Repaying SEISS overpayments – act quickly to avoid penalties
HMRC realises that in these challenging times things change, particularly when it comes to our business finances.
Therefore, individuals who believe, or have been told, they have received a grant overpayment, are being asked to pay that money back.
Self employed people who accessed the SEISS grants will be contacted by HMRC if it is deemed that they were not entitled to the grant after their circumstances changed. There have been five rounds of grants under the scheme to support those who are self-employed or a member of a partnership and have lost income due to the COVID-19 pandemic.
Businesses who cease trading after receiving a grant, or who find that their income was much higher than expected, may be asked to repay the grant.
People who have received grants they were not entitled to should inform HMRC within a stipulated time, currently set at 90 days of payment of the grant. Penalties can be charged up to 100% on the amount of the grant overpaid, however repayment is not expected immediately.
Contact us to find out if you believe you may be required to repay a grant.back