Posted: 18 January 2021
The long-running case on whether insurance policies for business interruption cover include circumstances arising from the Coronavirus outbreak has been decided in favour of the policyholders:
The circumstances will vary depending upon the nature of the business and the particular insurance policy wording – some will have a claim, some will not:
Tens of thousands of small businesses will receive insurance payouts covering losses from the first national lockdown, following a court ruling.
The Supreme Court found largely in favour of small firms receiving payments from business interruption insurance policies.
For some businesses it could provide a lifeline, allowing them to trade beyond the coronavirus crisis.
The ruling could cost the insurance sector hundreds of millions of pounds.
The City watchdog, the Financial Conduct Authority (FCA), brought the test case, with eight insurers agreeing to take part in proceedings.
Please contact us at firstname.lastname@example.org with any questions. If you could be affected, we suggest discussing your position with your insurance broker to see if you have a claim.Read More
Posted: 15 April 2020
More detailed terms on the furloughing scheme have been published today, click here to view.
Some preliminary points to note:
- Entry date for those on the payroll extended to 19 March from 28 February (although scheme can still be backdated to 1 March) – https://www.gov.uk/government/news/furlough-scheme-cut-off-date-extended-to-19-march
- Clear definition of terms for employees on furlough:
- Written instructions given by employer to cease all work, agreed by both parties.
Posted: 06 April 2020
The government has updated its guidance over the weekend on the furlough scheme. The revised guidance note is at:
The guidance is now a little clearer on the position of directors who are being furloughed: (more…)Read More
Tax Tribunal Update: Tax Payer Subject to £25,000 Fine for Failure to Provide Adequate Records of Expenditure
The case concerned a Midlands based company (Teksolutions -Inc Limited) that made claims for the enhanced tax relief available for Research and Development.
HMRC inquired into these claims and found issue with the records kept by the company. The company had claimed taxable losses across two accounting years in the region of £400,000 – arising partially from the additional tax deductions available for R&D expenditure. After review HMRC assessed that the losses should be reduced to nil. (more…)Read More