When the Chancellor announced his package of measures in July, he included a Job Retention Bonus. This is a £1000 one-off taxable payment to employers for each eligible employee that they furlough and keep continuously employed until 31 January 2021.
Now HM Revenue and Customs (HMRC) has issued guidance on the scheme which clarifies that employers will be able to claim the bonus between 15 February and 31 March 2021 and that they do not have to pay this money to the employee. Available here, this guide includes details of eligible employees, including those have been transferred under TUPE or due to a change in ownership.
It also confirms that it is possible to claim the Job Retention Bonus for individuals who are not employees, such as office holders or agency workers, as long as the employer claimed a grant for those people under the Coronavirus Job Retention Scheme and the other Job Retention Bonus eligibility criteria are met.
Among other details, the guide specifies that, to meet the minimum income threshold, an employer must pay the employee a total of at least £1560 (gross) throughout the tax months: 6 November to 5 December 2020; 6 December 2020 to 5 January 2021; and 6 January to 5 February 2021.
Only payments recorded as taxable pay will count towards the minimum income threshold. Taxable pay is reported to HMRC as a single figure through Full Payment Submissions via Real Time Information (RTI).
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