Business support and COVID-19 disaster payments changes imminent

BUSINESS SUPPORT PAYMENTS

Treasurer Josh Frydenberg has announced that federal support to the States for their COVID business grants schemes will cease once 80 per cent of the adult population has received two vaccinations.

‘At this point it will be a matter for each State to decide whether any additional targeted business support is needed in their jurisdictions as a result of any health restrictions they elect to impose’, Mr Frydenberg said.

In NSW, once a fully vaccinated rate of 70 per cent is reached, JobSaver payments will be reduced from 40 per cent of weekly payroll to 30 per cent of weekly payroll. This first phase could occur within a fortnight.

The NSW government will then fund an extension of JobSaver, at a rate of 15 per cent of weekly payroll, until 30 November.

Minimum and maximum payments are also set to be reduced once the 70 per cent threshold is breached.

The minimum payment will drop from $1,500 to $1,125, while the maximum payment will also drop, from $100,000 to $75,000. Grants will also drop, this time by 30 per cent, while grants for sole traders will drop from $1,000 to $750.

It is expected that the other States and Territories will adopt the NSW approach.

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COVID-19 DISASTER PAYMENTS

When 70% of people 16 years or older in your state or territory have had 2 doses of a COVID-19 vaccine, your automatic COVID-19 Disaster Payment will stop.

If you’re still affected by movement restrictions, you’ll need to reapply for the payment each week so we know you are still eligible.

When 80% of people 16 years or older in your state or territory have had 2 doses of COVID-19 vaccine, your COVID-19 Disaster Payment will reduce over 2 weeks.

In the first week after a state or territory reaches 80% double dose vaccination rates, COVID-19 Disaster Payment will be:

  • $450 if you’re not getting an eligible Centrelink or Department of Veterans’ Affairs (DVA) payment
  • $100 if you’re getting an eligible Centrelink or DVA payment.

In the second week after a state or territory reaches 80% double dose vaccination rates, COVID-19 Disaster Payment will:

  • be $320 if you’re not getting an eligible Centrelink or DVA payment
  • end if you’re getting an eligible Centrelink or DVA payment.

After this period, there will be no more applications for COVID-19 Disaster Payment even if your area is affected by movement restrictions.

If you are in need of long term financial support, you can test your eligibility for an income support payment. Use our COVID-19 payment guide to see what you may be able to get.

We have other support available if you’re affected by COVID-19. You don’t have to get a payment from us to get help.

https://www.servicesaustralia.gov.au/individuals/news/there-are-changes-covid-19-disaster-payment as at 29 September 2021

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FAREWELL KIM LY AND WELCOME PENNY BOUNTRIS AND DAT NGUYEN

Kim, who has tirelessly managed the various Federal and State COVID support programs for clients of the practice over the last 18 months, will be on maternity leave from Monday, 4 October with a planned return date of July 2022.

Due to the snap Victorian lockdown in July, the practice was not able to hold a farewell for Kim and sadly, none of us have seen her in person since then. That being said, we wish Kim all the best for this new phase of her life and we look forward to welcoming her back next year.

Kim will be missed, but her position will be filled by very capable new staff member Penny Bountris, who has previous experience working at the Australian Taxation Office.

We also welcome Dat Nguyen to our Hobart office. Dat will be working alongside Jane, providing administration support to the clients of the practice, particularly in the area of payroll services like tax registrations, STP and superannuation.

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Please contact the practice for further assistance:

Don – Senior Accountant; business taxation specialist
don@artsaccountants.com.au

Lachlan – Tax accountant; music, radio and film and TV specialist
lachlan@artsaccountants.com.au

Penny – ATO liaison and EMDG program
penny@artsaccountants.com.au

George – Tax accountant; SMSF and trust specialist
george@artsaccountants.com.au

Jane – Management accountant; client bookkeeping and accounts, preparation, STP specialist (Hobart office)
jane@artsaccountants.com.au

Dat – Administrative support services (Hobart office)
dat@artsaccountants.com.au

Michael – Principal and fine art valuer
michael@artsaccountants.com.au

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Featured Image: Nigel Sense, Jim Jim Falls (2021). Acrylic on canvas, 160 cm by 280 cm.
Preview Nigel Sense’s solo show Departure Lounge here.