Scott Morrison is trying to get ahead of the problem. The next wave of stimulus packages is assisting businesses to keep their staff employed. This $66 billion package will certainly help businesses that have been hit hard and will continue to be hit hard during the Covid-19 pandemic. The government is planning to keep updating these packages over the next 6 months to combat unforeseen issues as they arise.
The main factors in this second announcement are *;
– Increasing the PAYG credits (to eligible businesses and Not-For-Profits) from the original 50% to 100%. The criteria remains that businesses must have a turnover of under $50m, however the minimum payment is now $20,000 and the maximum is $100,000.
– A new loan scheme which enables the government to guarantee half of bank loans up to $250,000 starting the 1st April for businesses impacted by the pandemic. No repayments are required for the first 6 months.
– Quicker and more funds for JobSeeker allowance.
– Access to $10,000 per year for the next 2 years from your Superannuation funds. Applications will be online to determine criteria and this will be TAX-FREE.
– Welfare recipients will receive an additional $750 payment.
It would also ring-true to be eligible for all of this assistance, businesses must be up to date with the ATO. This means IAS and BAS lodgments, payment plans and income tax obligations. If you need assistance with getting everything up to date quickly, so that you can also take advantage of the packages when they are needed, please contact us. As a business, we are also helping by offering some discounted services, longer payment terms and an free initial consultation.
Many businesses feel that Bookkeeping is something that can be cut back during times like these, however the opposite is true. To enable you to analyse your cash-flow, apply for loans and apply for government assistance your books need to be current ASAP. Let us help with this so that you can continue to concentrate on your business and keep your staff employed during these confusing and unprecedented times.
For details of this package, keep updated here
* Details subject to change by the Australian Government