- Do I still need to pay my VAT?
The next quarter’s VAT payments may be deferred, so no business will need to make a VAT payment from 20th March 2020 until 30th June 2020.
- Am I eligible for the 80% wage funding?
The introduction of the Coronavirus Job Retention Scheme – unlimited funding for a grant that is available to any employer, of any size, to cover 80% of the wages (up to £2,500 per month) of employees who are ‘furloughed’ (i.e. temporarily laid off work). This can be backdated to 1st March and will be payable for at least 3 months. The aim is that this grant will be set up (via HMRC) and ready to be paid before the end of April. For up-to-date advice on the scheme and how it has to be approached, in regards to discussing with your employees, please review the below link:
- What is the CBILS?
The Coronavirus Business Interruption Loan Scheme is set up for businesses that may have been turned down for debt finance due to inadequate security. This scheme will support loans of up to £5m in value (originally it was up to £1.2m), by providing lenders with a guarantee of 80% on each loan. Repayments under the temporary Coronavirus Business Interruption Loan Scheme will now be interest free for 12 months, not 6 months.
- Will I need to make my Payment On Account (POA) for Personal Tax in July?
Income tax payments, due on 31 July 2020 under self-assessment, will now be deferred until 31 January 2021. Please note that without the July payment, if applicable to your circumstances, the January 2021 tax bill for self-assessment will be higher. It is recommended that you send your 2019-20 tax return information to us as early as possible after the end of the tax year (5th April 2020) to ensure that your return can be completed in good time, in order for you to prepare for the January 2021 tax bill.
- What does HMRC’s TTP arrangements cover?
Time to Pay (TTP) arrangements can be made with HMRC and can cover all taxes (VAT, Corporation Tax, PAYE, NI, Self-Assessment). A TTP arrangement can be useful if your business is in financial distress and has outstanding Tax liabilities due to the knock on effect of Coronavirus. The HMRC Coronavirus helpline is: 0800 015 9559.
- I have employees off sick due to Covid-19, what does HMRC have in place in regards to SSP?
HMRC have authorised that SSP will be paid from day 1, rather than day 4 and repaid to the Employer. To be eligible for SSP employees need to be earning at least £118 per week. The mechanism for repayment from HMRC is currently being worked on and we shall advise as soon as we know more.
- How will the Business Rates Holiday help my business?
A 100% Business Rates retail discount for one year for businesses in the retail, leisure and hospitality sector. Businesses in these sectors will also receive a cash grant of up to £25,000 per property if the rateable value is between £15,000 and £51,000. Businesses who already get small business rates relief, including the sectors mentioned above, will receive a cash grant of £10,000. This grant was mentioned in the budget at a rate of £3,000 – this has now been increased to £10,000. Your local Council is in the process of writing to you.
- I am Self-employed. What support is available for me?
Currently the Government offers:
- Universal credit – the payments have been raised to £94.25 a week , to bring the benefit to the same level as statutory sick pay, or
- Employment and Support Allowance (ESA) – The weekly payment for ESA is typically £73.10 or £57.90 for people under the age of 25.
We are expecting a more practical method of support to be announced by the Government on 26th March. We shall advise further as soon as we have reviewed the details.
Please do not hesitate to make contact should you have any questions.
This is a very challenging time for the whole country. We are committed to providing the help and advice that you need to support your business through these uncertain times.