Coronavirus Job Retention Scheme

KEY INFORMATION

 

Update below: 12 May 2020

  • The furlough scheme provided by the government has been extended for a further 4 months to October 2020. 

  • It will continue to pay 80% of salaries up to a maximum of £2,500 per month.

  • Companies will be asked to start sharing the cost of the scheme from August. 

  • The scheme will now also allow for workers to return to work on a part-time basis.

How to access the scheme

You will need to:

  • have employees who have created or started a payroll scheme on or before 19 March 

  • designate affected employees as ‘furloughed workers,’ and notify your employees of this change 

  • submit information to HMRC about the employees that have been furloughed and their earnings through the online portal

 

More information:

  • The scheme is now live - as of 20 April

  • Applicants access the system using their current government gateway login

  • Following the initial backdated claims, claims can be made no more than 14 days before payrolls are run but will be accepted for the different pay periods 

  • Tax agents who are authorised to act for PAYE matters will be able to file claims on behalf of their clients  

  • Employees can be full-time, part time, agency, flexible or zero hours

  • CJRS relief can be backdated to the 1 March, but will be limited to being backdated to the day the employee completely stopped undertaking duties of the employment post 1 March

What you get 80% of?

Gross salary as at 28/02/2020 excluding fees, commissions and bonuses.

Different rules apply for wages that are hourly/zero hours.

 

Is tax payable on the sums paid?

Yes

 

Pensions

Yes

 

Does employer have to top up wages

No

Members of the ICAEW

Certified Partner of Receipt Bank

EBS Accountants Ltd is registered in England & Wales.
Registered company number: 3748728
Registered office address:

Mayden House, Long Bennington Business Park,

Main Road, Long Bennington, NG23 5DJ

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