paying business overheads buring the covid shut down

Financial, legal, advertising, pricing, marketing, accountancy, bookkeeping, employment, taxation, etc.
Post Reply
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

paying business overheads buring the covid shut down

Post by Not your average framer »

None of us know how long the covid virus shut down is going to last, but some of us (and that includes me) are paying rent for our shop premises and still have the obligation for the duration of the lease. Without knowing how long the shut down period is going to last, there is no way of knowing, how much money you are going to be spending just to keep things going until you can start trading and hopefully earning money again.

Does anyone have any kind of strategy for coping with such a situation? At present, I am having to pay these expences out of my own personal finance, with no likely way of getting my own money back.

Any thoughts will be much appreciated,
Mark
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
NessFramers
Posts: 17
Joined: Sun 08 May, 2016 9:43 pm
Location: Inverness
Organisation: NessFramers
Interests: Football, walking, sermons

Re: paying business overheads buring the covid shut down

Post by NessFramers »

Taken from Gov website..hope this helps...

Claim a grant through the coronavirus (COVID-19) Self-employment Income Support Scheme

www.gov.uk

The online service you’ll use to claim is not available yet. HMRC will aim to contact you by mid May 2020, and will make payments by early June 2020.

This scheme will allow you to claim a taxable grant worth 80% of your trading profits up to a maximum of £2,500 a month. It will be available for 3 months, but may be extended.

The grant will be subject to Income Tax and National Insurance contributions but does not need to be repaid.

You can make a claim for Universal Credit while you wait for the grant. You should record the grant as part of your self-employment income, and it may affect the amount of Universal Credit you get. This will not affect Universal Credit claims for earlier periods.

If you receive the grant you can continue to work or take on other employment including voluntary work.

If you have other employment as a director or employee paid through PAYE your employer may be able to get support using the Job Retention Scheme.

Who can claim

You can claim if you’re a self-employed individual or a member of a partnership and you:

have submitted your Self Assessment tax return for the tax year 2018 to 2019traded in the tax year 2019 to 2020are trading when you apply, or would be except for coronavirusintend to continue to trade in the tax year 2020 to 2021have lost trading profits due to coronavirus

You will need to confirm to HMRC that your business has been adversely affected by coronavirus. HMRC will as usual use a risk based approach to compliance.

Your trading profits must also be no more than £50,000 and more than half of your total income for either:

the tax year 2018 to 2019the average of the tax years 2016 to 2017, 2017 to 2018, and 2018 to 2019

If you have not submitted Self Assessment tax returns for all 3 years find out how we will work out your eligibility.

If you have not submitted your Self Assessment tax return for the tax year 2018 to 2019, you must do this by 23 April 2020 or you will not be able to claim. HMRC will review any late returns in the usual way.

HMRC will use data on the 2018 to 2019 tax returns already submitted to identify those eligible.

We will not take into account any changes made to submitted returns after 26 March 2020, when working out your eligibility or amount of the grant.

Find out how HMRC works out your total income and trading profits for the Self-employment Income Support Scheme.

If you have loans covered by the loan charge

If you’re self-employed and have received payment for work or services in the form of a loan or other form of credit covered by the loan charge, you may be able to claim the grant, however your eligibility and average trading profits will be based on either:

the average of the tax years 2016 to 2017 and 2017 to 2018the tax year 2017 to 2018 if you were not self-employed in the tax year 2016 to 2017

You also do not have to file your 2018 to 2019 Self Assessment tax return by 23 April 2020. You should file by the 30 September 2020.

If you’re a farmer claiming farmers’ averaging relief

If you’re a self-employed farmer claiming farmers’ averaging relief HMRC will use the amount of profit before the impact of the averaging claims to work out:

if you can claim the granthow much grant you will receiveHow much you’ll get

You’ll get a taxable grant based on your average trading profit over the 3 tax years:

2016 to 20172017 to 20182018 to 2019

To work out the average trading profit we will add together your total trading profits or losses for the 3 tax years then divide by 3.

If you have not submitted Self Assessment tax returns for all 3 years

We will work out your average trading profit based on continuous periods of self-employment, which will be either:

the tax years 2017 to 2018 and 2018 to 2019the tax year 2018 to 2019 only, even if you were self-employed in the tax year 2016 to 2017

The grant will be 80% of your average trading profit, divided by 12 which will give a monthly amount. We will pay this or up to a maximum of £2,500 a month, whichever is lower.

