Changes to the furlough scheme and future support

Changes to the furlough scheme and future support

Coronavirus Job Retention Scheme

As HMRC looks to end the CJRS, we have noticed that claims previously submitted by employers are now being subject to more in depth scrutiny and checks by HMRC. A growing number of employers have received ‘nudge’ letters from HMRC, these are for claims that are deemed to be of high risk where HMRC believes employers may have made errors and they are being encouraged to check that the claims filed are wholly accurate. In light of this all employers should:

1.     Retain copies of all written communication issued to employees notifying them that they were to be placed on the CJRS; and
2.     Retain copies of the calculations used for all CJRS claims made.

For employers who identify previous miscalculations, HMRC has set 20 October 2020 as the cut-off date for self-declarations. Any self declarations made after 20 October 2020 are potentially subject to penalties and even prosecution in the most severe cases.

For those employers who have received a letter informing them of possible inaccuracies, Kilsby Williams is able to provide a comprehensive CJRS audit service, identifying claim areas where there is non-compliance. Whilst dealing with “nudge” letters are excluded, advice associated with responding to furlough compliance letters are covered under the Tax Fee Protection Scheme insurance you may have taken out.

For assistance with any matters related to the CJRS or the new Job Support Scheme (JSS), please contact our payroll team using payroll@kilsbywilliams.com or 01633 810 081.

The Chancellor’s Winter Economic Plan

Many businesses and individuals have benefited from Rishi Sunak’s unprecedented capital measures, including furlough grants for staff, deferral of VAT and Income Tax payments, and low cost government-backed loans. From 1 November, a number of changes will take effect, including the replacement of the furlough scheme with the Job Support Scheme. We encourage our clients to keep up to date with these changes and to help, we have provided a guide which can be downloaded below.

Download our Autumn 2020 Business Support Guide here.

For more information on any of the above, please contact the Kilsby Williams team on – 01633 810081/ info@kilsbywilliams.com