We will regularly update this post with relevant external documents and links for your interest.

 

JobKeeper payment

Under the JobKeeper Payment, businesses impacted by the Coronavirus will be able to access a subsidy from the Government to continue paying their employees. Affected employers will be able to claim a fortnightly payment of $1,500 per eligible employee from 30 March 2020, for a maximum period of 6 months. You need to register your interest through the ATO website NOW to receive the fortnightly payment.

  1. Click here to register your interest in this payment
  2. Click here for further information on JobKeeper 

Small Business Asset Write-off

The instant asset write-off limit has increased from $30,000 to $150,000 until 30 June 2020. This includes capital equipment assets purchased such as motor vehicles, tools etc. The aggregated annual turnover test to access these concessions has also been broadened to cover entities with an annual turnover of up to $500 million (from $50 million). The above measure is applicable from 12 March 2020.

Cashflow injection to Small Business

The Federal government will provide a cashflow injection to businesses that employ staff and have a turnover of $50M or less. This will apply to wages paid to employees between 1st January and 30th June 2020. Businesses will receive a refund of payments of 50% of their PAYGW (tax on wages) on their Business/Instalment Activity Statements from 28 April 2020. Sole traders are excluded from this unless they have PAYG employees. Note that this refund will be processed as a credit against existing tax liabilities.

Wage subsidies for apprentices

There will be a 50% wage subsidy for apprentices employed from Jan – Sep 2020 for employers with < 20 employees (to a maximum of $21,000). Businesses wishing to take advantage of this subsidy must register by April.

For more information on these and other stimulus packages, CLICK HERE
You can also download a useful summary, CLICK HERE

Contact the team at Sutherland Tse if you have any questions about government subsidies.