What to do if you receive a letter from HMRC asking you to review your CJRS claim

Sep 17, 2020

HMRC has been writing to employers asking them to review their CJRS claims. Their focus has been on identifying fraudulent claims, rather than innocent mistakes, but recipients are being urged to get in touch even if there has not been a miscalculation.

What does the letter say?

The compliance letters from HMRC state that there appears to be an error in the employer’s CJRS claim. However, the letter doesn’t specify what the issue is with the claim, how much the potential overclaim is, which month is being questioned, or whether any ineligible employees have been identified.

What triggered the letters?

The letters may have been triggered if employers included furloughed employees who were not paid through a PAYE scheme in February or March 2020, but still qualify due to the exemptions outlined by Kate Upcraft in July:

  • employees who returned from parental leave
  • military reservists who returned from active military service after 10 June
  • employees transferred from another employer under the TUPE rules
  • employees transferred from another PAYE scheme due to a scheme reorganisation

What should employers do to rectify this?

If you have received one of these letters, please get in touch with your professional advisor before contacting HMRC.

HMRC reveals up to £3.5bn furlough claims paid in error