@TakePayments guide for self-employed Brits, freelancers and SMEs helpful advice during #COVID_19 crisis
On the 23rd March 2020, the government announced that the pubic is allowed outside for excercise close to home and away from other people, to buy food, or for essential work, such as keyworkers, everyone else is to stay at home. However, non-essential shops and small businesses have been closed to limit the spread of Covid-19 but takepayments limited have put together some helpful advice for SMEs, freelancers, and people who are self-employed who are waiting to claim back money through the government to help manage their finances during lockdown.
Ways to deal with finance issues
The Government has announced measures to help limited businesses through, including a small number of provisions self-employed people, which you can learn more about on the Covid-19: support for business page. They include:
- Deferring VAT payments for three months – VAT deferral will automatically apply from 20th March 2020 until June 2020 and means you’ve got until the end of the 2020 to 2021 tax year to pay any liabilities gathered during the deferral.
- Deferring Income Tax payments for three months – If you’re self-employed, your Income Tax Self-Assessment payments will be deferred from 31st July 2020 to 31st January 2021 – no need to worry about interest on late payments for this deferral period.
- Business rates holiday for retail, hospitality, and leisure businesses – This is for businesses in England and will last for the 2020 to 2021 tax year. The business rates calculator can show you how much you won’t be paying.
- Grants for businesses in retail, hospitality, and leisure – This is also available to businesses in England within this sector. Your local authority will write to you about it.
- Coronavirus business interruption loan scheme (CBILS) – The British Business Bank is offering loans of up to £6 million, and lasting for up to six years, to help small businesses struggling with cashflow in the wake of the pandemic. Check the CBILS page to find out if you’re eligible.
- For the self-employed, the Government is offering to cover 80% of profits, up to £2,500 per month, for the next three months (Covid-19) Self-employment Income Support Scheme.
Help for your employees
Besides handling money, you might be worrying about your employees. Fortunately, there’s government support for that, too, as well as handy advice.
- Coronavirus Job Retention Scheme – To encourage businesses not to lay staff off, this scheme gives support to pay part of workers’ salaries. If there is a case where your employee is unable to do their current role, you can use ‘furlough’ and you’ll need to tell both them and HMRC what you’re doing. This scheme was launched to reimburse up to 80% of employees’ wages up to £2,500 per month. Here’s more information about furloughed workers.
- Small to medium-sized businesses will be able to reclaim Statutory Sick Pay (SSP) for employees who catch Covid-19. It covers up to 2 weeks’ SSP for each employee who’s off work with this virus. Here are more details on who’s eligible for SSP support.
- The Government has advised that employees work from home, where possible. With this in mind, the Chartered Institute of Personnel and Development (CIPD) has published advice: Getting the most from remote working.
- CIPD also offers an employer response guide for ensuring smooth communication with your workforce and planning to protect your employees and your business.
What to do on health and safety
- The NHS page about coronavirus (Covid-19) details what symptoms to look out for, to call 111 rather than going to a surgery or hospital if you think you might have it, who classes as a high-risk person, and what it knows about the virus so far.
- ACAS’s coronavirus guide outlines safety measures in the workplace for helping employers and employees limit the spread, how to protect vulnerable workers, what to do if someone has coronavirus symptoms, and handy best-practice steps.
- If you have symptoms of coronavirus, you have to self-isolate for at least 7 days, but everyone in your household must self-isolate for 14 days. If they develop symptoms during this time then they must self-isolate for an additional 7 days, even if it goes over the 14-day period. The NHS has further advice on self-isolation.