Over the last few weeks we have all been navigating our way through the unknown, but as the lockdown is eased businesses are preparing to reopen.
Various grants are available to businesses providing much needed working capital to aid their recovery. Figures published today show 8.4 million jobs have been furloughed with £15 billion claimed so far through the Coronavirus Job Retention Scheme (CJRS). 2.3 million Self-employment Income Support (SEISS) claims have been submitted worth £6.8 billion. The Bounce Back Loan Scheme (BBLS) has seen 608,069 approved loans so far worth £18.49 billion. As of 17 May (the latest published data), over £9.5 billion had been paid out to over 778,000 business properties from local authority grant payments.
Are you sure you have accessed all the funding you are entitled to? If not, please get in touch with us. We are here to help and support you.
SELF-EMPLOYMENT INCOME SUPPORT SCHEME
If you are self-employed - or a member of a trading partnership - and have lost income due to coronavirus, you may be eligible for a grant, depending on your levels of income, how long you have been trading and whether you are still trading. If you are in any doubt over your eligibility, please speak to us.
The scheme is working well but if you think HM Revenue & Customs might have got yours wrong, please email heather@shepherdpartnership.com with details so she can check it for you.
TOP-UP TO LOCAL BUSINESS GRANT FUND SCHEME – FOR BUSINESSES WITH ONGOING PROPERTY COSTS
Do you have a small business with ongoing fixed property related costs, and have seen a significant drop in income due to the coronavirus restrictions, but you do not qualify for either the Small Business Grant Fund or Retail, Hospitality and Leisure Grant Fund?
This discretionary fund is for certain small businesses outside the scope of the business grant funds scheme, such as those in shared spaces, regular market traders and bed and breakfasts paying council tax rather than business rates
Revised guidance has been issued clarifying that eligibility for the Self Employment Income Support Scheme does not prevent a claim.
SMALL BUSINESS GRANT FUND AND RETAIL, HOSPITALITY AND LEISURE GRANT SCHEMES
Under the Small Business Grant Fund, all eligible businesses in England in receipt of either Small Business Rates Relief (SBRR) or Rural Rates Relief (RRR) in the business rates system will be eligible for a payment of £10,000.
Under the Retail, Hospitality and Leisure Grant, eligible businesses in England in receipt of the Expanded Retail Discount (which covers retail, hospitality and leisure) will be eligible for a cash grant of £10,000 (rateable value up to £15,000) or £25,000 (rateable value £15,001 to £51,000)
The Craven District Council grant claim can be found here:
These loans have been very popular and are temporarily available until 4th November 2020.
Businesses can borrow between £2,000 and £50,000 - capped at 25% of their turnover. They are are 100% government guaranteed and are without fees or interest for the first 12 months. After 12 months the interest rate will be 2.5% a year. The length of the loan is 6 years but no repayments will be due during the first 12 months.
Despite the lockdown, VAT Returns still need to be filed on time.
If your VAT quarter ends on 30 April, your tax will be due for payment on 11 June, 2020. If you want to take advantage of the payment deferral you will need to cancel your Direct Debit at least 5 working days before the due date. The deferred VAT needs to be paid by 31 March 2021.
DIFFICULTIES PAYING HM REVENUE & CUSTOMS
Please contact HM Revenue & Customs if you cannot make a payment on time, as this could prevent penalties being charged.
Self-assessment payments due on 31 July 2020 can be delayed until 31 January 2021. You do not need to contact HM Revenue & Customs to take advantage of this deferral.
HM Revenue & Customs has recently introduced an online tool to arrange payment instalments where you owe less than £10,000 (self-assessment tax liabilities only). This can be found using the link below.
For other taxes where payment is not otherwise deferred you will need to contact HM Revenue & Customs’ coronavirus helpline if you are unable to pay on time.
NEW LEGISLATION TO RELIEVE THE BURDEN ON BUSINESS AND SUPPORT ECONOMIC RECOVERY
The Corporate Insolvency and Governance Bill has been introduced, putting in place a series of measures to amend insolvency and company law to support businesses impacted by COVID-19.
The Bill introduces various measures to give companies who were trading successfully before the pandemic breathing space whilst they seek a rescue
It enables the insolvency regime to flex to meet the demands of the emergency
The threat of personal liability for wrongful trading by directors trying to keep their companies afloat through the emergency has been temporarily removed
The burdens on businesses have been temporarily eased, enabling them to hold closed Annual General Meetings (AGMs), conduct business and communicate with members electronically, and by extending filing deadlines
The updated guidance on the extension of the scheme until 31st October has not been published yet but has been promised by the end of the month. We will send a further update once this has been announced. The scheme is available in its present form until 31st July 2020.
There has been a recent update showing examples of how to calculate the 80% of employees’ wages which can be found here:
The information transmitted by this email and any attachments is confidential and intended solely for the individual to whom it is addressed. If you are not the intended recipient, please do not copy or disclose its contents but delete the same from your system and notify the sender immediately. The views expressed within the email are that of the author and may not necessarily constitute or imply its recommendation by the Shepherd Partnership Ltd. Whilst this email has been checked by anti-virus software, you are responsible for ensuring that any email or attachment you receive is virus free. We disclaim liability for any damage you suffer as a result of receiving a virus.
Shepherd Partnership Limited | Company no. 5837782 | Registered in England and Wales | Registered as auditors in the United Kingdom by the Association of Chartered Certified Accountants
