Your privacy is important to us.
As the Coronavirus Job Retention Scheme (CJRS) begins to wind down with the end date of 31 October fast approaching, businesses that have availed of the CJRS are now starting to consider whether they are eligible to receive the Coronavirus Job Retention Bonus (CJRB). The CJRB aims to provide additional support to employers in the form of a one-off £1,000 payment for each furloughed employee retained in employment from the end of the scheme until at least the end of January 2021.
Further information has been released by the government outlining how the CJRB will work in practice. The key elements of the CJRB are as follows:
From February 2021, employers will be able to claim the CJRB through GOV.UK. More detail about this process will be published in guidance by the end of September 2020. The £1,000 bonus will be taxable, so employers must include the whole amount as income when calculating taxable profits for Corporation Tax or Self-Assessment.
What should employers do now?
Employers should ensure that their employee records are up-to-date, including accurately reporting their employee’s details and wages on the Full Payment Submission (FPS) through the Real-Time Information (RTI) reporting system. Employers should also make sure all of their Coronavirus Job Retention Scheme claims have been accurately submitted and any necessary amendments have been notified to HMRC.
This article has been produced for general information purposes and further advice should be sought from a professional advisor. Please contact our Employment team at Cleaver Fulton Rankin for further advice or information.