Federal Government Stimulus
As some of you may have heard in the media, the Federal Government have announced a stimulus package designed to keep Australians in jobs as our economy takes a hit from the spread of the Coronavirus. This package contains packages and subsidies that are likely to significantly benefit our members as we face this economically uncertain time.
- Do you run a business that turns over less than $50 million a year?
- Do you currently employ apprentices and run a business with less than 20 employees?
If you fit into either or both of these categories then there are significant benefits available to you and your business as part of the Federal Government $17.6 billion economic stimulus package.
What we the package will include so far
Tax breaks and subsidies for small businesses
A Payment of up to $25,000 is available to businesses that employ people and have a turnover of up to $50 million. “The payment will be delivered automatically through the tax system so no new forms will be required, and these payments are tax free, so they’ll be delivered automatically and these payments are tax free” Treasurer Josh Frydenberg said.
Businesses with a turnover of up to $500 million will also be able to write off purchases of up to $150,000. Mr Frydenberg said “any such purchase from now until 30 June, including a truck, a tractor, a shop fit-out, can be written off immediately.” The instant asset write-off threshold will also be raised from $30,000 to $150,000 and access expanded to businesses with an annual turnover of $500 million.
Support for apprentice employers
Small businesses with fewer than 20 employees will be eligible for payments of up to $21,000 per apprentice ($7000 each quarter) in wage assistance. To be eligble, you must have had an apprentice, employed under a training contract prior to March 1 of this year. You will be able to register for this subsidy in early April. We will send out more information and contact our registered employers who we know have apprentices to support you through this process.
The payments will subsidise apprentice wages for up to nine months with the aim of keeping them employed.
Support for Casual employees
Prime Minister, Scott Morrison said casual workers who contracted Coronavirus, or had to isolate themselves, would be eligible for a Newstart welfare payment while out of work.
The typical wait time to access the payment will be waived, but people will face an assets test before receiving the money.
If you are looking for any additional information or support to understand what these payments can mean for you and your business please contact:
Director of Learning and Workforce Capability
0424 692 718 or [email protected]
More information is coming to light each day and as we will ensure we continue to communicate with you with what is most relevant to you and your business.
More detailed information is also available below: