The Federal Government over the weekend advised that it will be significantly increasing the assistance for small businesses that employ people with an aggregated turnover of less than $50 million (including not-for-profits). To be eligible your business must have been registered as an employer by 12 March 2020.
The enhanced assistance is as follows:
Initial Payment – After Lodgement of March Business Activity Statement (28 April 2020)
- Employers will receive a payment equal to 100 per cent of their PAYG Withholding (up from 50 per cent) with the maximum payment being increased from $25,000 to $50,000.
- In addition, the minimum payment is being increased from $2,000 to $10,000.
Additional Payment(s)
To qualify for the additional payment, the entity must continue to be active.
For monthly activity statement lodgers, the additional payments will be delivered as an automatic credit in the activity statement system. This will be equal to a quarter of their total initial payment following the lodgement of their June 2020, July 2020, August 2020 and September 2020 activity statements (up to a total of $50,000).
For quarterly activity statement lodgers, the additional payments will be delivered as an automatic credit in the activity statement system. This will be equal to half of their total initial payment following the lodgement of their June 2020 and September 2020 activity statements (up to a total of $50,000).
What to do Next?
In order to access this assistance, it is important that you keep your activity statement lodgements up to date so that the credits or refunds can be processed to your account as and when they become due.
If you are unsure as to what amounts you are entitled to please do not hesitate to contact Brad Ryan on 0421 368 021.