Similar to the prior year, the Federal Government has most recently declared that additional Victorian grants as well as an ACT grant is the treated as ‘non-assessable, non-exempt
This classification confirms that these grants will effectively be tax-free for eligible recipients of the grant in the income year of receipt.
The ATO is yet to update this information on their website with the most recent updates to add to the current list of NANE. For all NANE grant listings, you can view them in detail on the ATO’s website at Eligible COVID-19 business grants and support programs.
Treating a Government COVID-19 business grant or support program payment, all of the following conditions need to be met:
- The payment is received under a State or Territory grant or Australian Government support program formally declared by the Minister under a legislative instrument to be eligible for NANE.
- The taxpayer carried on a business and had an aggregated turnover of less than $50 million in either the income year the payment was received or the previous income year.
- The payment was received in the 2021 or 2022 income year for eligible State or Territory grants or in the 2022 income year for eligible Australian Government programs.
The following grant programs are the most recently announced grants to be declared as NANE:
- Business Cost Assistance Program Round Two — Top Up (Victoria)
- Business Cost Assistance Program Round Three (Victoria)
- Business Cost Assistance Program Round Four (Victoria)
- Business Cost Assistance Program Round Four — Construction (Victoria)
- Business Cost Assistance Program Round Five (Victoria)
- Commercial Landlord Hardship Fund 3 (Victoria)
- Impacted Public Event Support Program Round Two (Victoria)
- Licensed Hospitality Venue Fund 2021 – Top Up Payments (Victoria)
- Live Performance Support Program (Presenters) Round Two (Victoria)
- Live Performance Support Program (Suppliers) Round Two (Victoria)
- HOMEFRONT 3 (ACT)
If you have a particular question regarding your eligibility, tax position and how any of the above will impact you, we can be reached here.
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