JSS fraudulent claims
The Job Support Scheme (JSS) has replaced the Coronavirus Job Retention Scheme (CJRS) which came to an end on 31 October 2020.There are significant concerns that between 5%-10% of claims made under the CJRS were fraudulent or made in error.
There are additional anti-fraud measures in place to help prevent fraudulent claims made under either the JSS Open or JSS Closed. In order to help make the new JSS more secure, checks will be put in place and payments claimed may be withheld if HMRC suspects a claim to be ineligible. Whilst this may help reduce fraudulent claims it leaves the employer having to fund the government grant which will be paid in arrears.
Other measures announced by HMRC to combat fraud under the JSS include:
- The amount of any overpayment by the employer must be paid back to HMRC where a claim contains incorrect information.
- The full amount of any grant must be repaid if a claim is found to be fraudulent. Penalties of up to 100% of the amount overclaimed may be applied where appropriate.
- HMRC will consider publishing the details of employers who are charged a penalty because of a deliberately incorrect Job Support Scheme grant claim.
- HMRC intends to publish the names of employers who have used the scheme.
- The public can report fraud to HMRC if they have evidence to suggest an employer is abusing the scheme.
- Employees will be able to check if their employer has made a claim relating to them via their Personal Tax Account.