SUPPORT FOR BUSINESSES
JobSaver Program
(more information see the ServiceNSW Website).
On 28 July, the NSW Government announced an expansion of its business support package. The changes take effect from 18 July 2021.
Businesses that have already submitted an application will not need to do anything - their payment will be automatically adjusted consistent with the expanded program.
JobSaver is being delivered by Service NSW and Revenue NSW. To apply go to the ServiceNSW Website.
The payment will be available to entities with an annual turnover between $75,000 and $250 million (increasing the maximum threshold from $50 million). Business will still need to demonstrate a 30 per cent decline in turnover.
- Eligible firms will continue to receive 40% of weekly payroll with a minimum payment of $1500 per week and a maximum of $100,000 per week (increasing from $10,000).
- For non-employing businesses, such as sole traders, the payment will be set at $1,000 per week.
- Weekly payroll should generally be determined by referring to the most recent Business Activity Statement (BAS) provided to the Australian Taxation Office (ATO) before 26 June 2021 for the 2020-21 financial year.
Eligible businesses can use JobSaver to cover business costs incurred from 18 July 2021. These costs may include:
- salaries and wages
- utilities and rent
- financial, legal or other advice
- marketing and communications
- perishable goods
- other business costs.
Eligibility criteria
- have an active Australian Business Number (ABN)
- demonstrate your business was operating in NSW as at 1 June 2021
- have had a national aggregated annual turnover between $75,000 and $250 million (inclusive) for the year ended 30 June 2020
- have experienced a decline in turnover of 30% or more due to the Public Health Order over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June) compared to the same period in 2019
- for employing businesses, maintain your employee headcount on 13 July 2021, by not taking active steps to terminate their employment, while you continue to receive JobSaver payments
- for non-employing businesses, such as sole traders, show that the business is the primary income source for the associated person. If you have more than one non-employing business, you can only claim payments for one business.
- Certain entities, such as those earning passive income (rents, interest, or dividends), government agencies, local governments, banks, and universities are not eligible for JobSaver.
- See list of ineligible businesses in the guidelines.
- Non-employing businesses are not eligible for the JobSaver payment if anyone associated with the business or who derives income from it, has received a Commonwealth COVID-19 Disaster Payment since 18 July 2021.
2021 COVID-19 Business Support Grants
(more information see the ServiceNSW Website).
One-off payment of $7,500, $10,500 or $15,000 to help eligible businesses affected during first 3 weeks of lockdown.
Three different grant amounts will be available depending on the decline in turnover experienced over a minimum 2-week period from 26 June 2021 to 17 July 2021, compared to the same period in 2019:
- $7,500 for a decline of 30% or more
- $10,500 for a decline of 50% or more
- $15,000 for a decline of 70% or more.
Eligibility criteria
- An ABN
- Demonstrate business was operating in NSW as at 1 June 2021
- A revenue decline of 30% or more
- Annual turnover between $75,000 and $50 million for year ended 30 June 2020
- Total annual Australian wage of $10 million or less as at 1 July 2020
- Have business costs for which there is no other government support available
- Maintain headcount as at 13 July 2021
Micro Business Support Grants
(more information see the ServiceNSW Website).
Small businesses, sole traders or not-for-profit organisations with aggregated annual turnover between $30,000 and $75,000 impacted by the recent COVID-19 restrictions may be eligible to apply for a fortnightly payment of $1,500 to cover business expenses for the duration of the Greater Sydney lockdown.
Eligibility criteria
- have an active Australian Business Number (ABN) registered in, or demonstrate your business was primarily operating in, NSW as at 1 June 2021
- have had aggregated annual turnover between $30,000 and $75,000 for the year ended 30 June 2020
- have experienced a decline in turnover of 30% or more due to the public health orders over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June 2021 and due to end 30 July 2021), compared to the same period in 2019
- have business costs for which no other government support is available (Businesses that received the $1,500 small business fees and charges rebate can apply for this grant.)
- have not applied for either the 2021 COVID-19 business grant or the JobSaver payment
- maintain your employee headcount as of 13 July 2021 while receiving payments from this grant, if you're an employing business
- have this business as your primary income source if you're a non-employing business such as a sole trader.
- For employing businesses, your employees can receive Commonwealth COVID-19 disaster payments if you receive this grant.
Other Support Measures
NSW Government has announced a deferral of payroll tax until 7 October 2021, and 25 per cent reduction in payroll tax for the 2021/22 financial year for eligible customers. More information on tax relief is available at ServiceNSW.
- Businesses are eligible for the payroll tax waiver of 25 per cent if they have a national payroll of between $1.2 million and $10 million and have experienced a 30 per cent decline in turnover.
Commercial landlords liable for land tax will be eligible for a land tax concession of up to 100 per cent of the 2021 land tax year liability where they reduce the rent of financially distressed tenants. More information on commercial lease support is available at ServiceNSW.
The land tax reduction will be the lesser of:
- the amount of rent reduction provided to an eligible tenant for any period between 1 July 2021 and 31 December 2021, or
- 100% of the land tax attributable to the parcel of land leased to that tenant.
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