Chancellor Rishi Sunak has announced new business support measures today including a new Job Support Scheme and Self-Employed Income Support Scheme.
Sunak also announced:
Pay As You Grow
Any business that took government guaranteed loans during the crisis can extend the term from six to ten years.
For those businesses ‘in real trouble’ they will be able to suspend payments or move to interest only payments for six months.
Credit ratings will not be affected by any of the above.
Coronavirus Business Interruption loans will also be extended for up to ten years and a new loan scheme will be released in January
VAT
Businesses who deferred their VAT liabilities will no longer have to pay a lump sum at the end of March 2021 to clear the outstanding liability.
They will have the option of splitting the payment into smaller, interest free payments over the course of 11 months.
The VAT reduction from 20% to 5% for the hospitality sector has been extended to 31 March 2021
Self Assessment Tax Payments
Individuals with income tax liabilities of up to £30,000 will be able to pay their January 2021 liability over 12 months. However, this must be agreed with HM Revenue and Customs and a payment plan set up.
For more information please contact your usual A C Mole contact or speak to
Amanda Gunter in our
Tax Team based in our
Taunton office