The NSW Government announced on 28 July 2021 changes to a key support measure for businesses impacted by the ongoing lockdown.
The support measures were initially announced on 18 July 2021. The changes affect what the NSW Government terms its JobSaver package. There are 2 important changes:
- JobSaver payments will now be available to businesses with an annual turnover of between $75,000 and $250 million, which have experienced a revenue decline of 30% or more. This is up from the original $50 million; and
- the maximum weekly payment has also increased, with employing businesses that maintain their employee headcount now able receive between $1,500 and $100,000 per week. This is up from $10,000. Payments are based on 40% of their weekly NSW payroll.
JobSaver payments are available from Week 4 of the lockdown. Non-employing business remain eligible for a maximum of $1,000 per week.
The release states that more than 14,000 applications had been received since applications opened on Monday 26 July 2021, with almost $28 million approved for payment so far. Payments are expected to start hitting bank accounts from 31 July.
Businesses can expect to receive funds in their accounts within 5 to 10 business days from their approval date.
The changes set above will be backdated, so businesses that have already received a first payment on previous settings will be topped up when their next payment is made.– Ian Murray-Jones, Senior Tax Writer, Thomson Reuters
This is in addition to the 2021 COVID-19 Business Grant, which is designed to cover the first 3 weeks of lockdown. So far more than $118 million has been paid to businesses under this scheme, from more than 56,000 applications received.
More information on the various NSW support measures for businesses can be found on the designated support package webpage. Individuals affected by the lockdown should check this Services Australia webpage.
This article was first published in Thomson Reuters’ Weekly Tax Bulletin.