More businesses and not-for-profits will be eligible for JobKeeper payment extension under a $15.6 billion change to the scheme announced on August 7.
The Government initially outlined the JobKeeper extension guidelines on July 21, but says it needs to extend its criteria after the Victoria Government implemented stricter lockdowns across the state.
Changes from 28 September
The new rules mean that from 28 September, businesses need to show their turnover has fallen by 30 per cent in the September 2020 quarter, compared to the same period last year.
Previously, businesses and not-for-profits hoping to receive JobKeeper needed to prove their turnover had fallen by 30 per cent in the consecutive June and September 2020 quarters, to be eligible in the December quarter. This means businesses that had been performing strongly through April, May and June but have now entered shutdown will be eligible for payments.
Changes to the second extension
For the second JobKeeper extension, which begins on 4 January, businesses will need to show a 30 per cent fall in turnover over the December quarter only in order to qualify for the significantly smaller payment.
Under the previous eligibility requirements, businesses needed to show a fall in turnover for the consecutive June, September and December quarters.
Broadening access for new employees
More employees will also be eligible, with new workers qualifying for payments if they have been employed since July 1, rather than the previous deadline of March 1. These new workers will qualify for payments backdated to 3 August.
The changes will apply across the country, meaning some businesses in other states will qualify, however it is anticipated that $13 billion of the money will be made available to Victorian businesses.
Call us today if you need help managing your business cashflow or applying for government financial assistance during the current crisis.
Information in this article has been sourced from the Treasury website: https://treasury.gov.au/coronavirus/jobkeeper
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