The Covid Restrictions Support Scheme ("CRSS") is one of a number of initiatives to be introduced as part of last week's Budget announcement. The scheme is intended to be in addition to the supports provided to employers under the Employer Wage Support Scheme (“EWSS”). While much of the finer details on the CRSS are expected, Revenue has released guidance for businesses outlining the key aspects of the scheme.
Under the CRSS, businesses that are closed or heavily restricted, will receive a weekly cash payment. The payment will generally amount to a percentage of their 2019 turnover, with payments up to €5,000 for the restricted period;
The scheme will apply from 13 October 2021 to 31 March 2021 - however, this period may be extended.
To qualify for the CRSS, businesses must be closed to customers or substantially restricted in operating;
As a result of these restrictions, turnover for the restricted period must be no more than 25% of 2019 levels ("turnover test");
Businesses must also intend to reopen and resume trading once the restricted period has ended;
For new businesses - ie. a business opened in 2020 - the 'turnover test' will be based on the average weekly turnover for 2020.
For a full summary of CRSS guidance issued by Revenue, along with examples of where and how the scheme will take effect, please click here.
Employment Wage Subsidy Scheme
With the announcement that Level 5 restrictions will come into effect until end of November 2021, the Government has also announced that the rate of subsidy provided under the Employment Wage Subsidy Scheme ("EWSS") has been revised as below.
The revised scheme will run to end January 2021.
For a full summary of changes to the EWSS, please click here.
If you require any additional information based on the details outlined in this update, please get in contact with our team. We'd be happy to hear from you.Contact our team