We’ll pay the grant directly into your bank account, in one instalment.

How to claim

You cannot make a claim yet.

HMRC will aim to contact you by mid May 2020 if you’re eligible for the scheme, and invite you to claim using the GOV.UK online service.

If you’re unable to claim online an alternative way to claim will be available. We will update this page with more information soon.

This page will also be updated with the steps you can take to make it easier to claim using the GOV.UK online service.

You do not need to contact HMRC, as this will only delay the urgent work being undertaken to introduce the scheme.

You will only be able to claim using the GOV.UK online service. If you receive texts, calls or emails claiming to be from HMRC, offering financial help or a tax refund and asking you to click on a link or to give personal information, it is a scam.

After you’ve claimed

Once HMRC has received your claim and your grant is approved, we will contact you to tell you how much you’ll get and the payment details.

Other help you can get

The government is also providing the following help for the self-employed:

deferral of Self Assessment Income Tax and VAT paymentsgrants for businesses that pay little or no business ratesBusiness Interruption Loan Scheme
BeatnikFraming
Posts: 82
Joined: Sun 12 Aug, 2012 5:19 pm
Location: Liverpool
Organisation: Beatnik Framing
Interests: Photography, music, art, crafts
Location: Liverpool
Contact:

Re: paying business overheads buring the covid shut down

Post by BeatnikFraming »

If you have a shop do you not qualify for the grant based on the rateable value of your premises? It's £10,000 of your premises is rated at less than £15,000 and £25,000 grant if your premises is retail a be rated above £15,000 I think
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

I am not completely sure that I am intitled to any of these payments, because I am not short of money and I'm already in receipt of the state pension. I have spoken to my local authority about applting for the £10,000 grant and they need me to apply via an on line form and while I am doing this, I need to scan a bank statement and send to them, but I've got to find a way of doing this with an old computer and an even older scanner which was never designed to work with my current operating system. I'm still trying to find out of to do this.
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Tudor Rose
Posts: 1117
Joined: Wed 10 Mar, 2010 4:07 pm
Location: Dawlish, South Devon
Organisation: The Framing Lot
Interests: Tudor history, swimming, walking and needlework.
Contact:

Re: paying business overheads buring the covid shut down

Post by Tudor Rose »

Mark, you can take a digital photo of your bank statement and attach that as a document to your application. Just like you would upload a photo to this forum. If you can't do that yourself, I'm sure you must know someone with a smart phone who could email the attachment to you. Then save that on your computer and attach it from there. If you don't have any other option, I'm happy to drive over and do this for you.

The whole application took us less than 5 minutes to fill out (as you know, we are in the same council district as you) and the money was paid directly into our business bank account (that's why they need the details) within a week.

That £10,000 grant should more than cover your business expenses during the lock-down and you are entitled to it, so please do make sure you apply for it.

On the Income Support for Self Employed - if the money you earn from your business is more than half of your total income for each of the qualifying years then you will be eligible for this additional grant. So HMRC will be contacting eligible people on that in mid May. Might be worth talking to your accountant about it too.
Jo Palmer GCF(APF) Adv
Textile, Mount Design & Function & Conservation


Forum Moderator & Framing Educator
www.pictureframingtraining.com
Guild Certified Examiner & Guild Accredited Trainer
Guild Master from May 2019 to May 2022
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

Thanks Tudor Rose,

We moved premises and I still trying to find the computer interface cable for the camera. At the moment the old beat up scanner sounds a better option, it I can get it to work.

All the best,
Mark
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
BeatnikFraming
Posts: 82
Joined: Sun 12 Aug, 2012 5:19 pm
Location: Liverpool
Organisation: Beatnik Framing
Interests: Photography, music, art, crafts
Location: Liverpool
Contact:

Re: paying business overheads buring the covid shut down

Post by BeatnikFraming »

Do you have a smartphone Mark? If you do you could do the online application on your phone and take a picture using your phone too. I did my application just using my phone.
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

No I've never felt the need for one, but thanks for the suggestion.
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Tudor Rose
Posts: 1117
Joined: Wed 10 Mar, 2010 4:07 pm
Location: Dawlish, South Devon
Organisation: The Framing Lot
Interests: Tudor history, swimming, walking and needlework.
Contact:

Re: paying business overheads buring the covid shut down

Post by Tudor Rose »

You may not have felt the need before, and I totally respect that - but given the small cost of a basic smartphone with camera versus the benefit of a £10k grant from the Government to cover all your current bills, I'd be ordering a smart phone online asap. You don't need to have a contract with it, just use it to take the photo and use your wifi connection to go on the council website and complete the application.

