As we are all aware, the Employee Wage Subsidy Scheme (EWSS) has been an integral part of protecting Irish businesses during the Covid-19 pandemic emergency. The scheme has seen many changes and taken on new forms over the course of the past year, having been set up on an emergency basis but requiring updates and extensions as the pandemic continues. The latest extension to the EWSS states that The Finance (Covid-19 Miscellaneous Provisions) Act 2021 has allowed for the scheme to be extended through to December 31st, 2021.
With this extension come two major changes to how the scheme will operate going forward. As our country slowly continues the reopening process, these changes will be important to ensure that the scheme is allocated appropriately.
The two new key changes to the EWSS are as follows:
Change to Assessment Period.
The assessment period for eligibility to this scheme has now changed. It is now a requirement to show that your business will incur a 30% reduction in turnover* or orders for the 2021 calendar year as a direct result of Covid-19.
This can be assessed by:
Comparison to the 2019 calendar year if the business was in operation for the full year.
Comparison to the date of commencement to December 31st, 2019, if business commenced between January 1st and October 31st, 2019.
Comparison to projections for the 2021 calendar year, based on the assumption that the Covid-19 emergency had not occurred, if business commenced on or after November 1st, 2019.
*It is important to note that childcare businesses remain exempt from the 30% calculation criteria.
Mandatory Monthly Reviews to be Submitted Online.
A new key criterion to maintaining eligibility for the EWSS is the undertaking of monthly performance reviews for your business to ensure that your business continues to meet the eligibility criteria for this scheme.
A new form (EWSS Eligibility Review Form) has been created for this purpose, which must be submitted online on a monthly basis.
This form must be submitted by August 15th for June’s reviews and following on from this, will be expected by the 15th of each month.
We hope that this information has been useful for you and as always, please don’t hesitate to contact us here at EcovisDCA where we remain open and ready to help. Please do not hesitate to contact us.
For more information visit Revenue.ie