Repaying Overclaimed SEISS Grants

Self-employed individuals (including partnerships) who have overclaimed the Self-Employed Income Support Scheme (SEISS) must pay back the overpayment to HMRC. The rules for paying HMRC back state that you must tell HMRC if you were not eligible to have claimed the grant. There can also be penalties for not informing HMRC.

For example:

• for the first or second grant, your business was not adversely affected

• for the third, fourth or fifth grant, your business had not been impacted by reduced activity, capacity or demand or inability to trade in the relevant periods

• you did not intend to continue to trade

• you’ve incorporated your business

You must also tell HMRC if you:

• received more than they said you were entitled to

• amended your tax return on or after 3 March 2021 in a way that means you’re no longer eligible or are entitled to a lower fourth or fifth grant than you received

• made a mistake reporting your turnover in your claim for the fifth grant which means you are entitled to a lower grant than you received

• have received a letter or email from HMRC that says you need to pay back some or all of a grant

If the amount in question is £100 or less then there is no requirement to notify HMRC or pay back any money. 

The fifth and final grant was available for the period between 1 May 2021 and 30 September 2021. The last date for making a claim was 30 September 2021.