The Job Support Scheme (JSS) will open on 1 November and run for six months, until 30 April 2021. The government has said it will review the terms of the scheme in January 2021.
There are two variations to JSS – JSS Open and JSS Closed.
JSS Open will provide support to businesses that are open where employees are working shorter hours due to reduced demand.
Employees will need to work at least 20% of their usual hours. Employers will continue to pay employees for the hours they work, and the UK government will pay a contribution of 61.67% of the usual pay for hours not worked, up to a maximum of £1,541.75 per month. Employers will pay 5% of the usual pay for hours not worked, up to a maximum of £125 per month, and can top this up further if they choose. This means employees should receive at least two thirds of their usual pay for hours not worked.
The caps are reduced according to the proportion of hours not worked. Further guidance on this will be available on GOV.UK shortly.
Employers will need to cover all employer National Insurance and pension contributions.
JSS Closed will provide support to businesses whose premises are legally required to close as a direct result of coronavirus restrictions set by one of the four governments of the UK.
This includes premises restricted to delivery or collection-only services from their premises, and those restricted to providing food and/or drinks outdoors.
For JSS Closed, the UK government will fund two thirds of employees’ usual wages for time not worked, up to a maximum of £2,083.33 per month. Employers will not be required to contribute, but they can top up the government’s contribution if they choose to. Employers will still need to cover all employer National Insurance and pension contributions.
You can make your first JSS claim in arrears from 8 December, for pay periods ending and paid in November.
Employees will be able to check if their employer has made a Job Support Scheme claim on their behalf through their online Personal Tax Account. Employees can set up a Personal Tax Account on GOV.UK, by searching ‘Personal Tax Account: sign in or set up’.
The UK government has increased the support available under the SEISS Grant Extension – doubling the value of the first grant.
Initially, there were to be two grants covering three months each with the first being equal to 20% of average trading
The value of the first SEISS Grant Extension, covering the period November 2020 to the end of January 2021, will double. This means that the UK government will provide an initial SEISS grant based on 40% of three months’ average trading profits, paid out in a single instalment, and capped at £3,750 in total.
To ensure that support will be targeted to those who most need it, SEISS Grant Extension will be available to self-employed individuals who temporarily cannot trade as well as those continuing to trade and facing reduced demand due to COVID-19.
HMRC will provide full details about claiming and applications in guidance on GOV.UK in mid-November.
There is no information as to what the level of support for the period from February through to April will be just yet.
Further funding will be allocated to local authorities to allow businesses not legally required to close, in particular, those in the leisure, hospitality and accommodation sectors to access support.
The way the money will be allocated will be by looking at the number of hospitality, hotel, B&B, and leisure businesses in the area, then the rateable value of the business.
The maximum funding will be £2,100 per month.
It will then be up to the local authority to determine which businesses can access support, and how much they will receive. Businesses should therefore refer to their own authority website, rather than GOV.UK. A new fact sheet is available here.
You will be able to claim a one-off payment of £1,000 for every eligible employee you furloughed and claimed for through the Coronavirus Job Retention Scheme (CJRS), kept continuously employed until at least 31 January 2021 and who meets the other eligibility criteria. Employers do not have to pay this money to their employee.
You will be able to claim the bonus between 15 February and 31 March. To do this you must have submitted PAYE information for the period up to 5 February 2021 on time.
Further information on eligibility and when you can claim can be found on GOV.UK by searching ‘Job Retention Bonus Guidance’ and further guidance on the claim process will be published by the end of January 2021.
Please note that this scheme closes on 31 October and employers will need to make any final claims on or before 30 November. Employers will not be able to submit or add to any claims after 30 November.
From 1 October, the UK government has paid employers 60% of usual wages up to a cap of £1,875 per month for the hours furloughed employees do not work.
You or your clients will continue to pay your furloughed employees at least 80% of their usual wages for the hours they do not work, up to a cap of £2,500 per month. Employers need to fund the difference between this and the CJRS grant themselves.
The caps are proportional to the hours not worked. For example, if an employee is furloughed for half their usual hours in October, employers are entitled to claim 60% of their usual wages for the hours they do not work, up to £937.50 (half of £1,875 cap). Employers must still pay their employee at least 80% of their usual wages for the hours they don’t work, so for someone only working half their usual hours they’d need to pay them up to £1,250 (half of £2,500 cap), funding the remaining portion themselves. For help with calculations, search ‘Calculate how much you can claim using the Coronavirus Job Retention Scheme’ on GOV.UK.
Employers will also continue to pay employer National Insurance and pension contributions from their own funds.
Employers must keep the records that support the amount of CJRS grant they have claimed in case HMRC needs to check it. Employers can now view, print or download copies of their previously submitted claims by logging onto their CJRS service on GOV.UK.
Claimed Too Much In Error?
It’s important that employers check each claim is accurate before submitting it, and HMRC would also recommend checking previous claims and repaying any amount over-claimed so you will not have to pay interest and penalties if HMRC subsequently discover you have claimed too much.
If you have claimed too much CJRS grant and have not already repaid it, you must notify HMRC and repay the money by the latest of whichever date applies below:
90 days from receiving the CJRS money you’re not entitled to
90 days from the point circumstances changed so that you were no longer entitled to keep the CJRS grant.
If you or your client do not do this, you may have to pay interest and a penalty as well as repaying the excess CJRS grant. For more information on interest search ‘Interest rates for late and early payments’ on GOV.UK.
How To Let HMRC Know If You Have Claimed Too Much
You can let HMRC know as part of your next online claim without needing to call them. If you claimed too much but do not plan to submit further claims, you can let HMRC know and make a repayment online through their card payment service or by bank transfer – go to ‘Pay Coronavirus Job Retention Scheme grants back’ on GOV.UK.
Guidance and live webinars offering more support on changes to CJRS, JSS and JRB and how they impact you are available to book online – go to GOV.UK and search ‘help and support if your business is affected by coronavirus’.
HMRC phone lines and webchat remain very busy, so the quickest way to find the support you need is on GOV.UK. This will leave HMRC phone lines and webchat service open for those who need them most.
The government granted drivers a six-month extension to their MOT certificates in March.
Mandatory tests started again on 1 August. Those with MOTs due on or after this date need to book their MOT as usual.
If your MOT was due during the period 30 March to 31 July the six-month extension remains in place, e.g. an MOT due on 15 May can be done up until 15 November, while one due on 30 July 2020 has until 30 January 2021.
Failure to get an MOT in time can result in a fine up to £1,000.
If your vehicle is found to be dangerous this can rise to as much as £2,500 and three points.