The government has released details for JobKeeper 2.0.
The good news is that if your business (those self-employed too) currently receives JobKeeper, your arrangements will generally remain unchanged until 27 September 2020.
The not-so-good news is that after this date, your payment rate will be reduced, and a lower payment rate will be introduced for those who work fewer hours.
The higher tier pays $1,200 a fortnight until January 3, 2021, after which it will reduce to $1,000 a fortnight
The lower tier pays $750 a fortnight until January 3, 2021, after which it will reduce to $650 a fortnight
For sole traders, we understand they are also subject to the thresholds that define access to the high or low tier and eligibility will depend on the hours worked in February 2020.
Businesses claiming JobKeeper from 28 September 2020 will be required to:
demonstrate that they have suffered an ongoing significant decline in turnover using actual GST turnover (rather than projected GST turnover)
reassess their eligibility with reference to their actual GST turnover in the June and September quarters 2020
meet the relevant decline in turnover test in both of those quarters to be eligible for the payment from 28 September 2020 to 3 January 2021
This is all subject to official treasury legislation.
We've got your back and are committed to helping you navigate these uncertain times.
It's tax time so our phone line is busy but feel free to private message us or email info@mjmaccountants.com.au for more details.
Treasury has published new fact sheets explaining JobKeeper 2.0, which are available online here.
Image source: Chartered Accountants Australia and New Zealand
