cipd coronavirus webinar series€¦ · head of national insurance contributions & nino policy,...
TRANSCRIPT
CIPD Coronavirus webinar series
HMRC coronavirus advice for SMEs
23 June 2020
Welcome
Katie Jacobs, Senior Stakeholder Lead, CIPD
Katie Jacobs
Senior Stakeholder
Lead, CIPD
Gareth Cooper
Head of National
Insurance
Contributions &
NINO Policy,
HMRC
Today’s speakers
Rebecca Hutton
Communication
Lead – CJRS,
HMRC
Guy Walton
CJRS Policy Team,
HMRC
#StrongerWithCIPD
cipd.co.uk/memberbenefits
Covid-19 resources
NEW Well-being helpline
Employment Law helpline
Communities and branches
People Management
Knowledge and content
Free learning Careers support
Professional creditability
Financial support
Coronavirus Statutory Sick Pay (SSP) Rebate Scheme
Gareth Cooper, Head of National Insurance Contributions & NINO Policy, HMRC
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Agenda• Scheme Aims
• Who can claim
• What can be claimed
• Making a claim
• Keeping records
• Q&A
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Scheme Aims
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Scheme AimsCompensate employers for costs of SSP up to a certain
threshold where an employee is:
• unable to work because they have symptoms of
coronavirus (COVID-19)
• incapable or work due to self-isolating in accordance
with official guidance
• shielding following receipt of letter from doctor or
health authority
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Who can claim?
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Who can claim?
Any employer in the UK can claim if it has 250 or fewer
employees registered for PAYE at 28 February 2020
This includes charities
The PAYE payroll must have been created and started on or
before 28 February 2020
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What can be claimed
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What can be claimed
Maximum of 2 weeks SSP for each employee, if the
employee was unable to work for a reason relating to
coronavirus (COVID-19)
Employers can claim retrospectively for any qualifying days
on or after 13 March 2020, or on or after 16 April if the
employee is shielding
The maximum number of employees that can be claimed
for is the number registered on the PAYE scheme at 28
February 2020
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SSP rates
£95.85 per week from 6 April 2020
(£94.25 per week before that date)
The funding will cover up to 2 weeks’ SSP per eligible
employee. This is in line with the recommended isolation
period of 7 to 14 days.
Employers can claim for more than one period for a
single employee, but the combined claim can’t exceed 2
weeks.
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Making a claim
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Making a claim
The online service launched 26 May
Employers will need the Government Gateway user ID and
password
An agent authorised to do PAYE online for you will be able
to claim on your behalf
Employers will need to enrol for the PAYE online service if
you didn’t register online
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Keeping records
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Keeping records
Employers will need to keep records of:
• each period of incapacity for work for which a claim
for recovery was made (start and end dates)
• the reason for incapacity for work provided by the
employee
• the qualifying days in the period of incapacity
• the National Insurance number of the employee
Extension to the Coronavirus Job Retention Scheme and flexible furloughing
Rebecca Hutton, Communication Lead – CJRS, HMRC
19
About the scheme
This temporary scheme began on 1 March 2020 and
enables employers to furlough employees on 80% of their
current salary up to £2,500.
It will continue in its current form to 30 June 2020.
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About the scheme
From 1 July, employers can:
• bring back to work employees that have previously been
furloughed for any amount of time and any shift pattern
• still claim the CJRS grant for their normal working hours
not worked
Only employees you have successfully claimed a previous
CJRS grant for will be eligible for further grants
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About the scheme
The priority has always been to support people, protect
jobs, livelihoods and businesses through this crisis.
From 1 August, the level of the grant will be reduced each
month as more employees who are able to work can return
to work.
Employers will be asked to contribute towards the cost of
furloughed employees’ wages.
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What’s changing?
The scheme will close to new entrants from 30 June 2020.
From 1 July, employers will only be able to claim for
employees who have previously been furloughed for at
least 3 consecutive weeks taking place any time between 1
March 2020 and 30 June.
The last day you could have furloughed an employee for
the first time was 10 June.
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What’s changing?
From 1 July 2020, employers can bring furloughed
employees back to work, for any amount of time and on any
shift pattern, while still being able to claim the CJRS grant for
their normal hours not worked.
Employers will still be able to claim the furlough grant for the
hours employees who are flexibly furloughed don’t work,
compared to the hours they would normally have worked in
that period.
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What’s changing?
