Coronavirus Job Retention Scheme (CJRS) / VAT Payment Deferral Scheme - Updates
Posted on 12th July 2021 at 17:26
CJRS June Claim: You can claim 80% of furloughed employees' usual wages for the hours not worked (capped to £2,500 per month).
To submit your June claim, you will need to:
1) Check eligibility and how much you can claim using the CJRS calculator
2) Make sure you keep supporting records for claimed CJRS grants
3) Ensure you are paying CJRS related employee tax and National Insurance contributions to HMRC, and to contact HMRC if you are struggling to pay
*Submission deadline - Wednesday 14 July
CJRS changes from July:
For July, the government will pay 70% of employees' usual wages for the hours not worked (capped to £2,187.50)
For August and September, this will reduce to 60% of employees' usual wages for the hours not worked (capped to £1875.00)
Employers will need to pay the difference, in order to top up furloughed employees wages, so that at least 80% of their usual wages for the hours they do not work is made (capped to £2,500 per month).
* Templates are available for claims of more than 16 employees
Claimed too much or too little?
If you have claimed more of a CJRS grant than you are entitled to and you have not already paid it, you can repay as part of your next online claim without having to call HMRC. If however you have claimed too much but do not plan to submit any further claims, then you will need to contact HMRC and make a repayment online via their online methods. https://www.gov.uk/guidance/pay-coronavirus-job-retention-scheme-grants-back.
HMRC must be notified and be repaid by the latest of whichever date applies:
• 90 days from receiving the CJRS money that you are not entitled to
• 90 days from the point circumstances changed in that you were no longer entitled to keep the CJRS grant
*Penalties and interest will be applied by HMRC, in addition to paying the excess CJRS grant, if not adhered to.
If on the other hand, a mistake is made on your claim and you receive too little money by grant, then you will need to amend it within 28 calendar days, after the month for which it relates to.
* The deadline to amend claims for June is Wednesday 28 July
VAT Payment deferral scheme:
The scheme is now closed. If you are still struggling to pay an outstanding VAT debt, then there is still help available and can find out more by visiting their website: https://www.gov.uk/difficulties-paying-hmrc
* You may be charged a 5% penalty and/or interest if not paid in full
HMRC's has issued a warning to customers regarding scams and to be alert if contacted 'out of the blue' by someone asking for money or even personal information. If you are in doubt, HMRC advice you not to reply directly to anything suspicious, but to report it to HMRC straight away.
For more help and advice regarding this matter or anything else, please do 'Contact Us'
For full details, please refer to: https://www.gov.uk/guidance/claim-a-grant-through-the-self-employment-income-support-scheme
Whilst every effort in ensuring the accuracy of the content of these notes has been considered, we cannot be held responsible in any way in regards to any consequences and/or decisions arising from the information provided. For specialist advice tailored to your individual circumstances - please seek professional advice and contact us on the above details.
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