Tax Tips

As we sit here today, nearly 5 months on from going into lockdown, it is easy to underestimate the sheer size and scale of the unprecedented measures put in place by the government to support businesses, large and small, and shield them from the worst impact of the COVID-19 lockdown. Widely praised, the furlough scheme alone could cost £69 billion by the time it comes to an end. To put that into context, it is estimated the amount spent on bailing out the banks in 2009 was around £137 billion and most of this has now been repaid. Furlough costs won’t be.

Under the new Coronavirus Job Retention scheme, government grants will cover 80% of the salary of PAYE employees who would otherwise have been laid off during this crisis. The scheme, open to any employer in the country, will cover the cost of wages backdated to 1 March 2020 and will be open before the end of April. It will continue for at least three months, and can include workers who were in employment on 28 February.

To help protect our staff and clients, we are regularly reviewing our plans to deal with the impact of Coronavirus following the latest Government and Public Health England guidance. We will take steps to minimise the impact on our business, while also enabling us to continue to provide the best possible service to our clients.

It seems somewhat appropriate, in the month of Terry Jones’ passing, to reference this quote from Monty Python & The Holy Grail. At the time, his character – the pompous knight Sir Belvedere - was about to use the scales to oversee a witch trial. They might now come in handy again, in determining whether the writing is on the wall for Entrepreneurs Relief.

From streamlining your processes, to accessing real-time data, members of DFK UK & Ireland explain the benefits of cloud accounting.