Snapshot of NSW COVID-19 assistance
On 13 July 2021, the NSW and Federal Governments announced their economic support package aimed at supporting businesses and residents to deal with the recent COVID-19 lockdown. Outlined below is a snapshot of the key economic support measures being offered to those dealing with the economic ramifications of the health and safety requirements currently being experienced by the community. Please refer to the relevant administering body for the specific eligibility criteria and application process as applicable. Businesses can register their interest in the key business support measures that are administered by Service NSW here.
NSW 2021 business grant
Administered by Service NSW at service.nsw.gov.au with registrations open from 19 July 2021. The Federal Government has indicated that these payments will not be taxable.
Eligible NSW businesses (including sole traders and not-for profit organisations) with Australian wages below $10 million can claim grants between $7,500 and $15,000 as a result of the COVID-19 restrictions.
Three different grant amounts will be available depending on the decline in turnover experienced during the restrictions, being:
• $7,500 for a decline of 30% or more;
• $10,500 for a decline of 50% or more; or
• $15,000 for a decline of 70% or more.
NSW small and medium business support payments Administered by Service NSW at service.nsw.gov.au . The Federal Government has indicated that these payments will not be taxable.
Eligible NSW businesses with an annual turnover of between $75,000 and $50 million that can demonstrate a 30% reduction in turnover (compared to an equivalent twoweek period in 2019) will be entitled to business support payments from week four of the lockdown. Eligible entities will receive 40% of their NSW payroll payments, at a minimum of $1,500 and a maximum of $10,000 per week. Assistance will cease when the current lockdown restrictions are eased, or when the Commonwealth hotspot declaration is removed. To receive the payment, entities will be required to maintain their full time, part time and long-term casual staffing level as of 13 July 2021. For non-employing businesses (e.g., eligible sole traders) the payment will be set at $1,000 per week.
Micro business grants
Administered by Service NSW at service.nsw.gov.au The Federal Government has indicated that these payments may not be taxable. Eligible ‘micro businesses’ (including sole traders) with a turnover of between $30,000 and $75,000 that have experienced a decline in turnover of at least 30% will be eligible for payments of $1,500 per fortnight of restrictions from late July 2021.
NSW Payroll concessions
Administered by Revenue NSW at service.nsw.gov.au . NSW payroll tax concessions include:
• Payroll tax waivers of 25% for businesses with grouped Australian wages of between $1.2 million and $10 million that have experienced a 30% decline in turnover.
• Payment deferrals and interest-free repayments
NSW Land tax concessions
Administered by Revenue NSW at service.nsw.gov.au .
NSW Land tax relief concessions include:
• Land tax relief equal to the value of rent reductions provided by commercial, retail and residential landlords to financially-distressed tenants is available for up to 100% of the 2021 NSW land tax year liability.
• A capped grant up to $1,500 for residential landlords who are not liable to pay land tax who reduce rent for tenants.
COVID-19 Disaster Payment Support for individuals
Administered by Services Australia at servicesaustralia.gov.au
This payment is assessable income to the individual recipient.
The COVID-19 Disaster Payment was originally introduced in response to the previous two-week Victorian lockdown (and was made applicable to all future Commonwealth-declared COVID-19 hotspots). The payment is not applicable for the first seven days of an eligible lockdown (i.e., it is payable to eligible recipients from the second week) and now, in response to the current NSW lockdown, the Federal Government has extended this support for individuals who have lost work (and pay) as a result of the COVID-19 lockdowns. Specifically, from week four of the lockdown, the COVID-19 Disaster Payment will increase: • from $500 to $600 each week if a person has lost 20 hours or more of work a week; or • from $325 to $375 each week if a person has lost between 8 and 20 hours of work (or a full day of their usual work hours per week). This will be a recurring payment for approved recipients for as long as the Commonwealth-declared hotspot and lockdown restrictions remain in place. Furthermore, from 18 July 2021, this payment will be available to eligible NSW residents outside Commonwealth-declared hotspots (which will be funded directly by the NSW Government).
Snapshot of Queensland Assistance
The Business Boost grants program provides support to small businesses to advance improvements in their efficiency and productivity. Applications open at 9am on 30 July 2021 and the support on offer includes funded activities in 3 project areas:
- Future planning
- Specialised and automated software
- Staff management, development and planning
You may be eligible to receive grant funding up to $15,000 (excluding GST) on completing your proposed project. The minimum total project cost is $10,715 (excluding GST) and successful applicants must co-contribute at least 30% of the total project costs.
To be eligible for this grant, your business must:
- have fewer than 20 employees at the time of applying for the grant
- have an active ABN and be registered for GST
- have a Queensland headquarters
- have a turnover of between $300,000 (minimum) and $600,000 (maximum) in the last financial year (2020–21)
- have a publicly reachable web presence to identify business operations (e.g. business website and/or social media pages)
- not be insolvent or have owners/directors that are an undischarged bankrupt.