As an employer, to receive the JobKeeper Payment you must:
- Register an intention to apply on the ATO website and assess that they have or will experience the required turnover decline.
If you have not done so already, you can register by clicking here.
- Provide information to the ATO on eligible employees:
For most businesses, the ATO will use Single Touch Payroll data to pre-populate the employee details for the business.
- Ensure that each eligible employee receives at least $1,500 per fortnight (before tax).
For employees that were already receiving this amount from the employer they will continue to receive their regular income according to their prevailing workplace arrangements.
For employees that have been receiving less than this amount, the employer will need to top up the payment to the employee up to $1,500 per fortnight, before tax.
For those employees earning more than this amount, the employer is able to provide them with a top-up.
- Notify all eligible employees that they are receiving the JobKeeper Payment.
- Continue to provide information to the ATO on a monthly basis, including the number of eligible employees employed by the business.
Paying super – it will be up to you if you want to pay superannuation on any additional wages paid because of the JobKeeper payment.
You MUST continue to comply with existing super guarantee requirements.
Let Recap what the JobKeeper Payment is
Under the JobKeeper Payment, businesses impacted by the Coronavirus will be able to access a subsidy from the Government to continue paying their employees.
Affected employers will be able to claim a fortnightly payment of $1,500 per eligible employee from 30 March 2020, for a maximum period of 6 months.
Employers will be eligible for the subsidy if:
- the business has a turnover of less than $1 billion and their turnover has fallen by more than 30%; or
- the business has a turnover of $1 billion or more and their turnover has fallen by more than 50%; and
- the business is not subject to the Major Bank Levy
Self-employed individuals (businesses without employees) will be eligible to receive the JobKeeper Payment where they meet the relevant turnover test outlined above.
Charities which are registered with the Australian Charities and Not-For-Profit Commission (ACNC) will be eligible for the subsidy if they estimate their turnover has or will likely fall by 15 per cent or more relative to a comparable period.
To establish that a business or not-for-profit has, or is likely to, face the relevant fall in their turnover, most would be expected to establish that their turnover has or will likely fall in the relevant month or quarter (depending on their Business Activity Statement reporting period) relative to their turnover in a corresponding period a year earlier. Turnover is calculated as it is for GST purposes, and is reported on Business Activity Statements.
More information to come as we continue to receive updates from the Government.
In these challenging times it is important that you seek advice if needed and should you have queries about the new tax measures and how it impact you, we can be reached here.