For June and July, the government will continue to pay
80% of people’s salaries up to a cap of £2,500 a month.
From 1 August 2020, the level of grant provided through
the Job Retention Scheme will be reduced as people start
returning to work.
Employers will be asked to contribute towards the wages
costs of furloughed employees to ensure they continue to
receive at least 80% of their wages while on furlough.
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What’s changing?
The number of employees you claim for in any claim period
starting from 1 July cannot exceed the maximum number of
employees you claimed for under any claim ending by 30
June.
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Making a claim
Make a claim as you do now using the online service.
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More than 100 employees on furlough
If you’re claiming for 100 or more furloughed employees,
you’ll need to upload a file (as .xls, .xlsx, .csv or .ods)
containing the following for each employee:
• full name
• National Insurance number
• payroll number (optional)
• furlough start date
• furlough end date (if known)
• full amount claimed
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More than 100 employees on furlough
If you are flexibly furloughing any of these employees, you
will also need to include:
• hours they actually worked in the claim period
• usual hours worked in the claim period
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Claims for any days before 1 July
Claims for any days before 1 July must end on or before 30
June.
This is the case even where an employee furloughed in
June continues to be furloughed full time in July.
For example, a previously furloughed employee can start a
new furlough period on 22 June which would have to
continue for at least 3 consecutive weeks ending on or after
12 July.
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Use the calculator
This calculator can currently be used to work out what you
can claim for claim ending on or before 30 June for most
employees who are paid either regular or variable amounts
each pay period (for example, weekly or monthly).
The calculator can also be used to work out what you will
be able to claim for claim periods starting on or after 1 July.
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Exceptions
The exceptions to this are if employees:
• returned from statutory leave such as maternity leave in
the last 3 months
• get director’s payments
• have been transferred under TUPE
• have been employed at separate times throughout the
year
• receive employer pension contributions outside of an
auto-enrolment pension scheme
• have an annual pay period
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After you’ve claimed
You must keep a copy of all records for 6 years, including:
• the amount claimed and claim period for each employee
• the claim reference number for your records
• your calculations in case HMRC need more information
about your claim
• for employees you flexibly furloughed, usual hours
worked, including any calculations that were required
• for employees you flexibly furloughed, actual hours
worked
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After you’ve claimed
You must also:
• tell your employees that you have made a claim and that
they do not need to take any more action
• pay your employee their wages, if you haven’t already
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After you’ve claimed
You must pay the full amount you are claiming to your
employee with the usual PAYE deductions.
If you’re not able to do that, you’ll need to repay the money
back to HMRC.
The same applies in relation to employer NICs and pension
contributions you claim regarding your employee.
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CJRS grant - June and July
The government will pay:
• 80% of wages up to a cap of £2,500
• employer National Insurance and pension contributions
Employers are not required to pay anything.
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The government will pay 80% of wages up to
a cap of £2,500
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End of the scheme
The Coronavirus Job Retention Scheme will close on
31 October 2020.
You’ll have until 30 November to submit any claims that
start on or after 1 July 2020.
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Tax treatment of the Coronavirus
Job Retention Grant
Payments received under CJRS must be included as
income in the business’s calculation of its taxable profits for
Income Tax and Corporation Tax purposes, in accordance
with normal principles.
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Thank You
Questions
Please use the Q&A function to submit your questions
Please submit your questions for:
• Gareth Cooper, Head of National Insurance Contributions & NINO Policy, HMRC
• Rebecca Hutton, Communication Lead – CJRS Policy Team, HMRC
• Guy Walton, CJRS Policy Team, HMRC
#StrongerWithCIPD
cipd.co.uk/memberbenefits
Covid-19 resources
NEW Well-being helpline
Employment Law helpline
Communities and branches
People Management
Knowledge and content
Free learning Careers support
Professional creditability
Financial support
*New* Well-being Resources
• The resource provides:• Legal information
• Debt and financial information
• Manager consultancy and support
• Information on work and home issues
• Factsheets, advice, information and self-help tools
• Links to specialist support organisations
• A resources area with; programmes, videos, webinars, medical information and mini health checks.
• We’ve partnered with Health Assured to support members mental health and well-being
• Unlimited free 24/7 confidential telephone helpline, online portal & Health e-Hub app
Further information
NEW well-being helpline for CIPD members
CIPD coronavirus hub
CIPD community
Gov.uk/coronavirus