If you are an employer

If you are an employer Main Image

23 April 2020

You must prove your business has been significantly impacted by the Coronavirus to be eligible to pay your employees the government’s JobKeeper subsidy.

Under JobKeeper you can claim $1500 per fortnight from the government for each eligible employee from March 30.

This assistance is intended to help you hold on to staff through the economic downturn caused by COVID-19.

Businesses, not-for-profits, universities, non-government schools and self-employed people will be eligible if they have an aggregated turnover of less than $1 billion for income-tax purposes and they estimate their GST turnover has fallen by or is likely to fall by 30 per cent or more.

Those with turnover of $1 billion or more will need to show GST turnover has fallen or is likely to fall by 50 per cent or more as a result of the Coronavirus.

Those subject to the major bank levy won’t be eligible.

Charities registered with the Australian Charities and Not-for-profits Commission (ACNC) will need to prove a 15 per cent fall in GST turnover. Registered charities may also include donations in their turnover.

Commonwealth, State, Local and foreign governments and their agencies are not eligible.

Business Activity Statements will be used as proof of the decline in turnover. The Taxation Commissioner has discretion to ask for additional information for new enterprises.

The Tax Commissioner will also have discretion to set alternative tests or if a business falls slightly short of the 30 per cent or 50 per cent turnover decline.

Employers will also need to prove they had a relationship with an employee on 1 March 2020 and that each employee is currently engaged.

It will be up to the employer to decide whether or not to pay superannuation on any additional wage paid as a result of employees receiving JobKeeper.

The Tax Commissioner will pay JobKeeper payments shortly after the end of each month for payments due in that month.

For more information go to Treasury .