Coronavirus Job Retention Scheme – flexible furloughing starts from today
From today, 1 July, employers in your constituency can claim a more flexible grant for any employee they have previously received a Coronavirus Job Retention Scheme (CJRS) grant for, and who now returns to work on reduced hours. They can also continue to claim for employees who stay fully furloughed.
Guidance on eligibility and how to claim for flexibly furloughed employees is now available.
What employers in your constituency need to do next:
- claim for periods ending on or before 30 June, by 31 July – this is the last date they can make those claims
- agree the hours and shift patterns that they want their employees to work from 1 July, if changing
- pay their employees’ wages for the time they’re in work and apply for a job retention scheme grant to cover the remainder of their usual hours for which they are still furloughed.
Live webinars offering more support on changes to the scheme and how they impact employers are available to book online.
We’d be grateful if employers don’t call us for more information. All details are on GOV.UK and our webinars. This will leave our phone lines open for those who need them most.
Employers claiming for employees under TUPE
From today (1 July) employers who have already submitted manual claims for furloughed employees acquired via eligible TUPE transfer can now submit any further CJRS claims online.
Employers that acquired any additional employees eligible for furlough via TUPE since their last claim will still need to contact HMRC for this first claim. Any subsequent claims for these employees can then be submitted online.
Additional employees that are transferred under TUPE and were furloughed for at least three consecutive weeks by their previous employer between 1 March 2020 and 30 June, remain eligible for a CJRS grant from 1 July onwards.
The guidance at ‘Check which employees you can put on furlough to use the Coronavirus Job Retention Scheme’ on GOV.UK sets out the detailed rules for claiming for employees under TUPE.
Self Employment Income Support Scheme
The government has extended the Self Employment Income Support Scheme (SEISS), so eligible constituents will be able to claim a second, and final, taxable grant when the scheme reopens for applications in August. The eligibility criteria for the second grant will be the same as for the first grant and individuals must confirm that their business has been adversely affected by Coronavirus on or after 14 July 2020.
Eligible constituents must apply for the second grant – they will not automatically receive it because they claimed the first grant as they will need to confirm that their business continues to be, or has been newly, adversely affected by Coronavirus on or after 14 July. Individuals do not need to have claimed the first grant to be eligible for the second grant – e.g. their business may have only been adversely affected by Coronavirus after 14 July.
The second taxable grant will be worth 70 per cent of an individual’s average monthly trading profits. Like the first SEISS grant, it will be paid out in a single instalment based on three months’ worth of profit and capped at £6,570 in total. These grants do not relate to a period of months or seek to compensate or replace lost income over a particular time frame.
Individuals will need to apply online at GOV.UK, confirm they have been affected by Coronavirus and enter their bank details to receive the claim.
The government has also amended the eligibility criteria for SEISS so those that were previously not eligible because they had or adopted a child, or due to their service as a military reservist, may now be able to claim. Newly eligible individuals will be able to claim the first or second grant, or both grants, when applications for the second SEISS grant open in August. These amendments do not affect those that are already eligible for SEISS.
Tomorrow, we will be updating the guidance available on GOV.UK, to provide more detail about these changes, and we will continue to update the SEISS guidance in due course.
Meanwhile, please encourage eligible constituents to apply for the first SEISS grant on GOV.UK by 13 July.
Child Benefit – update for parents with newborn babies
Parents of newborns have been able to claim Child Benefit despite the outbreak of Coronavirus. As General Register Offices reopen, HMRC wants to remind parents they can still claim Child Benefit without having to register their child’s birth first to ensure that they do not miss out.
First time parents will need to fill in a CH2 Child Benefit Claims form and send it to the Child Benefit Office. If they haven’t registered the birth because of Coronavirus, they should add a note with their claim to let us know.
If they already claim Child Benefit, constituents can complete the form or add their newborn’s details over the phone on 0300 200 3100. They will need their National Insurance number or Child Benefit number.
Child Benefit claims can be backdated by up to 3 months so parents should not delay claiming.
Full Time Non-Advanced Education
For children aged over 16 who are staying on in full-time non-advanced education from September, such as Sixth Form colleges, or training, HMRC is urging parents to inform us so that Child Benefit payments and Child Tax Credit payments don’t stop. Child Benefit provides £21.05 a week for the eldest or only child in a family and £13.95 a week for each additional child, up to the age of 19 for teens on approved courses or training.
Claimants can tell HMRC by using or creating an online Personal Tax Account at www.gov.uk/personal-tax-account or by returning the Full Time Non-Advanced Education form HMRC recently sent to eligible households.
Claimants with a child starting full-time non-advanced education will only continue to receive Child Benefit and Child Tax Credit if they tell HMRC before August 31. If they do not meet the deadline, payments will automatically stop after this date
As childcare providers and schools reopen, HMRC is reminding parents and carers of the financial support that is available through Tax-Free Childcare.
This financial support will help many working parents respond to the challenges they are facing during the Coronavirus pandemic, by giving them the flexibility to return to work when they are able to.
HMRC is encouraging parents not to miss out on the support available and to be aware of changes to eligibility.
For parents whose finances have changed or who have not applied for help with childcare before, there are a range of government schemes available and information about these can be found on the Childcare Choiceswebsite.
For those using these schemes, the government has announced that any working parents already using or applying for 30 hours free childcare or Tax-Free Childcare will temporarily remain eligible, even if they fall below the minimum income requirement due to Coronavirus
HMRC is reminding tax credits customers that they need to tell us about any changes in their circumstances or income by 31 July.
While most tax credit awards will be renewed automatically in 2020, the self-employed, those in receipt of taxable social security benefit, or those who have other income may need to review their total household income and tell HMRC if the income held is incorrect. Customers who need to respond to the Annual Review pack will need to do so by 31 July – or their payments will stop.
Renewing tax credits online is quick and easy. Customers can log into GOV.UK to check on the progress of their renewal.
Customers can get help and information on renewing tax credits:
- On GOV.UK
- Using our webchat service, by going to GOV.UK and searching ‘tax credits general enquiries’
- By tweeting @HMRCcustomers or posting on our Facebook page with general queries
- By using the HMRC App, available via your phone’s App store
- Using the online forum (click on Tax Credits and You)
- By calling the tax credits helpline: 0345 300 3900
Continued support for SMEs: Statutory Sick Pay Rebate Scheme
The UK Government’s Statutory Sick Pay Rebate Scheme continues to provide financial support to small and medium-sized employers.
Employers in your constituency with fewer than 250 employees, who have paid Statutory Sick Pay (SSP) to employees for coronavirus-related sickness absence could be eligible for support. They can also speak to their tax agent about making claims on their behalf.
The repayment will cover up to two weeks of the applicable rate of SSP. More information on eligibility and how to make a claim is available on GOV.UK.
We are aware of an increase in scam emails, calls and texts. Eligible customers will be invited to claim through GOV.UK – it is the only service they can use. If someone gets in touch with your constituents claiming to be from HMRC, saying that financial help can be claimed or that a tax refund is owed, and asks them to click on a link or to give information such as their name, credit card or bank details, they should not respond. It is a scam.
Suspicious emails claiming to be from HMRC should reported to us by sending them to phishing@hmrc.gov.uk. Texts should be sent to 60599
