if you are struggling, the government will pay the first year interest and then you pay it back at 2.5% I think which is a very good rate over a 5 yr period... not all banks are inclusive of this scheme but it is now hard for the banks to decline unless you were in serious financial difficulty before the outbreak.
 
If one were to claim the second grant and then subsequently be asked for proof of business being affected, how would one prove it ?
Would year on year income comparisons be sufficient ?
 
If one were to claim the second grant and then subsequently be asked for proof of business being affected, how would one prove it ?
Would year on year income comparisons be sufficient ?
I’d imagine that’s the only way any self employed person could prove it, but it would only be earnings/profit for the period claimed for?
 
They work out your grant value by looking at your past 3yrs net profit divided by 12 or 52 then the grant is 3-months worth of net (up to a max £7500), if you are claiming then your net profit should have been adversely effected due to direct or indirect effects of corona lockdown, now one could argue that adversely could signal silly suggestions like you were £50 down over that 3 months period but one should take it in the context it is applied, the HMRC will not consider anything like that as a trigger to be eligible for the grant so if you apply for one or both and that simply accumulates on top of your yearly net profit which remains the same then you will have some questions to answer and they will claw back the grants as stipulated when you apply and sign for the grants.

In short, if your net profit substantially increases in correlation to grant money then you will have to demonstrate that at the time of lockdown you were affected adversely and hopefully you can show that the growth of business was done outside these lockdown measures hence you made legitimate claims.
 
I think most self employed could show quite easily that fewer and less amounts of money went through they bank account during the Covid period, and assuming the economy bounces back any uplift after that should be expected,
 

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