Based on our experience, reviewing the news and Government statements, we are here to help you to find the guidance you need and understand what it means to you.
At this time where we are all subject to information overload and things are changing rapidly we aim to help you cut through to find the key stories. Here is a summary of recent developments.
VAT Deferral this Quarter
Whilst it is clear that no VAT payments will be due until July, returns will still need to be made. Ensure you cancel any direct debits now with your bank. The official advice states that HMRC may still take payment otherwise.
If you have a direct debit setup for VAT… “Customers who normally pay by direct debit should cancel their direct debit with their bank… Please do so in sufficient time so that HMRC do not attempt to automatically collect.”— Davis Grant (@davisgrantltd) March 24, 2020
VAT deferred this quarter. https://t.co/sZbWCF4gka
Income Tax Payment on Account (July)
Our understanding until today was that this deferral applied only to the self-employed. The government guidance has been updated to clarify that all July payments are deferred until January.
You are eligible if you are due to pay your second self-assessment payment on account on 31 July. You do not need to be self-employed to be eligible for the deferment.gov.uk
Business Rates holiday extended
The government has announced that some of the exclusions for the announced 100% relief on business rates have been removed, so that retail, leisure, and hospitality properties that have closed as a result of the covid-19 restriction measures will now be eligible.
They include estate agencies, lettings businesses and bingo halls.
Banks start offering government backed loans
The Coronavirus Business Interruption Loan Scheme (CBILS) is live and loans are being granted. Speak to us about your cashflow, preparing the necessary documents and what funds you may require.
Watch out for Scammers
It has been widely reported that criminals are attempting to exploit the uncertain times by masquerading as officials or services helping you to access the various government schemes. Indeed, members of our team have received some messages today pretending to be agencies with offers of help. If in doubt, ignore messages and check via trusted sources.
There was a 400% increase in coronavirus-related scams in March, with victim losses totalling almost £970,000.— Action Fraud (@actionfrauduk) March 24, 2020
⚠️ Here are some examples of Coronavirus-related phishing messages we’ve had reported to us. pic.twitter.com/mmizvplLar
Request 3-month mortgage holiday
If you or members of your team are likely to need extra cash in the coming weeks don’t forget to avail yourself of a mortgage holiday by speaking to your provider to outline your financial difficulties.
HMRC Time to Pay Arrangements
Whilst arrangements are made on a case-by-case basis and depend on an honest appraisal of what you can afford. We are hearing that HMRC are being forthcoming with 3 month deferrals for payments of taxes, if you have a Corporation Tax or PAYE payment coming up this may be extremely useful.
Call the dedicated helpline on 0800 0159 559 as soon as you identify you may have an issue.
We will be in touch with specific advice and guidance as things develop. Our entire team is available as usual to help you with specific advice.