Chancellor Rishi Sunak has recently announced the CJRS furlough scheme will be extended until the end of the October 2020. The scheme will continue in its current form until July 2020 with the Government paying 80% of employees wages up to £2500 per month. This will increase the taxable profits of the business and therefore tax will have to be paid accordingly. From 1 August to the end of October, HMRC will introduce more flexibility so employers will be able to bring their furloughed employees back to work part-time and contribute to paying employees’ wages while still receiving support from the scheme. There will be changes as to the amount the government will reimburse.
More details can be found on the Gov.uk website