Chancellor Rishi Sunak has set out a package of measures to support public services, people and businesses through the period of disruption caused by COVID-19.
Measures announced to support businesses including the significant package of measures announced on 17 March 2020:
- grant funding of £10,000 for small firms in receipt of Small Business Rate Relief (SBRR) and Rural Rates Relief
- grant funding of £25,000 for certain businesses in the retail, hospitality and leisure sectors
- a 12-month business rates holiday for businesses in the retail, hospitality and leisure sectors
- a temporary Coronavirus Business Interruption Loan Scheme to support businesses in accessing bank lending and overdrafts
- extended access to Statutory Sick Pay (SSP), with reliefs available to SMEs
- expanded access to HMRC’s Time to Pay scheme.
Find out more on these measures and the impact on your business.
The Chancellor Rishi Sunak presented his first Budget on Wednesday 11 March 2020. In his speech he stated ‘we are at the beginning of a new era in this country. We have the freedom and the resources to decide our own future’.
Our summary focuses on the tax measures which may affect you, your family and your business. To help you decipher what was said we have included our own comments. If you have any questions please contact us for advice.
Our full report on the Spring Budget can be found here.
With the end of the tax year looming there is still time to save tax for 2019/20.
Make full use of your ISA allowance – ISAs can offer a useful tax free way to save, whether this is for your children’s future, a first home or another purpose. Individuals may invest up to a limit of £20,000 for the 2019/20 tax year. Savers have until 5 April 2020 to make their 2019/20 ISA investment.
Pensions provide significant planning opportunities. The annual allowance (AA) which is the maximum you can contribute to a pension and still get tax relief, is generally £40,000. Exceeding this can result in an AA clawback charge. However, in many circumstances individuals may have unused AA from the three previous tax years which can be used in 2019/20, providing the means of making a significant contribution without incurring a charge. Please contact us for advice specific to your circumstances.
These are only two suggestions that you may wish to consider as part of your tax planning strategy. Contact us for more information.
Internet links: GOV.UK ISAs Pensions Advisory Service AA
The government has pledged thousands of pounds in additional financial support for victims of the recent floods.
The Government has announced that businesses in England affected by the floods will be eligible for 100% business rates relief for at least three months. It also stated that small and medium-sized enterprises (SMEs) that have experienced severe, uninsurable losses will be able to claim up to £2,500 from the Business Recovery Grant.
The government also announced that businesses affected by flooding will be able to apply for up to £5,000 to help make them more resilient to future flooding.
Commenting on the funding, Robert Jenrick, Secretary of State for Housing, Communities and Local Government, said:
‘Storm Dennis and Ciara have severely impacted a large number of households and businesses, and I recognise how destabilising this can be.
‘This extra support, including new funding, will help people in the worst hit areas to recover and get back on their feet as soon as possible.’
The announcement only applies to businesses in England. Flooding is a devolved issue for Wales, Scotland and Northern Ireland.
Internet link: GOV.UK news