Written Questions are submitted by MPs or Lords to receive information from a Department.
|21 Sep 2020, 1:49 p.m.||Sir Christopher Chope MP (Conservative - Christchurch)||Sir Christopher Chope MP (Conservative - Christchurch)|
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make it Government policy that businesses which voluntarily repay furlough payments to the Government are not subject to tax on those payments; and if he will make a statement.
Answered by Jesse Norman - Financial Secretary (HM Treasury)
Voluntary repayments of furlough grants are already not subject to tax because repayment is predicated on the business acknowledging that they are not entitled to the grant and will not be taxed on returning it. A business is only liable to be taxed on a furlough grant if such a business retains a grant to which it is not entitled. A business which informs HMRC of its erroneous claims or overclaims within the notification period and which voluntarily repays the grant will not be taxed on the grant.