Subsidy equal to €500 a week if virus forced you out of work
What will the new changes mean if I am told not to come to work, but I’m still an employee?
The Government will pay a wage subsidy of 70% of take-home pay up to a maximum weekly taxfree amount of €410 per week – the equivalent of €500 per week before tax.
How long will it last?
12 weeks.
What do employers have to do?
They must declare to Revenue that the virus has caused ‘significant’ disruption, with a minimum of 25% decline in turnover, and an inability to pay normal wages and other costs, in accordance with guidelines to be issued by Revenue.
What if I am laid off?
Workers who have lost their jobs due to the crisis will receive an enhanced emergency Covid-19 Pandemic Unemployment Payment of €350 per week (an increase from €203)
If I am self-employed but have no more work; what then?
The self-employed will be eligible for a payment of €350 a week directly from the Department of Employment Affairs.
What about people in self-isolation?
They will also get €350 per week.
Is there a cap?
The scheme will provide support on incomes up to €76,000 or twice average earnings. It will be capped at net €350 for incomes between €38,000 and €76,000.
What if I am renting?
The Government is introducing legislation to prevent renters from being evicted and banning any rent increases for the duration of the Covid-19 crisis.
What about mortgages?
The banks have said they will support landlords with tenants who are affected by Covid-19 – customers with rental property in which the tenants are impacted by the virus can seek a mortgage payment break of up to three months. It will not affect credit records.
What about utility bills?
The Commission for Regulation of Utilities has issued a moratorium on disconnections of domestic customers for non-payment to gas and electricity suppliers. The suppliers have arrangements in place for any domestic/ residential customers in arrears, which are overseen by the CRU. The commission has a number of emergency provisions to help pay-as-you-go customers.
Are there supports for small businesses?
Yes, a €200million Strategic Banking Corporation of Ireland Working Capital scheme; a €200million Rescue and Restructuring Scheme (available through Enterprise Ireland for ‘vulnerable but viable firms’); the maximum loan available from Microfinance Ireland has been increased from €25,000 to €50,000 (these loans are now interestfree with no repayments for six months); Local Enterprise Offices will be have vouchers from €2,500 to €10,000; and a Finance in Focus grant of €7,200 will be available to Enterprise Ireland and Údarás na Gaeltachta clients.
What about tax at business?
Revenue has also posted specific advice online for businesses experiencing trading difficulties, including information on tax returns, the application of late payment interest, debt enforcement, tax clearance and customs.