Please find further published information regarding this here
Limited Companies - Extension to Filing Deadlines
Companies House - Filing Accounts:
Businesses will be able to apply to Companies House for a 3-month extension on filing
their accounts. All companies who apply for an extension as a result of COVID-19
will automatically be granted the extension without needing to provide evidence.
HMRC - Filing of the Corporation Tax Return:
The same 3-month extension will apply to submission of the corporation tax return.
Please note: this only protects the company from the fixed penalty. The tax-geared
penalty will arise 18 months after the return period, if any tax remains unpaid at
the 18-month date.
VAT: Payment Deferral
Last week the Chancellor announced that VAT Registered businesses could defer payment
of any VAT due for the quarters ending 29 February, 31 March & 30 April 2020 until
the end of the financial year - at present this means April 2021 but everything is
under review. HMRC have said that there will be no interest or penalties for those
specific VAT quarters if paid on time next year.
However today (24 March) the reminders were emailed to businesses in respect of the
current quarter to 31 March 2020 WITHOUT ANY CHANGE to the normal wording about payment
More details will follow as HMRC publish them, 24 March 2020
Coronavirus Job Retention Scheme
Under the scheme ALL employers will be able to access support of up to 80% of furloughed
employees's wages, ceiling £2500pcm. "Furloughed" employees are those designated
by an employer who would otherwise have to be laid off because of the impact of Coronavirus
on the business. The mechanics for claiming this support will be via a new HMRC Portal
and it is hoped that this will be available soon. As of 24 March HMRC have not yet
been able to provide any indication of when this might be.
2nd Instalment of Personal Tax on Account 2019/20
Normally payable by 31 July 2020 but has been deferred - as announced by the Chancellor.
You do not need to apply to defer the July 2020 payment - simply don't pay it, 24
Corporation Tax Payable 1 April 2020
No deferrals have been announced yet, 24 March 2020
Government Updates Emailed to you Direct
You can log on to the Government's special Coronavirus website for updated information,
both for financial help and containment measures by clicking here.
Once there you can choose to receive automatic government updates by email - you
can choose how often you receive these. You will need to click the link in the resulting
email to activate this service.
Note: when you access this site, scroll down for options.
Emergency Statutory Sick Pay
What are the new Statutory Sick Pay arrangements relating to Coronavirus, COVID-19?
In his Budget Statement last week, the Chancellor announced a change to the Statutory
Sick Pay rules to help small to medium-sized businesses finance staff absence on
relevant sick leave or who are required to self-isolate. PLEASE NOTE THAT COMPANY
DIRECTORS ARE ALSO EMPLOYEES AND WHERE THEY MEET THE OTHER CRITERIA THEN THESE NEW
RULES FOR CORONAVIRUS SSP WILL APPLY TO THEM TOO!
To quote "Statutory Sick Pay will also be available for all those who are advised
to self-isolate - even if they haven't yet presented with symptoms." It was seen
that there's a bit of "flexibility" in defining exactly what is meant by "advised
to self-isolate" but the announcement by the Prime Minister on Monday 16 March 2020
has helped to clarify this slightly.
We have extracted the following from HMRC's Bulletin issued to Employers for guidance
– see below.
If we deal with your payroll then we are advising you on this individually in advance
of running the end of year reports at the end of this month.
If you deal with your own payroll processing then you should find that your software
will have an update to download before you run it and you should be able to make
any appropriate SSP claim via your payroll software.
The rate of SSP is currently £94.25 pw and for employees this is usually paid from
the 4th day of absence on sick leave. For Coronavirus related absence SSP can be
paid from Day 1 of the sick leave. The maximum period for payment of SSP is 28 weeks,
under normal rules but for self-isolating claims, ie without being actually ill,
then the maximum period of claim is 14 days, ie two calendar weeks..
The employer pays the SSP and subjects it to the deduction of income tax and national
insurance through their PAYE Scheme in the normal way.
Under normal SSP rules employers cannot reclaim SSP ie it is not a cost to the Government
but to even the smallest of employers – and that has been the case for many years
Under the special Coronavirus measures, employers with fewer than 250 employees are
able to reclaim the relevant SSP which they pay to those employees who are entitled
to it for a Coronavirus-related reason. The amount which the employer can reclaim
is only for the coronavirus SSP payments and only for a maximum of 14 days. This
gives a maximum reclaim for a qualifying employer for qualifying sick leave of £188.50
As you can see from HMRC's bulletin below, details of how to reclaim the relevant
SSP have not yet been published. However, HMRC have announced that they "will be
working with employers over the coming months" towards refunding SSP.
Watch this space for updates....
HMRC Business Help & Support Emails: Budget 2020 - an extract in respect of Statutory
HMRC Budget 2020 measures which support businesses and employers on COVID-19:
The Chancellor set out a plan to support public services, individuals and businesses
that may be affected by COVID-19. These include:
• For businesses with fewer than 250 employees, the cost of providing 2 weeks
of COVID-19 related statutory sick pay per employee will be refunded by the government
in full. This will provide 2 million employers with up to £2 billion to cover the
costs of large-scale sick leave. HMRC will provide further details in due course
on how employers can access the rebate. More information about this and regular updates
can be found on GOV.UK.
• A dedicated helpline has been set up to help businesses and self-employed
individuals in financial distress and with outstanding tax liabilities receive support
with their tax affairs. Through this, businesses may be able to agree a bespoke Time
to Pay arrangement.
If you are concerned about being able to pay your tax due to COVID-19, call HMRC's
dedicated helpline on 0800 0159 559.
Further details on other COVID-19 measures can be found on GOV.UK.
For further information on Statutory Sick Pay click here
For information on any other matters please click here.