Back in October, we discussed the second SEISS, and we would now like to announce that the third grant (SEISS.3) is now open as of the 30th November. This is designed to support those who rely on self-employed income and grants individuals a lump sum payment covering three months, starting from the 1st November 2020. The deadline for the third SEISS is 9th January 2021.

What Is The SEISS.3?

The SEISS.3 grant is calculated as 80% of your average trading profits, based on those reported from 2016-2017 to 2018-2019. This is capped at £2,500 a month and is classed as taxable income, which means that it will need to be reported on your tax return for 2020-2021.

When applying for the SEISS.3 grant, you will be asked to submit the following information:

  • Confirmation that your business is trading but has had to close temporarily due to COVID-19
  • Confirmation that you intend to continue trading when COVID-19 restrictions are lifted
  • A declaration that your business has been impacted by reduced demand between the 1st November 2020 and the 31st January 2021
  • A declaration that your trading profits will be significantly impacted for the accounting year 2020-2021

With the above in mind, to qualify for the SEISS.3, you must be able to show that your sales income has been reduced and therefore, you have experienced a drop in profits. There are many reasons as to why you have faced a reduction, such as lack of customers, issues with supplies or staff sickness.