De minimis state aid

[Jellyfarm]

Just setting up PAYE for year 20/21 and see you have to tick a box stating you do not receive 'de minimis state aid ' over 20000 euro in the year. Is basic payment considered as aid for the purpose of getting employment allowance against class 1 NIC's?
Thanks for any help?
J

 

[farmerdan7618]

https://om.uk/insight/all-change-em...-wage-sick-pay-and-pensions-revised-for-2020/

This ought to cover it for you

 

[Hampton]

https://om.uk/insight/all-change-em...-wage-sick-pay-and-pensions-revised-for-2020/

This ought to cover it for you

It does.
However, do we tick it or not?

 

[Princess Pooper]

BPS is not de minimus state aid.

 

[Still Farming]

BPS is not de minimus state aid.

Gift from above, is it?

 

[farmerdan7618]

It does.
However, do we tick it or not?

If the business has had less than €20,000 of deminimis state aid over 3 years, then yes.

 

[Still Farming]

If the business has had less than €20,000 of deminimis state aid over 3 years, then yes.

Years ago filled in some forms and had to state the lot whatever come from ??

 

[Jellyfarm]

BPS is not de minimus state aid.

For what reasons? - I hope you are correct!
J

 

[Highland Mule]

For what reasons? - I hope you are correct!
J

They are, as far as I can tell. Not sure why, but the interest component of our BPS loans in Scotland are, and we sign a form to confirm we are belie threshold with them. Might be worth checking if you’ve had similar with any advance payments, if applicable.

 

[Chris F]

I would say BPS is not de minimus state aid as it does not effect competition. And that I thought what the point of the limit. Also agriculture seems to be in part excluded in the what it can be used for and we all know farmers just use BPS to buy tractors!

Here is a definition from the Governments website

De minimis aid

De minimis aid is a term used to describe small amounts of state aid that the European Commission expects will have a negligible impact on trade and competition. These do not require Commission approval.

The total de minimis aid which can be given to each organisation is €200,000 over a 3-year fiscal period. This is for all project types and for most purposes, including operating aid. You can learn more from page 20 of the BEIS state aid manual and from the De Minimis Regulation.

De minimis aid cannot be used for:

• purchase of road freight transport vehicles
• undertakings in fishery and aquaculture
• undertakings in the processing and marketing of agricultural products where:
  • the amount of aid is fixed to the price or quantity of products purchased from primary producers or put on the market by the undertaking
  • the aid is conditional on being partly or entirely passed on to primary producers
• aid for export to third countries or EU member states, meaning the establishment and operation of a distribution network or expenditure linked to the export activity

 

[Princess Pooper]

Yes. BPS is agreed within EU so it is not state aid. Farm productivity grant scheme is also an EU approved one, as is Countryside Stewardship. The Educational Access part of HLS is state aid, the rest is not. State aid is things that individual states offer that would give competitive advantage that have not been approved across EU.

 

[Chris F]

Yes. BPS is agreed within EU so it is not state aid. Farm productivity grant scheme is also an EU approved one, as is Countryside Stewardship. The Educational Access part of HLS is state aid, the rest is not. State aid is things that individual states offer that would give competitive advantage that have not been approved across EU.

Always more eloquent than I am - totally agree.

 

[e3120]

Where do FITs stand? I ask as there's something on the virus small business grant about de-minimus. I think it's no problem, as there appears to be a special state-aid category for virus-related support, but it seems necessary to know if you're in the <200k euro club or special club to tick the right box.

 

[Princess Pooper]

Where do FITs stand? I ask as there's something on the virus small business grant about de-minimus. I think it's no problem, as there appears to be a special state-aid category for virus-related support, but it seems necessary to know if you're in the <200k euro club or special club to tick the right box.

Fits are paid by charges collected by electricity companies, not Government.

 

[Bury the Trash]

These should be questions answered by a good accountant.

 

[Fergieman]

I sent an email of to our accountant and his view was we would not be able to claim the £4000 employment allowance due to single farm payment.

 

[Princess Pooper]

I sent an email of to our accountant and his view was we would not be able to claim the £4000 employment allowance due to single farm payment.

your accountant is wrong.

 

[Bury the Trash]

Changing accountants if they are inappropriate for your buisness can seem a bit scary but uts possible to do , find the right one and its s huge relief and they will be part of your team rather than just a cost.

 

[flinty]

BPS doesn't count

Funding not paid under de minimis

Any funding you receive under the following Defra schemes does not count towards your agricultural de minimis state aid allowance:

• Water environment grant
• Basic payment scheme
• Countryside stewardship
• Countryside productivity
• RDP LEADER grant
  
  
• HMRC Employment Allowance for agriculture and fisheries sector
  
  The HMRC Employment Allowance is now part of ‘de minimis’ state aid allowance.
  
  The maximum de minimis state aid you can claim in 3 years is €20K in the agricultural sector and €30K in the fisheries sector.
  
  
  

  State aid for agriculture and fisheries

  Guidance on state aid rules in the UK’s agricultural and fisheries sector.

  www.gov.uk

 

[mark perego]

the interest paid by the government on bounce back loans is classed as de minims state aid if you took out 50k it would be 1250.d m s a. bps is not classed as d.m.s.a.