Corona Virus is here, it's scary and our lives have changed so much in such a short amount of time. With it comes a complete change in how we interact with each other, our clients and even our family. Please know that we are here to support you as best we can.
As an employer, this has created so much uncertainty for your staff, your clients and your family. Then the Government announced the various stimulus packages. These have supported some businesses, but not others.
At JRA Bookkeeping we have made it our mission to be across all parts of the stimulus packages so that we can do our best to support your business in staying alive during this crazy time. We are lucky to be a member of the Institute of Certified Bookkeepers (ICB). We have attended over 15 hours of webinars through the ICB to stay on top of the latest information. This industry body has been a fantastic advocate in ensuring the correct information is being put out there.
GOVERNMENT STIMULUS PACKAGES
The Government has released several packages to support businesses.
As we all now know, the JobKeeper payment is a $1,500 a fortnight payment (per eligible employee) reimbursed by the Government to your business AFTER you have paid your employees.
The criteria to meet is complex and it's really not something an employer should do themself unless they have a deep understanding of their accounts.
Here are some notes to get your brain ticking:
Business turnover must have decreased by 30% or more (unless you are a billion-dollar organisation). This is the complicated part as there is a basic test, plus alternative tests where the basic test is not met.
It is based on the employment status of your employees as at 1 March 2020.
If you have stood down or terminated employees after 1 March 2020, you can bring employees back on board and pay them JobKeeper.
Employers must provide employees with a declaration, that they must sign prior to you paying them.
There can be super and leave implications depending upon whether your employee usually earns more or less than $1,500 in a fortnight.
This is by no means an exhaustive list of the JobKeeper requirements. Every business is different and seeking advice is so incredibly vital.
CASH FLOW BOOST
A tax-free cash flow boost of between $20k - $100k to eligible businesses, delivered through credits in your Activity Statement over the course of 4 months
Available from 28 April 2020
Whatever action you and your business choose to take during this period, please make sure that you do it with integrity. The ATO and AFP will be conducting enquiries and prosecuting anyone who is seen to be involved in a 'scheme'.