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Accounting for SBRR and furlough receipts from Gov

Self Assessment forms

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My understanding is that these are accounted for as other income and certainly the SBRR grant is taxable and the furlough is receipt and expense so no nett taxable gain.

However on the 20-21 forms there is box 16 for furlough receipts and other Coronavirus help apart from SEISS ( listed seperately in box 70.1 and taxable)  Box 16 is not taxable so you could have a scenario where a hospitality venue had no income but received 10k in furlough which was repaid to staff, giving you a 10k loss if recorded in and out (no other transactions)  

Accountant who posted these details (on a facebook forum) suggested you don't record the wages on the TR, only if there is additional top up from the employer (eg £100 wages, £80 furlough, record as £20 expenses. That can't be right can it?

Would SBRR and lockdown payments also go in box 16, ergo not taxable.

Looking at Taxfiler, other income, including CV help, goes in Box 10 and is taxable and subject to NI.  No seperate box for SEISS, so presumably also in box 10

Replies (10)

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By Matrix
04th Apr 2021 10:35

I am not sure I understand since you say there are boxes in Taxfiler then say there isn’t for SEISS, so I looked and found the boxes on Taxfiler for both and box 16 is taxable.

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Replying to Matrix:
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By legerman
04th Apr 2021 12:08

Matrix wrote:

I am not sure I understand since you say there are boxes in Taxfiler then say there isn’t for SEISS, so I looked and found the boxes on Taxfiler for both and box 16 is taxable.

Thanks , found SEISS under adjustments.

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By Wanderer
04th Apr 2021 10:37

legerman wrote:

Box 16 is not taxable ......

What makes you say that?
Take that out of your argument and the rest of your post is irrelevant.
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Replying to Wanderer:
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By legerman
04th Apr 2021 12:01

Wanderer wrote:

legerman wrote:

Box 16 is not taxable ......

What makes you say that?
Take that out of your argument and the rest of your post is irrelevant.

Ahem, sorry. It was some screenshots he posted on the facebook forum.
Box 15 Income 20k
Box 16 Other Income £2k
Box 70.1 SEISS £5k
Box 73 + 76 Taxable profit £25k

I've just clicked through to his website and the example on there shows an example in which Box 16 is taxable, so not quite sure what he's done on the screenshots on facebook.

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By DaveyJonesLocker
04th Apr 2021 11:52

Erm box 16 IS taxable!!!!

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Replying to DaveyJonesLocker:
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By legerman
04th Apr 2021 12:02

DaveyJonesLocker wrote:

Erm box 16 IS taxable!!!!

Thanks, see my reply to Wanderer.

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By memyself-eye
04th Apr 2021 18:53

All Covid grants are taxable....

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Replying to memyself-eye:
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By Wanderer
05th Apr 2021 07:23

Except when they're not.

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Replying to Wanderer:
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By SXGuy
05th Apr 2021 07:42

Which ones are not?

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Replying to SXGuy:
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By Wanderer
05th Apr 2021 10:21

See Section 4, Schedule 16, FA 2020.

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