Government support for business owners
With the coronavirus situation changing rapidly by the day, we will keep this page updated as soon as there is new information available on access to support for business owners. Fortunately, HMRC has put in place a range of schemes and support services in order to support businesses and their owners throughout this troubling time. Below is an outline of the current support in place.
Job Retention Scheme
All employers with a PAYE scheme will be able to access support in order to continue paying part of their employees wages throughout the coronavirus crisis. The intention of the scheme is to financially support workers who would’ve otherwise been laid off due to COVID-19. HMRC will pay a grant worth 80% of an employee’s wages, up-to £2,500 per month. In order to receive this grant, employers will need to designate employees as ‘furloughed’. Click here to find out more information.
Business Interruption Loan
A loan for businesses that are experiencing short-term cash flow issues due to the COVID-19 crisis. This loan is to support businesses with an annual turnover of up to £45m. Businesses will benefit from no up-front costs and reduced initial repayments. Loans will be available through all major banks, for more information on accessing the loan please click here.
Coronavirus Bounce Back Loan
The Bounce Back Loan is a scheme for smaller businesses. They can apply to borrow loans from £2,000 to £50,000 interest-free for the first 12 months. For more information about this scheme click here.
Whether you are self-employed or a business owner, the government has set up a ‘Time to Pay’ scheme, which may allow you to defer payments of VAT or other taxes. If you believe you’ll be unable to afford your next tax payment, it is important that you contact HMRC. Support is being assessed on a case-by-case basis, click here to find out more information.
More Time to File Company Accounts
Usually there are fines in place for late filing of company accounts. The government has put in place help for businesses that might struggle to file these documents in time. It is important to let HMRC know if you need an extension to file accounts, as the extension won’t be done automatically. Click here for government advice on applying for an extension.
Support for Charity Sector
With the coronavirus proving to be an unsettling time for all types of organisations, the Government have set out their guidance and support for the charity sector. Please click here for the most up-to-date information on the support on offer to charities from HMRC.