How to work out your turnover so you can claim the 5th SEISS grant

HMRC have now issued the guidance as to how work out the turnover test to see which %  you can potentially claim on the 5th SEISS grant.

The basic test is to compare your turnover in the year to 5 April 2021 to 5 April 2020. This figure will be the amount shown on your tax returns, if you haven’t completed your 2021 tax return you will have to calculate the figure and enter it when making the claim, when your tax return is submitted HMRC will check that you have claimed the correct amount

There are many examples covering a whole variety of situations which you can find here on HMRC website

What not to include

Anything reported as any other income on your tax return. You should also not include any coronavirus (COVID-19) support payments, for example:

  • previous SEISS grants
  • Eat Out to Help Out payments
  • local authority or devolved administration grants
  • were on carers leave, long term sick leave or had a new child
  • carried out reservist duties
  • lost a large contract
  • are eligible for the fifth grant but did not submit a 2019 to 2020 return

How your turnover affects your grant amount

When you make your claim, the online service will ask you for your turnover figures and compare them for you. The claims service will then tell you if you can claim the higher or lower grant amount.

If your turnover is down by 30% or more

Your grant will be:

  • worked out at 80% of 3 months’ average trading profits
  • capped at £7,500

If your turnover is down by less than 30%

Your grant will be:

  • worked out at 30% of 3 months’ average trading profits
  • capped at £2,850
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