Confusion over taxable status for Covid hardship grants
Last Updated on 1 February 2022
Last week I tweeted angrily, not something I do often:
Unbelievable: @HMRCgovuk suddenly decides Arts Council Emergency Response grants for freelancers during lockdown are now to be treated as taxable. With 3 days till tax deadline. This was the ONLY income for some people during lockdown. Inhuman.https://t.co/b9kCXR0myq— David O Thomas (@davidowenthomas) January 27, 2022
The tax office appears to have decided right at the last moment that certain Covid hardship grants should, after all, be taxable. Whereas they’d said earlier that they were not.
Once I’d calmed down I wrote to my MP Greg Clark, who used to be the business secretary. Here’s the letter:
And here’s his reply received 31 January 2022:
This is the link in his reply:
I’ll let you know if/when I hear more.
Posted on 31 January 2022