Jobkeeper Extension
On 21 July, the Government announced the extension of the JobKeeper Payment for a further six months until 28 March 2021 and is targeting support to those businesses and not-for-profits who continue to be significantly impacted by the Coronavirus.
To support the economic recovery, the Government is extending and further tailoring temporary economic measures to support sectors, regions and communities that will continue to face challenges.
The existing JobKeeper Payment will remain in place until 27 September 2020. From 28 September 2020, the JobKeeper payment rates will be stepped down and two tiers of payment will be introduced.
From 28 September 2020, businesses and not-for-profits seeking to claim JobKeeper Payment will be required to re-assess their eligibility for the JobKeeper extension with reference to their actual turnover. The JobKeeper extension will be available to qualifying businesses and not-for-profits from 28 September 2020 until 28 March 2021.
ELIGIBILITY
From 28 September 2020, Businesses and not-for-profits will need to demonstrate that they have met the relevant decline in turnover test in this quarter to be eligible for JobKeeper from 28 September 2020 to 3 January 2021.
Businesses and not-for-profits will need to further reassess their eligibility in January 2021 for the period from 4 January to 28 March 2021. They will need to demonstrate that they have met the relevant decline in turnover test in the December quarter 2020 to remain eligible for the March quarter 2021.
JOBKEEPER 2.0 PAYMENT RATES
From 28 September 2020 to 3 January 2021, the payment rate will be $1,200 per fortnight for all eligible employees who, in the four weekly pay periods before the reference period, were working in the business or not-for-profit for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and $750 per fortnight for employees who were working in the business or not-for-profit for less than 20 hours a week on average and business participants who were actively engaged in the business less than 20 hours per week in the reference period.
From 4 January 2021 to 28 March 2021, the payment rate will be $1,000 per fortnight for all eligible employees who in the four weekly pay periods before the reference period, were working for 20 hours or more a week on average and for business participants who were actively engaged in the business for more than 20 hours per week, and $650 per fortnight for employees who were working for less than 20 hours a week on average and business participants who were actively engaged in the business for less than 20 hours per week in the reference period.
Please see below a link to a Treasury Fact Sheet which will provide you with more detailed information.
https://treasury.gov.au/sites/default/files/2020-08/Fact_sheet-JobKeeper_Payment_extension_1.pdf
Our office will be reviewing the eligibility of existing clients on Jobkeeper however we recommend contacting us if you wish to discuss your options.
WE’RE HERE TO HELP
As of the end of September most of the Government assistance packages such as Cash Flow Boost and Jobkeeper will come to an end. These payments have been vital in keeping businesses operating through COVID. We understand some of you may continue to experience cashflow issues, so we encourage you to contact our office to discuss any concerns. We are here to help and will offer any necessary assistance whether that be through ATO payment deferrals or accessing available Government subsidies.
If you are continuing Jobkeeper and we are attending to lodgement of your monthly declaration, please complete the declaration and return it asap so we can submit to the ATO by the due date (ie 14th of each month).
