Government measures in key jurisdictions 4th edition - Flipbook - Page 152
UnitedKingdom
Litigation
•
Are the courts
operating?
In England and Wales, with the help of some technological innovation such as the use of video conferencing
tools, the civil courts have been operating largely ‘business as usual’.
•
On 19 March 2020, the Business and Property Courts of England and Wales issued a protocol
regarding remote hearings, providing that remote hearings should take place wherever possible.
Where a remote hearing is not possible, then the Court has only two solutions: (1) proceed with
the matter in court; or (2) adjourn because a remote hearing is not possible. The protocol
emphasises the need for the court and parties to be proactive in relation to forthcoming hearings.
Subsequent guidance from the senior judiciary and from case-law has been consistent that
remote hearings are to be the norm for the foreseeable future wherever possible even in
more complex cross-jurisdictional cases.
•
There has recently been a case where remote access to a hearing was provided too widely by one
of the law firms dealing with the case. They received a censure from the court and have selfreported themselves to the legal profession’s regulator. This illustrates the care with which
remote access to hearings should be handled.
•
Similar methods are being employed to deal with arbitration hearings. To find out more
information, see here.
Tax
•
The cash grants being offered under the UK Government’s Coronavirus Job Retention Scheme
mentioned is closely linked to HMRC’s existed pay-as-you-earn (PAYE) tax withholding
system. HMRC is now starting to investigate COVID-19 grant claims in depth, using the
investigatory powers given to it in Finance Act 2020. Taxpayers can correct any mistake that
they have made without penalty or other sanction, provided they notify HMRC by 20 October
2020, or within 90 days of receiving the grant, whichever is latest.
•
Payments of VAT for the period from 20 March 2020 until 30 June 2020 may be deferred until
April 2021, regardless of the type or size of business, although the VAT returns must still be
made. However, VAT refunds and reclaims will be paid by HMRC as normal to aid businesses’
cashflow. HMRC will also consider extending payment deadlines for customs duty and import
VAT on a case-by-case basis for importers facing severe financial difficulties as a direct result of
Covid-19.
•
Income tax self-assessment payments for the self-employed, including individual partners in
partnerships, that are otherwise due on 31 July 2020 will also be deferred until 31 January
2021.
•
All businesses in the hospitality and retail sectors irrespective of their rateable value are
exempted from paying business rates this tax year. A £25,000 grant will also be available to
businesses with smaller retail, hospitality and leisure premises that have a rateable value
between £15,000 and £51,000.
•
There is also a support package for self-employed individuals
who make profits of up to £50,000 a year and who will be entitled to a
taxable grant worth 80% of their average monthly profits over the last three years, up
to £2,500 a month for 3 months. A second and final grant can be claimed from August and is
worth 70% of trading profits up to a maximum o £6,570, again covering three months.
Has any new
legislation been
introduced in light of
Covid-19?
Government measures in key jurisdictions
152