To increase business confidence, help employers to retain staff and keep business operations going.
The Government will provide between $20,000 to $100,000 tax free cash payment to eligible small and medium sized businesses, and not-for-profits (including charities) that employ people.
There is also an additional payment between July-October that is currently being discussed.
- Aggregated annual turnover under $50m and you employ people
- Eligible businesses that withhold tax to the ATO on their employees’ salary and wages will receive a payment equal to 100% of the amount withheld.
- Eligible businesses that pay salary and wages will receive a minimum payment of $10,000, even if they are not required to withhold tax.
- The payments will only be available to active eligible employers established prior to 12 March 2020. However, charities which are registered with the Australian Charities and Not for profits Commission will be eligible regardless of when they were registered, subject to meeting other eligibility requirements. This recognises that new charities may be established in response to the coronavirus pandemic.
There are no extraordinary forms required to be filled in. The ATO will automatically review your business and calculate your benefit upon lodgement of your tax obligations for the March 2020 & June 2020 activity statements. Any refunds will be sent to your business within 14 days of lodgement.
If you need assistance, please reach out to our friendly accountants on 1300 865 199 or if you would like us to give you a call, Book in your 30 minute consultation for $50 to get the answers you need today.