2020 Combat COVID-19 Updates
30/03/2020 Update:
Stimulus Packages - Businesses
JobKeeper Timeline
Register your intent
Complete business turnover tests
Update your employees
Assess eligible employees and eligible business participants
Have your employees complete and return the ATO JobKeeper Employee Nomination form or ATO JobKeeper Business Participant form.
Enrol (from April 20)
Pay employees (by May 8th)
Apply via the ATO (from May 4th)
Ongoing monthly reporting
Confirming number of eligible employess
Future income projection
JobKeeper ATO fortnights
Increase for PAYGw (wages tax)
Employers + cashback
Minimum 10k maximum 100k
Criteria:
•-employ staff
•-held an ABN on 12 March 2020 and continue to be active
•-have an aggregated annual turnover under $50 million (generally based on prior year turnover)
•- made eligible payments you are required to withhold from (even if the amount you need to withhold is zero)
How this applies to you?
If you met the criteria you will receive the first credit in the 2020 tax year and the second in the 2021 year.
Instalment 1: Credited from April the 28th
•minimum of $10,000 max 50,000
Instalment 2
•Must continue to trade minimum of 10,000 max 50,000
What do you need to do?
Have your bookkeeping up to date, chat with your accountant for tax planning and lodge BAS as normal
Apprenticeship & Trainee wages subsidy
Employers + cashback
Eligible employers who have trainees or apprentices from the 1st of March will receive up to $21,000 per apprentice which will be paid quarterly ($7,000 per quarter)
Registration opens April and will need to be applied for through an AASN
Payroll Tax Relief
Employers + possible cashback
Varying by each state - see useful links below
Instant asset write off - new purchase limit increased + 15-month incentive + SME pool write-offs
Tax relief + tax planning
Plant & equipment can be written off up to150k per item, waiting on updates around luxury car tax
i.e purchasing an excavator for 100k will reducing your taxable profit by 100k
Criteria: SME with a turnover of up to $500 mil. The asset must be purchased after March 12th and installed and ready for use by June 30 2020
15 Month Incentive Assets over $150,000, half the cost will be claimed in the year of purchase with the other half being claimed under the regular depreciation rules
This is for assets purchased between 1 July 2019 and 30 June 2021
Asset Pool write-off the increase from 30,000 to 150,0000
Thresholds Increases & Time Extensions for your creditors
Insolvency Relief
Creditor insolvency claims threshold increased from 2k to 20k with an extension to 6 months to respond to a claim
Unsecured loans with Government guarantee for businesses impacted by COVID-19
lending - government
Loans for SME of up to $250,000 backed 50% by the government. Please contact your banker for application
Deferral of loan repayments
lending - banks
Businesses: Most big banks are offering to defer your business loan repayments and reducing interest rates
Individuals: Offering low rate fixed interest rates on your home loan
Check out what the banks are saying on their website or speak to your banker directly to seek what assistance you are eligible for.
What we have found
To apply for loan deferral save time and apply online
The banks now have dedicated COVID hotlines
CBA 13 26 07
Reducing commercial interest rates by 0.25
Extended hours for lending teams for faster decisions
Deferring repayments on a variety of business loan and overdraft products, for 90 days.
Waiving merchant terminal fees for impacted customers with CBA payment terminals, for 90 days.
Waiving early redraw fees on business term deposit accounts (including Farm Management Deposit accounts).
Waiving establishment fees and excess interest on Temporary Excess products.
Deferring repayments on vehicle and equipment finance loans, and providing tailored restructuring options that meet individual customer needs.
ANZ 1800 571 123
Suspending interest repayments
Providing early access to term deposits without incurring break fees
Providing access to additional credit subject to approval
NAB 1800 562 533 (1800 JOBKEEPER)
Deferral of business loan repayments for up to three months, assessed on a case-by-case basis
Extension of a business loan term by a period of up to three months, where individual circumstances warrant
Support to restructure existing business loans, including equipment finance
Business credit card deferred repayments.
Westpac 1300 731 073
Continuing it's hardship assistance program
Deferring repayments for 3 months
Home Loan and Business Loan customers can apply for relief on loans for up to three months
Waiver of fees for the restructuring or consolidation of loans
Credit card customers can apply for an emergency credit card limit increase
Discounted interest rates on new personal loans taken out by existing Bendigo Bank customers
Waiver of interest rate reduction for early withdrawals on term deposits prior to maturity
Deferral of payments and extensions for Equipment Finance on a case by case basis
Information
- COVID Business VIC Grants
- ATO JobKeeper Information
- Business Gov - Sole Trader Information
-Treasury JobKeeper FAQ FactSheet
- JobKeeper Employee Nomination Notice
- Services Australia (JobSeeker) Information
Grant Application Links
- Sole Trader Support Fund
- Business Support Fund #3 - VIC
Useful Links
Fact Sheet for Cashflow Assistance
Fact sheet for Individuals Income Support
Fact sheet for Household support
Fact sheet for Early Super Access
Information for the JobSeeker payment Sole Traders + Individuals + Job Seeker Information
COVID-19 ATO Information
Government Information on COVID-19 Health Updates
Get trained in how to minimize infection in the workplace Getting CODIV certified - infection control training
Employer / Employee:
Application for wage subsidy from 2nd of April for employers who have less than 20 workers Australian Apprenticeship
Job & Payroll tax support for Queensland
Job & Payroll tax support for NSW
Job & Payroll tax support for Victoria
Fair work Link for Employees
Employsure has created an advice hub to help answer your FAQs and let you know what your obligations are during the #coronavirus crisis
If you head to their Facebook page you can rewatch their "managing through COVID-19 crisis" video
Mental Health
it’s okay not to be okay
It is completely natural to feel anxious and stressed, remember we are all in this together. Now is the time to share your feeling’s and stand with each other in tough times
Beyond Blue Lifeline Lifeline Crisis Chat
Text Lifeline from 6 pm to midnight 0477 131 114
Essential & Nonessential services
open or closed
List of Restrictions on non-essential services
Sole traders & Individuals - JobSeeker + Super
cash assistance
Super Release If your income has decreased by 20% you will be eligible for early access to super
For early super individuals will be eligible for up to10k for the 2020 tax year and possibly another additional 10k for the 2021 year.
If you are thinking of taking out your super, please ensure you seek financial advice first.
Jobseeker Sole traders are also eligible to apply for the jobseeker payments through MyGov with asset tests being waved from January
You can now register your intent to claim online by logging into myGov
C&S Combat COVID19
eMail & Video updates
To save you going through old emails please see below for links;
