FURLOUGH GRANT REDUCES TO 70% FOR JULYJul 02 2021
From July, the CJRS Furlough grant support from the government via HMRC reduces to 70% of the employee’s usual pay for hours not worked. The government support to employers will then reduce to 60% in August and September.
CORRECTING ERRORS IN EARLIER FURLOUGH CLAIMS
The numerous changes in the method of calculating CJRS furlough grants may have resulted in errors by some employers. Remember that you are required to tell HMRC about overclaimed CJRS grants as part of your next claim. You will be asked when making your claim whether you need to adjust the amount down to consider a previous overclaim. Your new claim amount will be reduced to reflect this. You should keep a record of this adjustment for six years.
You should also be aware that HMRC may levy a penalty even if the error is careless or due to a misinterpretation of the rules. If you have made an error that has resulted in an underclaimed amount, you should contact HMRC to amend your claim; as you increase your claim, HMRC will need to conduct additional checks.