Or ask a friend who has a smartphone to take the photo for you and email it to your computer. You then save the photo (as you would have done with your scanned image if your scanner was operational) and attach it to the application form online. My offer to do that for you is still there.
Jo Palmer GCF(APF) Adv
Textile, Mount Design & Function & Conservation


Forum Moderator & Framing Educator
www.pictureframingtraining.com
Guild Certified Examiner & Guild Accredited Trainer
Guild Master from May 2019 to May 2022
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

Thanks,

Hopefully the scanner will be working shortly and everything should be o.k.
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Steve N
Posts: 2992
Joined: Sat 21 Jul, 2007 2:32 pm
Location: Somewhere Staple Hill Bristol
Organisation: Frontier Picture Frames ltd
Interests: Walking our retired Greyhound,art, falling asleep on sofa in front of the telly
Location: Now in Bristol
Contact:

Re: paying business overheads buring the covid shut down

Post by Steve N »

Hi Mark, I have some spare cables for linking digital camaers to the computer, can send you one if you like, just pm me your address and and I pop it in the post

cheers

Steve
Steve CEO GCF (020)
Believed in Time Travel since 2035

Proud to sell Ready Made Frames
http://www.frontierpictureframes.com
http://www.designerpicturemounts.com/
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

Thanks Steve.

I really appreciate the offer, but we are going to have a good turn out this weekend and probably will soon find it. I'm also going to have a go at connecting the scanner and trying to get it to work and I'm pretty sure that something can be made to work this end.

All the best,
Mark
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Steve N
Posts: 2992
Joined: Sat 21 Jul, 2007 2:32 pm
Location: Somewhere Staple Hill Bristol
Organisation: Frontier Picture Frames ltd
Interests: Walking our retired Greyhound,art, falling asleep on sofa in front of the telly
Location: Now in Bristol
Contact:

Re: paying business overheads buring the covid shut down

Post by Steve N »

Okay Mark
But if no luck, offer still there, no problem, have loads of them
Have a good weekend
Steve
Steve CEO GCF (020)
Believed in Time Travel since 2035

Proud to sell Ready Made Frames
http://www.frontierpictureframes.com
http://www.designerpicturemounts.com/
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

Thanks Steve,

You have a good weekend too!
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Steve N
Posts: 2992
Joined: Sat 21 Jul, 2007 2:32 pm
Location: Somewhere Staple Hill Bristol
Organisation: Frontier Picture Frames ltd
Interests: Walking our retired Greyhound,art, falling asleep on sofa in front of the telly
Location: Now in Bristol
Contact:

Re: paying business overheads buring the covid shut down

Post by Steve N »

Hi Mark
How you getting on with this, did you get the scanner to work, or did you find the cable for the camera , let me know if you would like me to send you a cable
Steve CEO GCF (020)
Believed in Time Travel since 2035

Proud to sell Ready Made Frames
http://www.frontierpictureframes.com
http://www.designerpicturemounts.com/
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

Thanks Stevd,

It'ss still on the list to do, but I will be attending to it shortly.

Thanks,
Mark
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
User avatar
Rainbow
Posts: 891
Joined: Tue 23 Jun, 2015 8:51 am
Location: See my name, I'm somewhere over it
Organisation: Picture sales and framing
Interests: varied

Re: paying business overheads buring the covid shut down

Post by Rainbow »

Smartphones were mentioned earlier and this might be the time to think about getting one, Mark, so that you can download the Covid-19 tracking app when it is released nationally. I gather its success depends on at least a 60% take-up.
Not your average framer
Posts: 11013
Joined: Sat 25 Mar, 2006 8:40 pm
Location: Devon, U.K.
Organisation: The Dartmoor Gallery
Interests: Lost causes, saving and restoring old things, learning something every day
Location: Glorious Devon

Re: paying business overheads buring the covid shut down

Post by Not your average framer »

I don't even have one of the old fashioned mobile phones and I never missed not having one. Sorry to disappoint you, but I'm a bit of a technologically dinosaur.
Mark Lacey

“Life is short. Art long. Opportunity is fleeting. Experience treacherous. Judgement difficult.”
― Geoffrey Chaucer
Post Reply