On July 21st, the Government announced that the JobKeeper Payment will continue to be available for eligible businesses (including self-employed) and not-for-profits, for an additional six months until March 28th 2020.
Eligibility requirements have been revised with the Government targeting support to those organisations that continue to be significantly impacted by COVID-19. From September 28th 2020, the payment rate will be reduced and a lower payment rate will be introduced for those who work fewer hours.
- The payment rate of $1,500 per fortnight for eligible employees will be reduced to $1,200 per fortnight as of September 28th 2020. Eligible employees are those who worked for 20 hours or more per week on average in the four weeks leading up to March 1st 2020. From January 4th 2021, the rate will drop to $1,000 per fortnight.
- For employees that worked less than 20 hours per week in the four weeks leading up to March 1st 2020, the rate of $1,500 per fortnight will be reduced to $750 per fortnight, as of September 28th 2020. From January 4th 2021, the rate will drop to $650 per fortnight.
If you currently receive the JobKeeper Payment, it remains unchanged and available until 27th September 2020.
The eligibility rules for employees remain unchanged. For employee eligibility criteria, head to the ATO website for further information.
As of September 28th 2020, businesses and not-for-profits will be required to reassess their eligibility with reference to their actual GST turnover in the June and September quarters 2020. Businesses will need to demonstrate that they have met the relevant decline in turnover test in both of those quarters to be eligible for the JobKeeper Payment from September 28th 2020 to January 3rd 2021.
From January 4th 2021, businesses and not-for-profits will need to further reassess their turnover to be eligible for the JobKeeper Payment. Businesses will need to demonstrate that they have met the relevant decline in turnover test with reference to their actual GST turnover in each of the June, September and December quarters 2020 to remain eligible for the JobKeeper Payment from January 4th 2021 to March 28th 2021.
For more details on business eligibility and for all other information regarding the JobKeeper Payment extension, have a read over the JobKeeper Payment Fact Sheet here.
If you have any queries or concerns regard these changes, we are here to assist you.
https://www.pgaadvisory.com.au/ “Extension for JobKeeper Payment”
Brought to you by David Philipsen of Parker Finance