COVID-19: Client advice and information

To help our clients with any questions they may have in this difficult time we have listed the below links in order to direct you to the best possible information.

VAT payments

The next quarter of VAT payments will be deferred, meaning businesses will not need to make VAT payments until the end of June 2020. Businesses will then have until the end of the 2020-21 tax year to settle any liabilities that have accumulated during the deferral period.
The deferral applies automatically and businesses do not need to apply for it.

Insurance claims

If your particularly type of business has been ordered by the government to close, you should be covered if you have insurance cover for both pandemics and government-ordered closure. The government and insurance industry confirmed on 17 March 2020 that advice to avoid pubs, theatres, etc., is sufficient to make a claim as long as all other terms and conditions are met. Insurance policies differ significantly, so please check the terms and conditions of your specific policy and contact your insurance provider.

The following may also help from a personal point, rather than business:

Mortgage holiday

Mortgage borrowers can apply for a three- month payment holiday from their lender. Both residential and buy-to-let mortgages are eligible for the holiday. It is important to remember that you will still owe the amounts that you don't pay as a result of the payment holiday. Interest will continue to be charged on the amount you owe.

Income Tax payments

Income Tax payments due in July 2020 under the Self-Assessment system will be deferred to January 2021 for self-employed individuals. This is an automatic offer with no applications required. No penalties or interest for late payment will be charged in the deferral period.

Universal credit

Self-employed people can now access full universal credit at a rate equivalent to statutory sick pay, and you would need to apply for this, if it is applicable to your circumstances.

We hope that this information is of use to you, but if you need any further information, please email your usual contact at Plummer Parsons.