The Accountants for Growth

Job Retention Scheme Bonus

Job Retention Scheme Bonus

Employer Update

What does the emp[oyer receive?
  • £1,000 from the Government for each eligible employee
  • The claim can be made through the Gov.UK portal in February 2021
  • The JRB is taxable and should, therefore, be reflected in the business accounts
  • Eligible employers can include recruitment agencies and umbrella companies as long as the aforementioned rules apply

An eligible employer

  • Made a legitimate claim for an eligible employee under the Cronavirus Job Retention Scheme (CJRS)
  • Must have complied with their obligations to pay and file PAYE accurately and on time under Real Time Information (RTI) reporting system for all amployees
  • Payroll records kept up to date and are accurate
  • HMRC requests to provide missing employee data regarding CJRS claims are met
  • Up to date RIT records for the period to the end of January 2021 have been kept
  • New employers where the employees were transferred under TUPE or business succession rules, as long as the new business has made a legitimate CJRS claims for those eligible employees
staff retention

An eligible employee?

  • They have been legitimately furloughed and a correct CJRS claim made
  • They were in continuous employment with the eligible employer from the time of the last CJRS claim regarding them until at least 31st January 2021
  • They earn and receive on average £520 per month between 1st November 2020 and 31st january 2021. A total of £1,560
  • The above criteria must be met regardless of the frequency of the employee's pay periods, hours worked and rate of pay
  • The earnings must have been reported to HMRC via RTI
  • The employee is not serving a contractual or statutory notice period that started before 1st February 2021
  • Assuming the aforementioned rules apply, office holders company directors and agency workers can be deemed to be eligible employees
  • Employees on statutory parental leave and military reservists, who returned after 10th June 2020 and for whom a CJRS claim was made, are deemed eligible
  • Employees on fixed term contracts, which may have been extended or renewed, and are in continuous employment, plus a CJRS claim has been made, are deemed eligible.

What records should be kept and checks made?

  • Check that each employee's records are up to date
  • Check that employee's records have been reported on the Full Payment Submission (FPS) through RTI
  • Check that the CJRS claims have been accurately submitted and, where applicable, the amendments made in a timely manner

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