Extended Coronavirus Job Retention Scheme – guidance updates 19th November 2020

HMRC applied further updates to the guidance for the extended CJRS on Thursday 19th November 2020:

Check if you can use the scheme

  • The sections ‘Who can claim’ and ‘Employer claim information that HMRC will make public’ have been updated. Amounts claimed will be provided to employees on their Personal Tax Account.
  • Information about if your employee becomes sick while furloughed has been amended to remove outdated information.

Work out what you can claim

  • There has been a minor amendment to clarify how to work out 80% of your employee’s average earnings between the date their employment started and the day before they are furloughed.
  • The information has been updated to include more detail about what HMRC may deem to be a reasonable excuse for missing a claim deadline. The information has also been amended to make clear that if a claim deadline falls on the weekend or a bank holiday then claims should be submitted on the next working day.
  • There have been amendments to examples 2.9 and 3.9 in ‘Examples of how to calculate your employees’ wages, National Insurance contributions and pension contributions’. Also, a new example has been added to ‘Full examples of how to calculate the amount you should claim for an employee who is flexibly furloughed’.

Claim and report earnings

  • The information has been updated to include more detail about what HMRC may deem to be a reasonable excuse for missing a claim deadline. The information has also been amended to make clear that if a claim deadline falls on the weekend or a bank holiday then claims should be submitted on the next working day.

Opinion

Most of the changes are minor updates on detail and added clarification.

It is significant that as a step to prevent furlough fraud, for CJRS claims from 1st December 2020, the amount of grant claimed for an individual will be reported to them in their Personal Tax Account.

The application deadline for claims with 14 days of the end of the calendar month is very tight, however, claims can be made more than 14 days before the intended pay date which may assist those employers who pay in arrears. However, the room for flexibility for changing circumstances appears to be restricted.

PAYadvice.UK 20/11/2020

One thought on “Extended Coronavirus Job Retention Scheme – guidance updates 19th November 2020

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s