COVID-19: HMRC support

Wednesday March 25, 2020

HMRC remains a critical ally

In normal circumstances, discussing matters of tax is rarely any business owner’s favourite subject. However, since March 2020 HMRC has been the single largest source of support available to businesses and the self-employed as coronavirus has impacted the UK economy.

The landscape of the national support measures has continued to develop with some staying in place, others being withdrawn and new measures being introduced.

So what are the options in place now?

Coronavirus Job Retention Scheme (CJRS)

The Coronavirus Job Retention Scheme (CJRS) was put in place for all businesses, to support the payment of wages to staff on the pay as you earn scheme (PAYE) who would otherwise have been made redundant due to the impact of COVID-19.

The CJRS ended on 30 September 2021, claims for September must be submitted on or before 14 October 2021, and any amendments must be made on or before 28 October 2021.

Self-employment Income Support Scheme (SEISS)

The Self-Employment Income Support Scheme (SEISS) has paid out four grants, calculated at 80 per cent of the self-employed individual’s average three month trading profits to a maximum of £7,500. These are now closed, as well as a fifth and final grant that was implemented. The last date for making a claim was 30 September 2021.

VAT deferral and Time to Pay (TTP) arrangements

Businesses in the UK were not required to pay their VAT returns that were due between 20 March 2020 and 30 June 2020.

The new VAT deferral payment scheme to pay by equal monthly instalments interest free by the end of January 2022, was open for applications until 21 June 2021.

If you missed this deadline or have any other VAT, PAYE/NIC or corporation tax liabilities, HMRC is offering support through its existing Time To Pay (TTP) arrangement scheme.

Should you miss a payment or expect to have challenges meeting your next payment, contact the HMRC helpline on 0300 200 3835.

Statutory Sick Pay (SSP)

Businesses with fewer than 250 employees can reclaim SSP for up to 14 days per employee as long as their absence is due to COVID-19, be it because they have symptoms themselves, in their household, or have been advised to self-isolate by the NHS or another public health body. You can only claim for employees who were off work on or before 30 September 2021.

The online system for employers to make a claim for SSP can be found here.

COVID-19: guidance on mental health and wellbeing

The coronavirus outbreak is likely to affect everyone’s day-to-day lives and the impact of this will vary from person to person. It’s important to take care of your mind and body, and to seek further support if you need it. Advice and information has been published on the GOV.UK website on how to look after your mental health and wellbeing during the coronavirus outbreak, along with an easy-to-read guide with useful tips.

Related team

Gemma Jones

Gemma Jones

Gemma Jones

  • Partner
  • Financial Advisory
  • Birmingham