Category Archives: Coronavirus News

Repayments of Corporation Tax: Updated Guidance

HMRC have issued an update to their guidance on repayments of corporation tax. They have now acknowledged that, in exceptional circumstances, claims for repayments of corporation tax for prior periods based on anticipated losses before the current accounting period has concluded will be considered. Angela Clegg, technical manager in the ICAEW tax faculty, which had raised […]

Eat Out to Help Out scheme: Call for Extension

Small firms have urged the government to extend its Eat Out to Help Out scheme. Extention will continue helping thousands of small food and drink businesses across the UK. The Chancellor Rishi Sunak announced the scheme in the Summer Economic Update. So, the government started it at the beginning of August. It is going to […]

HMRC to start off compliance activity on CJRS grants

HMRC has started off its compliance activity on Coronavirus Job Retention Scheme (CJRS) grants. They are writing letters to 3,000 employers who may need to repay some or all of their claim. HMRC has been already evaluating Coronavirus Job Retention Scheme (CJRS) applications critically. Therefore, they are now starting the next phase of its compliance […]

Small business grants update

The Federation of Small Businesses (FSB) has urged local councils in England to ensure the speedy issuance of vital small business grants to firms that require them. The business group found that councils across England have distributed on average 92 per cent of the funds. However, only 23% of councils across England have issued 100% […]

Overclaimed grants and penalties: CJRS Covid-19 update

The Institute of Chartered Accountants in England and Wales (ICAEW) has warned taxpayers that they have 90 days to notify HMRC of overclaimed coronavirus (COVID-19) grants. The 90-day period to inform HMRC of any overclaimed amounts is now law. Finance Act 2020 recently received Royal Assent, which confirms the taxability of the Coronavirus Job Retention […]

Tax-Free Childcare (TFC) scheme extended

The government has further extended Tax-Free Childcare (TFC) scheme to 31 October 2020. The scheme applies to the parents who may have fallen below the minimum income requirement as a result of the coronavirus (COVID-19) pandemic. The Government’s Tax-Free Childcare scheme offers up to £2,000 a year per child towards childcare costs. However, only a […]

Future Fund Scheme expanded for start-ups

The government has expanded its Future Fund scheme for start-ups businesses. The reforms in scheme aim to support start-up businesses not eligible for other Coronavirus (Covid-19) rescue measures. The start-ups that have previously taken part in accelerator programmes can now easily access the Future Fund Scheme. However early-stage firms might continue to struggle. This means […]

Overseas VAT claims delayed: Covid-19

The tax authority has stated that VAT claims submitted under the Overseas Refund Scheme will be subject to delays. HMRC has admitted that changes to its working practices, as a result of the pandemic, have resulted in delays in processing and refunding VAT claims. The delays relate to payments due to overseas businesses that are not […]

Mortgage Payment Deferrals: Lenders grant 1.9 million

  The UK’s mortgage lenders have granted 1.9 million payment deferrals to customers impacted by the coronavirus (COVID-19). According to the latest figures from the UK Finance One in six mortgages is now subject to a payment deferral. For the average mortgage holder, that payment amounts to £755 per month of suspended payments. Hence, the […]

SEISS is taxable: LITRG alerts self-employed

LITRG has alerted self-employed individuals that the government’s coronavirus (COVID-19) Self-employment Income Support Scheme (SEISS) is taxable. The Low Incomes Tax Reform Group (LITRG) is concerned that many may wrongly assume that the SEISS funds are exempt from tax, particularly as they are termed ‘grants’ by the government. It is warning that many people may […]