JobKeeper 2|Wilson & Assoc Chartered Accountants

JobKeeper 2

What is JobKeeper 2?

The Government has extended JobKeeper to 28 March 2021.  Employers seeking to claim JobKeeper payments will need to reassess their eligibility and prove decline in turnover.

If your business currently receives JobKeeper, your arrangements will generally remain unchanged until 27 September 2020.

Who is eligible?

The eligibility test requires a turnover drop of at least 30 per cent, or 50 per cent for those with aggregate turnover of over $1 billion, and 15 per cent for charity.

Eligibility requires reassessment GST income of September December quarter each against the same quarter last year for JobKeeper payments from 28 September to 3 January 2021, and from 4 January 2021 to 28 March 2021 respectively.

Alternative arrangements will also be put in place for businesses and not-for-profits that are not required to lodge a BAS.

The Treasury has also confirmed that the JobKeeper payment is open to new recipients, provided they meet the existing eligibility requirements and the additional turnover tests during the extension period.

What are the new JobKeeper amounts?

From 28 September 2020 to 3 January 2021, the payment rate will be $1,200 per fortnight for those who were employed full-time in the four weeks before 1 March 2020, and $750 for those working less than 20 hours a week.

From 4 January 2021 to 28 March 2021, the payment rate will be reduced to $1,000 per fortnight for full-time workers, and $650 for part-time employees working 20 hours a week or less.

How is it paid?

Businesses will have to pay their employees before claiming it from the ATO.

Is there an alternative test?

The Commissioner of Taxation will have discretion to set out alternative tests where an employee’s or business participant’s hours were not usual during the February 2020 reference period.

This includes, for example, where the employee was on leave, volunteering during the bushfires or not employed for all or part of February 2020.

 

See also

JobKeeper Payment

 

About Wilson & Assoc

Wilson & Assoc Chartered Accountants provides taxation and business advisory services to individuals, investors and businesses wherever you are based. We provide specialist services to startups and health care providers.

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Information provided on this website is general information only and should not be treated as professional advice.  You may not rely on the basis of currency or accuracy of the information. We disclaim liability to all persons or organisations for any loss or damage suffered as a result of such reliance.  Please ensure you contact us to discuss your particular circumstances and how the information provided applies to your situation.

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