Updated June 17th, 2021
As part of the measures announced in the Economic Recovery Plan, the Minister for Finance, Paschal Donohoe, T.D., confirmed the following set of measures to provide support to businesses as they re-open and resume normal trading:
Employment Wage Subsidy Scheme (EWSS) will be extended from 30 June until 31 December 2021. The current enhanced payment rates will be maintained for July, August, September (Quarter 3). The time period for assessment will be expanded from the current 6-month period of assessment to a full 12-month period. In addition, the question of an employer contribution to employee wages under the scheme will be considered for Quarter 4.
Covid Restrictions Support Scheme (CRSS) will be extended from 30 June until 31 December 2021 and provide additional support to businesses upon re-opening. An enhanced restart payment is intended to incentivise businesses to exit the scheme and return to trading as early as possible. Once the restart payment is claimed the business cannot avail of the CRSS scheme again.
A new additional Business Resumption Support Scheme (BRSS) for businesses with reduced turnover because of public health restrictions will be implemented in September 2021. Businesses whose turnover is reduced by 75% in the reference period (1 September 2020 to 31 August 2021) compared with 2019 will be eligible for support. Businesses that previously availed of other schemes, such as the CRSS, the Small Business Assistance Scheme for COVID (SBASC) and the Tourism Business Continuity Scheme will be eligible to apply provided they meet the qualifying criteria. The BRSS will be administered by Revenue and will operate in a similar way to CRSS. We will update on the operation of this scheme once more information becomes available.
Debt Warehousing Scheme will be extended to the end of 2021 for all eligible taxpayers, with an interest-free period during 2022, and to include overpayments of EWSS in the scheme. COVID-19 related liabilities will then fall to be paid from 1 January 2023 by way of instalment agreements to be individually agreed with Revenue.
Reduced rate of VAT of 9% which applies on a temporary basis to hospitality and tourism related goods and services will be extended until 1 September 2022.
Small Business Assistance Scheme for COVID (SBASC) has been extended to included Businesses operating from non- rated premises like a home or yard. SBASC is for businesses that are down 75% or more of turnover and are not eligible for the CRSS or other grants. The closing date is 21 July 2021 and can be applied for through Local County Councils.
Extension and changes to the COVID-PUP The COVID-19 Pandemic Unemployment Payment (COVID-PUP) will be extended in its current form for existing claimants from 30 June to 7 September 2021. The weekly rates of COVID-PUP support paid to claimants will then be amended as follows:
The €350 weekly rate will be reduced by €50 increments on 14 September and in mid-November 2021. In early February 2022, the rate of payment will change to €203 with the payment moving to the standard jobseekers’ terms.
If you require further information on the supports available to businesses or if you would like assistance in accessing any of the measures outlined, please do not hesitate to get in contact with our advisory team. We'd be happy to assist you.