We’re 8 days into the new year, and quite a lot has happened already! Here’s some interesting, and important, things you may want to know this week.
New Government Support
As we enter lockdown 3 Rishi Sunak, again, announced a new support package for businesses of £4.6bn.
The headlines were:
- Retail, hospitality and leisure businesses, one-off grants worth £9,000 per property
- £594m discretionary fund for local authorities, meaning potential £3,000 grants for companies
What does that actually mean for businesses?
- £4,000 for businesses with a rateable value of less than £15,000
- £6,000 for businesses with a rateable value between £15,000 and £51,000
- £9,000 for businesses with a rateable value of more than £51,000
This is similar to the Small Business Grants available during lockdown 1, where the amount businesses could receive was based on the rateable value of the buildings in which they operate.
So, hopefully, everyone that this applies to will know that value now, and will be able to claim this from their local authority, once they start distributing the cash.
As well as these new grants, some of the older measures remain in effect.
The furlough scheme (Coronavirus Job Retention Scheme) is still going strong and, in December, the Chancellor extended the scheme to the end of April 2021.
The Self Employed Income Support Scheme (SEISS), the one for sole traders and partnerships that had submitted a tax return for 2018/19 tax year and before, will enter the 4th grant stage in February.
At the moment the 3rd grant is still available to be claimed until 29th January 2021, for the period 1st November 2020 to 29th January 2021.
The 4th grant covers the period after the 3rd grant to April 2021. We don’t yet know the percentage of profit that people will be able to claim, but watch this space and we’ll keep you informed.
In other news, I’d be remiss if I didn’t mention, as it’s January, that self assessments are due by the end of this month. That’s the filing and the payment of 2019/20 tax and national insurance amounts, as well as payments on account for 2020/21.
In light of the difficulties 2020 saw, and the new lockdown we find ourselves in, some people may be struggling to pay their tax bills this month. HMRC are operating their Time to Pay helpline to support both businesses and self employed people with the payment of their tax bills (that’s for all the different types of tax):
- Speak to them on 0800 024 1222
- Or webchat with them HERE
The recent news regarding vaccine rollouts did see the economy pick up better than anticipated in 2020. It’s still a bit bumpy, with lockdown 3, but 2021 starts stronger than predicted.
Brexit actually happened! 31st December 2020 saw Britain leaving the EU, which means different rules for many businesses as the year begins, especially those importing and exporting – make sure you’re compliant!