SEISS 4 question re extra work taken on
Hi all, I’m hoping to get your expert views on the scenario below please. Thank you in advance.
A window cleaner (high street shops etc not domestic) earned £4820 profit in the 20/21 tax year. (This is a 38% annual reduction of profit over the previous “non-COVID” tax year).
In the SEISS 4 qualifying period his anticipated profit would have been £1494.
His actual profit was £401.
His reduction specifically due to around 75% of his customers being closed due to the lockdown was £1093 which in context of his annual profit for 20/21 was a 22.67% reduction. (1494-401/4820x100)
That seems to reasonably meet the “significant reduction of profits” test.
Any observations on that please?
An extra consideration is that out of an abundance of caution/honesty/scruples/fear the window cleaner wants it to be clear that he also “could have easily” taken on some ad hoc work as a food delivery driver in the qualifying period to supplement his income.
This would have been an additional profit of £406 and would have reduced his “significant reduction” down from 22% to 13%. (A loss of £688)
Should he include these hypothetical extra earnings at all in his decision to claim?
Is it more honest to do so or unnecessary?
In fact was he even obliged to do the extra work since he “could have” or not?
He’s a stickler and just wants to do the right thing!
Any viewpoints that you have would be very helpful.
Thank you all in advance.