Immediate action is required by businesses if they are claim access to furlough funding, say leading tax and advisory firm Blick Rothenberg
Andrew Sanford, a partner at the firm said:” Firms that wish to apply for new furlough funding need to get their affairs in order in the next two days or they will miss out on vital funds”
He added: “The government today provided further guidance on the New Furlough which started on the first of November. It is essential that businesses follow the criteria to ensure they have valid claims.”
Andrew said: “The new scheme started on 1 November and, as for the previous schemes, any changes to employment terms should be agreed in advance with employees. However, as long as both employee and employer have agreed furlough terms by 13 November, then claims can start from 1 November, providing other conditions are met.”
He added: “It is therefore vital that such documentation is prepared in the next two days. For businesses who are closed, getting hold of employees to confirm furlough terms in writing may be very problematic.
Andrew said: “The Government has also confirmed that all furlough claims from November must be submitted within 14 days after the end of the Calendar month. For October, firms had 31 days and all earlier claims must be submitted by 30 November. Firms must therefore act promptly to meet this deadline, or risk losing money.”
He added: More positively, claims can be made for employees who were employed on 30 October 2020, as long as a PAYE RTI submission to HMRC was made between the 20 March 2020 and 30 October 2020, notifying a payment of earnings for that employee. Previously, anyone who was not on furlough by 30 June 2020, could not claim furlough in subsequent months.
“ The message is clear. Businesses must act now in order to qualify for furlough.”