Post
- 20 Oct 2021
AUSTRALIAN GOVERNMENT’S COVID-19 INCOME SUBSIDY FOR EMPLOYERS
<p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">by Sekou Seasay <span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;"><a style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px; color: #25458d; outline: 0px; transition: all 0.3s ease 0s; text-decoration-line: none !important; box-shadow: none !important;" href="http://www.financialplanningmagazine.com.au/article/CFP-pathways/214928.aspx" target="_blank" rel="noreferrer noopener">CFP®</a> </span>Chartered Tax Adviser™, AIPA, Registered Tax Agent, GradDip Adv Tax Law B Bus Admin</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">The Australian government has announced that it will provide a subsidy to eligible employers who have taken a significant hair cut to their bottom line as a result of COVID 19. The measure would see these employers able to pay full-time, part-time and long-term casual employees $1,500 per fortnight.</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">Called the “The Jobkeeper Payment”, it will be paid to eligible employers for up to six months who then have to pass the payment to each eligible employee who was on their books on 1 March 2020 and is retained or continues to be engaged by that employer (including those who have been stood down).</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">The commencement date is 30 March 2020. The first payment is expected to be paid in the first week of May from the Australian Taxation Office.</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;"><span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Who is an eligible employers?</span></p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">Eligible employers include businesses companies, partnerships, trusts and sole traders, Not-for-profit entities, including charities. Businesses subject to the Major Bank Levy will not be eligible. To be eligible, however, an employer, you must:</p> <ul style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px 11px; padding: 0px 0px 0px 10px; list-style-position: inside; list-style-image: initial; color: #25458d; background-color: #ffffff;"> <li style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Have an annual turnover of less than $1b and self-assess as having a reduction in revenue of 30% or more since 1 March 2020, or</li> <li style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Have an annual turnover of $1b or more and demonstrate a reduction in revenue of 50% or more.</li> </ul> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;"><span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Eligible employees</span></p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">Eligible employees include:</p> <ul style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px 11px; padding: 0px 0px 0px 10px; list-style-position: inside; list-style-image: initial; color: #25458d; background-color: #ffffff;"> <li style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Full-time and part-time employees, including stood down employees,</li> <li style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">A casual employee subject to being with employer for at least the previous 12 months.</li> </ul> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">An employee will only be eligible to receive this payment from one employer. If you are self-employed, you also qualify for a payment.</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">Eligible employees include Australian residents, New Zealand citizens in Australia who hold a subclass 444 special category visa and migrants who are eligible for Jobkeeker Payment or Youth Allowance (Other).</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;"><span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;">Applying for the payment</span></p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">To apply, click<span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;"> <a style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px; color: #25458d; outline: 0px; transition: all 0.3s ease 0s; text-decoration-line: none !important; box-shadow: none !important;" href="https://www.ato.gov.au/general/gen/JobKeeper-payment/">here</a></span></p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">As an employer, you will be required to ensure eligible employees will receive, at a minimum, $1,500 per fortnight, before tax. you can choose if you want to pay superannuation on any additional wage paid because of the Jobkeeker Payment.</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">If you an employer and you need our assistance to make the application for you, please call me on 0432 674 668. Please note this is not a free service and is not part of any existing service agreement we have with you. As a result, we will charge a fee for the time taken to submit your application at $75 per hour, which is 65.1% discount on our standard service fee per hour.</p> <p style="border: 0px; font-variant-numeric: inherit; font-variant-east-asian: inherit; font-stretch: inherit; font-size: 17.3333px; line-height: inherit; font-family: 'Open Sans', Arial, sans-serif; vertical-align: baseline; margin: 0px 0px 20px; padding: 0px; color: #25458d; background-color: #ffffff;">Click <span style="border: 0px; font-style: inherit; font-variant: inherit; font-weight: bold; font-stretch: inherit; font-size: inherit; line-height: inherit; font-family: inherit; vertical-align: baseline; margin: 0px; padding: 0px;"><a style="border: 0px; font: inherit; vertical-align: baseline; margin: 0px; padding: 0px; color: #25458d; outline: 0px; transition: all 0.3s ease 0s; text-decoration-line: none !important; box-shadow: none !important;" href="http://www.epicpm.com.au/wp-content/uploads/2020/03/Fact_sheet_Info_for_Employers_0.pdf">here </a></span>to download factsheet.</p>