The recent lockdowns across all states have resulted in businesses and individuals once again experiencing financial pressures and difficulties.
The NSW and Federal Governments have announced a new combined support package yesterday to assist NSW businesses and workers impacted by the recent COVID-19 lockdowns. The support package will be administered via the NSW Government via Service NSW.
At this stage, we are waiting on further details for the package but so far, we summarise as follows:
COVID Disaster Payment
- From 18 July the COVID-19 Disaster Payment will be increased to $600 per week if a person has lost more than 20 hours of work a week or $375 per week if a person has lost between 8 to 20 hours per week.
- The payment will also be available to those outside the declared hotspots in NSW that meet the criteria for payment
New Business Support Payment
- A new business support payment for entities that have annual turnover between $75,000 and $50 million who can demonstrate a 30% decline in turnover compared to the equivalent 2 week period in 2019
- Eligible entities will be required to maintain their full time, part time and long-term staffing level as of 13 July 2021
- The payments will be between $1,500 and $10,000 per week based on 40% of the weekly payroll
- The payments commence from week 4 of lockdown onwards
- For non-employing entities such as sole traders, partnerships and trusts, the payment will be set at $1,000 per week
- The payment will cease when the current lockdown restrictions are eased or the hotspot declaration removed
Micro Business Grant
- Micro businesses with annual turnover of more than $30,000 and under $75,000 impacted by lockdown may be eligible for a grant of up to $1,500 fortnightly where the business is the primary source of income and they can demonstrate a 30% decline in turnover
COVID-19 Business Grant
- A small business grant of up to $15,000 will be available for businesses, sole traders, and not-for-profit organisations impacted by the current lockdown from 19 July 2021
- The grant amount is based on expected decline in turnover
- The grant is to be used for business expenses such as rent, utilities, and wages where no other government support is available
Payroll Tax Deferrals
- A payroll tax deferral this quarter for all businesses, and a waiver for businesses with payroll between $1.2 million to $10 million who can demonstrate a 30% reduction in turnover
Assistance for Landlords and Renters
- Residential tenants will be protected through an eviction moratorium including no lockouts or forced evictions.
- Landlords who offer rent reductions to households financially impacted by the lockdown may be eligible for a grant of up to $1,500 per tenancy or land tax reduction depending on their circumstances
- The Land tax relief will be equal to the value of the rent reductions provided to residential tenants, up to 100% of the 2021 land tax year liability
Further details on the eligibility criteria and application process will be provided as more details are released.
If there is any way we can support you or your business during these difficult times, please reach out to one of our friendly team members at HQB.
– Jenny Booth
This article is compiled as a helpful guide for your private information and is subject to copyright. We suggest that you do not act solely on the basis of material contained in this article because items are of general nature only and may be liable to misinterpretation in particular circumstances. We recommend that our advice be sought before acting on any of these crucial areas.