Government to front 80% of wages up to £2500/month

[AtW]

Government will pay 80% of what is paid someone up to £2500. So if someone is paid £1000, government will give you £800. So still a cost of £200 or 20% to the business.

The way I think its going to work, is company pays the £1000, then goes onto the HMRC website to claim £800 back. Its not like HMRC are giving people the 80% directly.

Or company pays £ X net amount PLUS pays HMRC income tax + NICs, and only then claims 80% of X...

[bower123456]

im a ltd company in the construction industry who hasnt picked up any work since October, which is normal but it usually picks up in feb/march but it hasnt and my industry is dead at the minute. starting to get a bit panicky now my moneys low and we`ve no idea how long this is going to to last, does anyone have any idea if theirs anything we can genuinely claim for? cheers

[Lost It]

Ah. Left hand gives it to right hand, left hand claims off HMRC, right hand has a party.

[PerfectStorm]

What contractor organisations?


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The usual 'press release' sort - IPSE, QDOS, Contractor Calculator, and so on

[scooterscot]

Are you sure? I have a good friend in Walldorf and as we were chatting yesterday on Whatsapp regarding the situation he told me his local supermarkets are almost empty. My brother-in-law in Vienna reports a similar situation.
.

Basically everyone in Europe is planning to stay at home Sh1tting themselves whilst eating spaghetti napolitana

Don't take this the wrong way .. but I trust their opinion far more than I trust yours.

Quite certain. Was in my local REWE yesterday, shelves were plentiful except they were rationing loo roll packets one per customer.


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[mrdonuts]

Government will pay 80% of what is paid someone up to £2500. So if someone is paid £1000, government will give you £800. So still a cost of £200 or 20% to the business.

The way I think its going to work, is company pays the £1000, then goes onto the HMRC website to claim £800 back. Its not like HMRC are giving people the 80% directly.

the way its actually going to work is the umbrella will claim 80% of your paye, take off their admin fee and give it to you, they dont need to pay the 20%

[PerfectStorm]

Will it not end up being a write off on tax or similar with the gov then giving you the rest?

[Andy2]

As a recently redundant contractor, how do i get any dosh from this scheme?

[PerfectStorm]

As a recently redundant contractor, how do i get any dosh from this scheme?

Hoping that Monday should see the usual suspects coming up with some answers to that regard.

[opalspark]

There are lots of small (non IT contractors) 1/2 person ltd businesses, that use the same model of low wages and dividends.

These are the businesses, that this measure is intended for.

I can't see how the HMRC will be able to distinguish between them and us.