As business opens it’s doors what can expect from JobKeeper 2

JobKeeper 2 Rules have landed

Long after legislation has past and the media has spread their take we finally have the full set of JobKeeper 2 rules to unpack and digest.   The JobKeeper 2 extensions are broken up into 2 add ons 28th September to 3rd January and then 4th January to 28th March 2021 and you do not need to be in the first extension period to get the second, each is tested separately. So what’s in and out?

The same

  • You need to complete a new test to show the downturn, the same percentages as before 15% NFP, 30% small business and 50% for the big guys.
  • Employees needed to be with you at March or now 1st July (which changed mid stream in JobKeeper 1). Casuals 12 months at either date. The same rules for under 18’s but at either date, so some that missed out when it was initially changed after the first 3 fortnights can now get back in.

What’s changed

  • The Big one – Is it’s actual turnover not projected turnover so need to wait until September is processed to run the numbers;
  • The Basic Test is the September quarter comparison 2019 to 2020. Alternate options are limited;
  • Cash or Accruals – how your BAS is lodged is how you must calculate the downturn;
  • What constitutes GST turnover has changed too – we now need to include the sale of business assets, think shop fittings, the business car etc. Note that Cashboost payments, JobKeeper payments and some grants are not included;
  • The rate of payment has reduced to $1200 for employees working more than 20 hours and a new tier for those working less. This reduces again for the period January to March. See the attached Australian Taxation Office JobKeeper Payment factsheet.pdf

What else

  • BAS for September 2019 must be lodged;
  • Nominate until 31st October for the first JobKeeper 2 extension;
  • You have to 31st October to top up but need to advise employees that you maybe eligible.

Contact us if you need to know more CONTACT US

Want the facts? Here they are straight from the horses mouth (not Tracey’s at 7pm nightly) – JobKeeper 2 Extension Fact Sheet