I picked up on another couple of bits of information today, which I have outlined below in relation to VAT and Limited Company Year End filing requirements.
There was also a bill proposed to Parliament on Monday to provide a more comprehensive benefit scheme for self employed sole traders and freelancers. It is proposed to reimburse upto 80% of your NET monthly income. This will be assessed by taking an average of the last 3 years tax calculations (SA302s).
It is suggested that self employed individuals would be able to claim back up to a maximum value of £2,917 per month. In order to qualify for the full value of this reimbursement, your net monthly earnings would need to be £3,646 or above. Bear in mind, that this is based on your Net earnings, so this is the income you are left with, after you have deducted all expenses and reliefs.
If successful, this benefit would be in addition to the current Coronavirus Job Retention scheme, which promises 80% of employees wages, as it stands there has been no solid confirmation of when the application portal for this will go live, but there have been suggestions that this could be mid/end of April. We will let you know as soon as we have any more information on this.
VAT Information & Year End Filing Deadlines
- HMRC have said that although they are relaxing the requirement to pay your next VAT return, for any payments falling due before the 30th June 2020, they have also detailed that if you have signed up to the Direct Debit scheme with HMRC that you should cancel your Direct Debit with your bank as this is an automated system and they will not be able to stop the collection of the payment this way.
- Companies House has also put in place an extension service, granting any businesses that have been affected by COVID 19 an immediate and automatic 3 month extension on filing their accounts. It has not been announced if HMRC will also allow you to delay the submission of your Corporation Tax return which would be due at the same time, I would imagine that they would have a relaxed approach to this, but you should always contact them to get confirmation of this, to prevent a penalty.
- Link to apply for an extension of your Accounts - https://beta.companieshouse.gov.uk/extensions