Today, 21 July Australian Prime Minister Scott Morrison announced the future reductions of JobKeeper from its current offering of $,500 a fortnight.
New eligibility tests
The treasury argued for a new eligibility test for businesses looking to remain on JobKeeper beyond September.
Businesses will still need to meet and demonstrate the required reduction in turnover- 30 per cent for businesses with turnovers of $1 billion or less, 50 per cent for those with turnover of more than $1 billion, and 15 per cent for ACNC-registered charities.
However, the government will now require businesses to demonstrate that they have suffered an ongoing significant decline in turnover using actual GST turnover, rather than projected GST turnover.
From 28 September, businesses will be required to show an actual decline in turnover for the June and September quarters to qualify for JobKeeper 2.0. A reassessment is required.
From 4 January 2021, businesses will need to also reassess their turnover to demonstrate that they have met the decline in turnover test for each of the June, September and December 2020 quarters, to continue to be eligible.
Please note, the actual legislation has not yet been released.
Please continue to check your emails as KSR Partners will keep you informed of any changes to government subsidy and support packages.
We understand this is a difficult time for so many individuals and businesses, if you need any support or have queries please don’t hesitate to contact us.
It is what we are here for.