We are finding that annual payroll schemes are being automatically marked on the HMRC claim system as ineligible for the Corona Virus Job Retention Scheme. Annual Payroll Schemes are popular with 1 director companies where one RTI FPS submission is made on annual basis and has been used for many years and accepted by HMRC.
This appears to have arisen as the claim portal does not recognise the annual RTI submission, and as such appears to prohibit director only companies on an annual payroll scheme from making any claim. It has been noted that annual schemes have been rejected whether the annual FPS submission was made by 19 March or not.
Has anyone suffered similar experiences and does any one know if this has been flagged at HMRC as an issue?
We are now being told, that the director had to have had an RTI report sent in prior to 19th March. The anomaly is that if this was nil, they qualify ! No RTI does not qualify.
HMRC called me back today and told me that, because the 'annually paid' Directors were not paid in 2019/20 PRIOR TO 19th March 2020, they are ineligible, in spite of the fact that they have received similar annual pay at the end of March for several years. I could see the point if Directors suddenly increased their pay level after 19/3/2020 but it seems discriminatory to make such cases ineligible, when they would have qualified if they had been paid monthly during the year.