Since our previous article on the JobKeeper program, we have all been waiting patiently for the Government to pass the legislation for the JobKeeper Allowance, and some of its detail.
On April 8 2020, the Government passed the legislation, so it is now law, and as a result, we now have a few clarifications:
Self Employed Businesses:
Self-employed businesses which operate as:
- Companies;
- Partnerships; and
- Trusts
are now eligible. Only one partner, or one director or one beneficiary (which must be an individual) is able to be nominated to receive the payment. So, while this is a concern for companies with multiple directors or partners, at least there has been some recognition for these operating structures.
Cashflow:
The most important issue at the moment is cashflow. Unfortunately, there are two major issues with JobKeeper:
- The first payment won’t be paid until 1 May 2020; and
- Ongoing payments will be made monthly in arrears.
BAS Returns:
The JobKeeper Allowance and your eligibility are linked to your BAS returns. So it is important to stay on top of your lodgements, as this is how you will be assessed.
The payments are all being made by the ATO, along with the Cashflow Booster payments.
The JobKeeper Allowance is going to be a very important matter as we move forward. For example, the application of the Commercial Property Code of Conduct for tenancies is linked to JobKeeper Allowance and eligibility.
More detail is available from the Australian Government Website at this address:
https://treasury.gov.au/sites/default/files/2020-04/JobKeeper_frequently_asked_questions_0.pdf
For Employers / Small Businesses:
https://treasury.gov.au/sites/default/files/2020-04/Fact_sheet_Info_for_Employers_0.pdf
For Employees:
https://treasury.gov.au/sites/default/files/2020-04/Fact_sheet_Info_for_Employees_0.pdf
Still have questions? We are here to help.
If you are unsure of your eligibility, how to handle your employees or how to approach your employer, please email us at consulting@austasiagroup.com
