As Coronavirus continues to impact the world, this is a very worrying time for businesses. With many facing reduced hours, staff working from home or even complete closure, many are worrying about how they’re going to stay afloat over the next few months.
Right now, our team is working very hard to do everything we can to help businesses and those who are self-employed. HMRC is very understanding that we’re all likely to experience hardship over the coming months. We therefore urge you to try not to panic.
Below we share some of the many ways you can help to lessen the impact that COVID-19 may have on your business. We’ve also put together some advice and websites you can use to keep you and your staff safe during the outbreak.
Submit your tax return early
When you complete your self-assessment tax return, you’re responsible for making two payments. The first is due by midnight on January 31 and there is a second payment on account due in July. This is based on your previous year’s accounts and acts as a payment towards the following year’s tax return.
If your business is already experiencing a downturn, please try to submit your tax return as soon as possible after 5 April 2020, because this could reduce your payment on account in July. For more information about this or if you would like PKB to complete your tax return for you, please don’t hesitate to get in touch.
Visit gov.uk to find out what relief you’re entitled to
HMRC and the government are working hard to do what they can to help support UK businesses. In the March Budget, the Chancellor, Rishi Sunak even announced a number of measures which are being introduced in a bid to provide support for public services, individuals and businesses so that the impact of COVID-19 is minimised.
Among those include:
- A new Coronavirus Business Interruption Scheme. This will enable businesses to apply for a loan of up to £5 million, with the government covering up to 80% of any losses with no fees.
- For businesses with fewer than 250 employees, the cost of providing 14 days of Statutory Sick Pay per employee will be refunded by the government in full.
- There will be a £10,000 cash grant to small businesses. You may also be eligible for small business rate relief (SBBR) or rural rate relief.
- There will be a business rates holiday for retail, hospitality and leisure businesses in England for the 2020 to 2021 tax year.
- A £25,000 grant will be available for retail, hospitality and leisure businesses operating from smaller premises.
- A dedicated helpline has been set up to help businesses and those who are self-employed in financial distress. Please call 0800 0159 559 if you need support with your tax affairs.
For more information about Coronavirus guidance for employees, employers and businesses, please visit the gov.uk website.
If you’re concerned about the impact that Coronavirus could have on your business, please don’t hesitate to get in touch with us.
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