We are continuing to provide advice and support on the package of measures set out by the Chancellor to support our clients through this period of disruption. Currently these include:
Coronavirus Job Retention Scheme
Confirmation that the scheme will continue until the end of October this year, with no changes to the scheme until the end of July. From August the Scheme will be revised to allow furloughed staff to undertake some work. Importantly, the Chancellor indicated that from the start of August, employers will “share with the government the cost of paying salaries”. The employer payments will substitute the contribution the government is currently making, ensuring that staff continue to receive 80% of their salary, up to £2,500 a month. Further details will be released at the end of the month.
Self-Employment Income Support Scheme
The scheme is now open for applications, click here to apply. Once a claim has been submitted, HMRC will advise straight away if the grant is approved and the full three month grant will be paid within 6 working days.
Bounce Back Loan Scheme
Confirmation the scheme is open for applications and guidance on how to make an application. Please contact your bank for their application process.
Small Business Grant scheme
Reminder that the 20 May 2020 deadline for registering for the £10,000 or the £25,000 grant schemes is fast approaching
Temporary VAT zero rating for Personal Protective Equipment (PPE)
The government has announced a change to UK VAT law to introduce a temporary VAT zero rate which comes into effect from 1 May to 31 July 2020.
Credit Insurance Guarantee
Support for businesses with supply chains which rely on Trade Credit Insurance in the form of the government temporarily guaranteeing business-to-business transactions currently supported by Trade Credit Insurance, ensuring the majority of insurance coverage will be maintained across the market.
Temporary income tax and National Insurance (NIC) exemption where employers reimburse employees’ personal expenditure on home office equipment
Which comes into effect for the 2019-20 tax year (from 16 March 2020 only) and 2020-21 tax year.
R&D Tax Credit
HMRC have switched resources so that they can make tax repayments quickly to help businesses struggling in the face of the Covid-19 crisis.