WHAT GOVERNMENT HELP IS AVAILABLE TO BUSINESSES DUE TO THE CORONAVIRUS?

The Government has made many announcements to assist businesses through the present COVID-19 situation.

Deferment of VAT payments

• VAT payments can be deferred for up to 3 months.
• All UK businesses will be eligible and the scheme will run between 20 March 2020 and 30 June 2020.
• There is no need to apply for this scheme.
• Businesses will be given until the end of 2020/2021 to settle outstanding VAT liabilities that have accumulated as a result of the 3-month deferral.

Time to Pay

• Any business that pays tax to the UK Government and has outstanding tax liabilities will be able to apply for their case to be reviewed by HMRC with a view to arranging a bespoke “time to pay” agreement
• This applies to all business including the self-employed.
• HMRC has set up a dedicated helpline: 08000159559

Business Rates

• HMRC will introduce a business rates holiday for retail, hospitality and leisure businesses in England for the 2020/2021 tax year.
• No action is required and this will apply to your next council tax bill in April 2020 meaning that there would be no rates payable for those businesses for 2020/2021.

Cash Grants

• Cash grants are only currently available to businesses who pay rates.
• The retail, hospitality and leisure sectors in England can also apply for a cash grant of up to £25,000 per property.
• For rateable values of under £15,000, they will receive £10,000. Between £15,001 and £51,000, they will receive a grant of £25,000.
• No action is required as local authorities will write to eligible businesses.
• Smaller businesses within the Small Business Rate Relief or Rural Rate Relief will be able to apply for a one-off grant of £10,000.

Business Interruption Loan Scheme

• The British Business Bank will launch a scheme from the w/c 23 March 2020 to support businesses with a turnover of no more than £45 million per year.
• The government will provide lenders with a guarantee of 80% on each loan.
• This applies to loans of up to £5m.
• No interest will be charged for the first 12 months.

Companies House

• If a company’s accounts are unlikely to be filed on time owing to being affected by Coronavirus, then an application can be made to extend the period allowed for filing. Here is a link.
• If an application is not made and there is a late filing, then the normal penalty regime would apply.
• It is important to make the application ahead of the deadline.

If you need assistance, then please call us on 0113 286 4486