HMRC has confirmed that some sole traders received Self Employment Income Support Scheme (SEISS) grants that were too high, or that they should not have received at all.

The UK tax body is stating that a few of those who applied for and received these grants may not actually have been eligible, or were entitled to less than they got. However, it has said it will not pursue the matter by demanding repayments. In its statement, HMRC insisted that its methods for ensuring correct payments were very reliable, before going on to add:

“The vast majority of grants were paid correctly but in a very small number of cases not all the information held on a tax return was taken into account when calculating eligibility and grants.”

The authority continued by saying that it had prioritised getting the financial help to those sole traders who needed it as quickly as possible, while also ensuring that people who deliberately tried to claim public money fraudulently were unable to do so.

It concluded by stating that it would not try to reclaim SEISS money that was erroneously awarded, because this could make the situation difficult for sole traders that had used it already. Those in this position who claim the second SEISS grant will receive a lower payment to cancel it out.

Some professionals, such as an accountant for sole traders in South Yorkshire or elsewhere, may feel that the decision by HMRC to not allow them to apply for the grant on behalf of their clients may have contributed to these errors.

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