Eligibility changes to JobKeeper will apply nationwide from September 28. The two key changes are:
1. A new two-tiered payment rate
2. A new turnover test
A summary of these changes is listed below.
So that we can accurately reassess your eligibility for JobKeeper 2.0, please complete this form by October 1. Please send relevant attachments / direct any queries to Kim or Marianne
The September payment will be the last for JobKeeper 1.0. The first Jobkeeper 2.0 payment will start in October/November.
Businesses currently enrolled in JobKeeper will not need to re-enrol for JobKeeper 2.0, nor will they need to provide a nomination notice again.
1.PAYMENT RATE
| ELIGIBLE BUSINESS PARTICIPANTS |
| JobKeeper 2.0 – 1st extension period (28 September 2020 –4 January 2021) |
| Eligibility criteria |
Actively engaged in the business for 80 hours or more in February 2020 |
Actively engaged in the business for less than 80 hours in February 2020 |
| Payment rate |
$1200 |
$750 |
| JobKeeper 2.0 – 2nd extension period (4 January 2020 – 28 March 2021) |
| Payment rate |
$1000 |
$650 |
|
Calculation of hours worked
and evidence |
As eligible business participants don’t have a payroll or in many cases, a detailed record of working hours, it is expected that a monthly declaration confirming active engagement in your business will continue.
Activities considered a condition for being actively engaged in business include:
- providing services, or selling goods
- supervising and managing the performance of employees
- negotiating contracts with suppliers and customers including providing quotes
- drawing up business plans and planning or budgeting reports
- managing the record keeping and accounts, including the use of the documents for analysis
- making financial, legal and tax decisions, including time spent on obtaining professional advice (for example ensuring the business complies with legal and regulatory obligations)
- managing commercial risks of the business
If the tier 1 rate applies to you as an eligible business participant, you must keep records based on the above, these records will show how you made your assessment of the hours that you were actively engaged in your business. These records might include:
- business diaries
- appointment books
- log books
- hours billed
- invoices issued
- time sheets or attendance records
- records prepared for other business or statutory purposes.
Note that the calculation of hours worked is a static calculation which means that once it is undertaken it doesn’t need to be redone. However, applicable rate must be nominated when claiming.
|
| Alternative test |
The reference period will usually be the month of February 2020. The alternative reference period – less than 80-hours and not representative is used if:
- total hours of active engagement in your business was less than 80 hours in February 2020, and
- when compared to earlier 29-day periods (each wholly within a calendar month), February is not representative of your typical number of hours of active engagement in your business.
For example, you were sick or injured during February 2020, so that period is not representative of your typical time spent actively engaged in your business.
The alternative reference period is the most recent 29-day period (wholly within a calendar month):
- ending before 1 March 2020
- in which your total hours of active engagement in your business was representative of a typical 29-day period.
|
EMPLOYEES |
| JobKeeper 2.0 – 1st extension period (28 September 2020 –4 January 2021) |
| Eligibility criteria |
employees who worked for 80 hours or more in the four weeks of pay periods before either 1 March 2020 or 1 July 2020 |
| Payment rate |
$1200 |
$750 |
| JobKeeper 2.0 – 2nd extension period (4 January 2020 – 28 March 2021) |
| Payment rate |
$1000 |
$650 |
| Calculation of hours worked |
The employee will satisfy the 80-hour threshold if, in their 28-day reference period, the total of the following is 80 hours or more:
- actual hours they worked
- hours they were on paid leave
- hours they were paid for absence on a public holiday.
If an eligible employee satisfies the 80-hour threshold, you can claim the tier 1 payment rate for them. If they do not meet the 80-hour threshold, you can only claim the tier 2 payment rate for them.
Note that the calculation of hours worked is a static calculation which means that once it is undertaken it doesn’t need to be redone. However, applicable rate must be nominated when claiming.
|
| Alternative test |
If you have incomplete records of your eligible employee’s total hours, there are some circumstances where we will allow you to claim the tier 1 payment rate for them.
Closer examination may be required for eligible employees that are part-time
- long term casuals
- not paid on an hourly basis
- stood down.
If your employee has been stood down, an alternative reference period may apply to them. |
2. TURNOVER TEST
| TURNOVER TEST – ELIGIBLE BUSINESS PARTICIPANTS & EMPLOYERS |
| JobKeeper 2.0 – 1st extension period (28 September 2020 –4 January 2021) |
| Eligibility criteria |
there must be an actual decline of 30% or more in turnover in the September 2020 quarter |
| JobKeeper 2.0 – 2nd extension period (4 January 2020 – 28 March 2021) |
| Eligibility criteria |
there must be an actual decline of 30% or more in turnover in the December 2020 quarter |
| *The ATO will soon provide further information on how to undertake the calculation |
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