Coronavirus Job Retention Scheme: key dates
With the scheme due to wind down over the next few months, there are a number of key dates and actions you need to be aware of:
- 31 July 2020: the deadline to submit your CJRS claim for periods ending on or before 30 June 2020. You need to have made a claim on or before 31 July to be able to claim for future months.
- 1 August 2020: from this date the scheme will no longer fund employers’ National Insurance and pensions contributions for furloughed employees.
- 1 September 2020: you will be required to start contributing to the wages of your furloughed employees. Grants will be for 70% of wages but furloughed employees are entitled to receive at least 80% of their wage, subject to the £2,500 cap.
- 1 October 2020: grants will be for 60% of usual wages in October but furloughed employees will continue to be entitled to receive at least 80% of their salary.
- 31 October 2020: the scheme is due to close.
Making a claim
You can either make a claim yourself through the Government Gateway or if you use an agent who is authorised to do PAYE online, they can claim on your behalf. You can check which employees you can put on furlough and calculate how much you can claim on the Gov.uk website.
HMRC have reiterated that it’s important to provide the correct data they need to process your claim, otherwise your payment may be delayed.
For those businesses that are claiming for 100 or more furloughed employees, HMRC have provided a template you can download to submit your details.
If you think you have unintentionally claimed too much, you can let HMRC know as part of your next online claim. If you have made an error and do not plan to submit further claims, or you have claimed less than you are entitled, you can contact HMRC directly to resolve the issue.
HMRC are contacting a number of employers to check that they have claimed the correct amount and are prosecuting those who are fraudulently using the scheme.
Job Retention Bonus (JRB)
The JRB will provide employers with a bonus of £1,000 per employee for each employee who returns to work from furlough and who is paid at least £520 per month on average between November and end of January 2021.
Payments will be made from February 2021, although the cost to the Government is unlikely to reach the £9bn mentioned in the Chancellor’s statement as not all employees will return to work from furlough. Further details about the JRB will be announced by the end of July.
For more information on the Coronavirus Job Retention Scheme, get in touch with a member of our team on 01903 234094.