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JobKeeper V2.0

We have held off any communication regarding JobKeeper V2 until now to see if the Government announced any changes to those in July. We realise that 4 weeks from the end of JobKeeper V1, you are probably worried about business continuity given the devastating Stage 4 lockdowns in Melbourne Metro. We are here to help you to access continued Government support and to ensure you understand what you and your employees are entitled to. In brief, the JobKeeper payment will be extended for a further 6 months to March 2021. However, support will be more targeted and as the business owner you will be required to prove that you continue to be significantly impacted by COVID. Furthermore, the payment rate will be reduced, and a lower payment rate will be applied for those employees who work fewer hours.

Employee Eligibility
From the 3rd of August 2020, the relevant date of employment moved from 1st March to 1st July 2020, increasing eligibility for the existing scheme and its extension.
Payment Rates
The payment rate of $1,500 per fortnight for eligible employees and business participants will be reduced to $1,200 per fortnight from 28th September 2020, and to $1,000 per fortnight from 4 January 2021.

From 28 September 2020, a lower payment rate of $750 per fortnight will apply for employees and businessparticipants who worked fewer that 20 hours per week on average.

From 4 January 2021 to 28 March 2021 the lower payment rate of $650 per fortnight will apply for employees and business participants who worked fewer than 20 hours per week on average.

Businesses will need to nominate which payment rate they are claiming for each of their eligible employees or business participants.

Business Turnover Eligibilit
From 28th September 2020, businesses seeking to claim JobKeeper will need to prove that they have suffered a 30% decline in turnover using actual GST turnover (rather than projected GST turnover).

From 4 January 2021, businesses will need to further assess their turnover to be eligible for the JobKeeper payment. They will need to demonstrate that they have met the relevant decline in turnover test with reference to their actual GST turnover in the December quarter 2020 to be eligible for theJobKeeper payment from 4 January 2021 to 28 March 2021.

When will JobKeeper V2 be Paid by ATO?
As previously, employers will be paid in arrears and will have to pay employees amounts equal to or greater than the amount of JobKeeper payment before tax.

How Can We Help?

If you believe that you are still eligible for JobKeeper please contact us so we can continue to support you and your business. Our current JobKeeper engagement with clients ends on 28th September and we will need to send out a new one.

So please reply by return Email to register your interest so we can send you a new engagement. Stay safe and look after yourself, talk soon.

Kevin Dinh