Important Coronavirus Update – 21/03/2020 – Please Read!

Coronavirus update – 21/03/2020 – Keeping you up to date with support available for your small business

 

There was a lot of support announced yesterday and we are bringing you news on the support for your business, employed and self -employed.

 

PLEASE REMEMBER THAT WE ARE HERE FOR YOU

 

Every small business owner will have different issues, and different needs. We are here if you want to chat through your concerns.

TODAY’S UPDATES

Support for businesses through the Coronavirus Job Retention Scheme

  • ALL UK employers will be able to access support to continue paying part of their employees’ salary for those employees that would otherwise have been laid off during the crisis.
  • WHO IS ELIGIBLE? ALL UK businesses!
  • HOW TO ACCESS THE SCHEME?
    • Decide which are the affected employees and designate them as ‘furloughed workers’ – you will need to notify these employees of this change.
    • Submit information to HMRC about those employees through a new online portal (HMRC will set out further details on the information required) (We can help with this)
    • HMRC will reimburse 80% of furloughed workers wage costs up to a cap of £2,500 per month. HMRC are working urgently to set up a system for reimbursement.

Support for businesses through deferring VAT and Income Tax Payments

  • VAT payments are deferred for 3 months – this applies to ALL payments due from 20th March to 30th June
  • WHO IS ELIGIBLE? ALL UK businesses
  • HOW TO ACCESS THE SCHEME?
    • This is an automatic offer with NO applications required. Businesses will not need to make a VAT payment during this period and you will have until the end of the 2020/2021 tax year to pay any liabilities. VAT refunds will be paid back as usual.
  • INCOME TAX – payments due on the 31st July 2020 will be deferred until the 31 January 2021
  • WHO IS ELIGIBLE? If you are self -employed you are eligible
  • HOW TO ACCESS THE SCHEME?
    • This is an automatic offer with NO applications required

Support for businesses who are paying sick pay to employees

  • Small and Medium sized businesses can reclaim SSP. The criteria:
    • This covers up to 2 weeks per employee
    • Employers must have fewer than 250 employees
    • Employees will not need to supply a GP fit note
  • HOW TO ACCESS THIS SCHEME? – a rebate scheme is being developed and we are talking to Xero about how this will work in Xero payroll

Support for businesses that pay business rates

  • Business rates holiday for retail, hospitality and leisure businesses for 2020 to 2021 tax year
  • WHO IS ELIGIBLE?
    • Shops, restaurants, cafes, drinking establishments, cinemas and live music venues
    • Assembly halls or leisure facilities
    • Hotels, guest and boarding premises and self-catering accommodation
  • HOW TO ACCESS THE SCHEME?
    • No action is required. This will apply to your next council tax bill in April 2020.

Cash grants for retail, hospitality and leisure businesses

  • For businesses in these sectors with a rateable value of under £15,000, they will receive a grant of £10,000.
  • For businesses in these sectors with a rateable value of between £15,001 and £51,000, they will receive a grant of £25,000.
  • WHO IS ELIGIBLE?
    • Shops, restaurants, cafes, drinking establishments, cinemas and live music venues
    • Assembly halls or leisure facilities
    • Hotels, guest and boarding premises and self-catering accommodation
  • HOW TO ACCESS THE SCHEME?
    • No action is required. Your local authority will write to you if you are eligible for this grant

Support for businesses that pay little or no business rates

  • This is a Small Business Grant Scheme to support small businesses that already pay little or no business rates because of small business rate relief (SBBR). This is a one-off grant of £10,000
  • WHO IS ELIGIBLE? – if your business occupies a property and you receive SBBR
  • HOW TO ACCESS THE SCHEME?
    • No action is required. Your local authority will write to you if you are eligible for this grant

Support for businesses through the Coronavirus Business Interruption Loan Scheme

  • This is a loan scheme delivered by the British Business Bank. This launched on Monday 23rd March to support small and medium businesses with bank lending and overdrafts
  • The government will provide lenders with a guarantee of 80% on each loan. The scheme will support loans of up to £5 million in value.
  • The first 12 months are interest free.
  • WHO IS ELIGIBLE? A business with a turnover of no more than £45 million per year
  • HOW TO ACCESS THE SCHEME?
    • Details of the scheme and accredited lenders is available on the British Business Bank Website
    • Talk to your bank as soon as possible and discuss your business plan with them.
    • REMEMBER – this scheme is available from 23rd March

This is a lot of information to take in and remember that we are here to help and support you through all of this. If you want to set up a phone call or Zoom call for next week please do not hesitate to get in touch.

Emma

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