To help you make sense of all the new support available we have set out our understanding of the basic record retention timescales for each of the new schemes. This is by no means a comprehensive list and the situation is changing daily so we have included a link to the relevant page of the government website in each section.
Coronavirus Job Retention Scheme – 5 and 6 Years
For many people, the first time they heard the term “furlough” was during the Prime Minister’s press conference when he announced the Coronavirus Job Retention Scheme. It has subsequently become a word we hear every day.
To be eligible for the grant, employers must confirm with their staff in writing that they have been furloughed and retain the written agreement for 5 years. Once you’ve made your claim through the government website you will receive a claim reference number. HMRC then check your claim is valid and pay the amount via BACS into your account within 6 working days. HMRC has the right to retrospectively audit all aspects of your claim so it is important you keep a copy of all records for 6 years. This includes:
● the amount claimed and claim period for each employee,
● the claim reference number for your records, and
● your calculations in case HMRC need more information about your claim.
● For employees you flexibly furloughed, usual hours worked including any calculations that were required
You must tell your employees that you have made a claim and that they do not need to do anything and pay your employee their wages if you haven’t already. More information can be found on the Government website.
Statutory Sick Pay Claim – 3 Years
There are a range of instances in which you would be paying sick leave at the moment: if an employee is self-isolating due to COVID-19 (either they or a member of their household has symptoms), they are self-isolating because they have been informed by the authorities that they have come into contact with someone who has symptoms, or they have received a letter asking them to shield. You must keep a record of SSP you’ve paid and want to claim back from HMRC for 3 years after the end of the tax year. This information should include:
● The dates the employee was off sick
● Which of those dates were qualifying days
● The reason they said they were off work
● The employee’s National Insurance number
You only need to keep records of SSP paid to employees if it is COVID-19 related. It’s entirely up to you how you store your records, but keep in mind HMRC may wish to see them if there is a dispute over payment. For more information take a look at the Government website.
COVID-19 Secure Risk Assessments – as long as relevant
It is vital to ensure your workplace is COVID-19 secure prior to opening for the safety of your staff and customers. Carrying out a COVID-19 risk assessment is the first step to ensuring your workplace is safe, these should include: developing cleaning, handwashing and hygiene procedures; helping people work from home; maintaining 2m social distancing where possible; and managing transmission risk where people cannot be 2m apart.
It is good practice to keep your records relating to general risk assessments for as long as they remain relevant. Further info about risk assessments can be found on the HSE website.
Deferral of VAT Payments – 6 years
To support businesses through the Coronavirus pandemic the government has allowed VAT payments due between 20th March and 30th June to be deferred until 31st March 2021, payment is due in full on or before this date. It is important VAT records are accurate, complete, and readable and must be kept for a minimum of 6 years. For more information about deferring VAT payments visit the Government website.
Visit the Government website for regularly updated COVID-19 related business support, and if you would like information about record retention or our storage and scanning services please get in touch on 01603 720722 or info@archive-vault.co.uk
