COVID-19 Archives

Past extracts for viewing:

WA Government COVID-19 Assistance Packages – Level 1 and Level 2

The two major assistance packages recently announced by the State Government are shown below:

Level 1 COVID-19 Business Assistance Package

The Level 1 package includes 8 tailored programs created to help small businesses with cash flow and to support safe trading, with particular focus on the hospitality industry.

- Small Business Rental Relief Package

This package is split into three parts as follows:

- - Tenant Rent Relief Scheme

The $42 million Tenant Rent Relief Scheme provides grants of $3,000 (based on $500 per week for 4 weeks) to eligible small business tenants who meet the following requirements:

- - - Verify their identity using MyGovID
    - Provide proof of tenancy (lease) in WA, excluding Government tenants
    - Have an annual turnover of more than $50,000, excluding GST
    - Have a valid and active Australian Business Number (ABN) for the period covered by the application
    - Have an Australia-wide payroll of less than $4 million
    - Be able to demonstrate a 30 per cent reduction in revenue for any four-week consecutive time frame between 1 January 2022 to 30 April 2022, compared to the equivalent period in 2021. An alternative period in 2021 may be used if the business did not operate at the time or it provides an inaccurate representation of the business’ financial situation
    - Provide an unredacted PDF copy of the business bank statement showing 2022 transactions, a BSB, an account number, and the business name associated with the tenancy

Applications can be done through the Small Business Development Corporation website here – applications opened on Thursday, 10 March 2022 and close on 4:00pm on 30 June 2022 (AWST)

- - Landlord Rent Relief Incentive

This aims to support eligible landlords who voluntary match the Government’s Tenant Rent Relief payments with $1,500. To be eligible, Landlords will need to have provided rent relief of $3,000 to small business tenants that:

- - - Have a tenanted premises located in WA
    - Experience a 30 per cent reduction in revenue for any four-week consecutive time frame between 1 January 2022 to 30 April 2022, compared to the equivalent period in 2021
    - Have a valid and active ABN for the period covered by the application
    - Have an Australia-wide payroll of less than $4 million

The applications will be managed by the Small Business Development Corporation and more details will be available at a later date – watch this space for news.

- - Tenant Rental Credit Scheme

This program provides a rental waiver of credit of $6,000 for eligible small business tenants of Government-owned buildings. To be eligible for the scheme, the following criteria must be met:

- - - Provide proof of tenancy (lease) of a WA Government-owned building in WA
    - Be able to demonstrate a 30 per cent reduction in revenue for any four-week consecutive time frame between 1 January 2022 to 30 April 2022, compared to the equivalent period in 2021. An alternative period in 2021 may be used if the business did not operate at the time or it provides an inaccurate representation of the business’ financial situation
    - Have an annual turnover of more than $50,000, excluding GST
    - Have a valid and active ABN for the period covered by the application
    - Have an Australia-wide payroll of less than $4 million

More details, including when the applications open and how to apply for the grant will be available soon – please see the Small Business Development Corporation website for more details.

- Outdoor Dining and Entertainment Support Package

- - Alfresco Support Program

This program was created to reimburse small businesses in the hospitality sector with up to $5,000 for eligible costs associated with creating and expanding an alfresco area to meet the requirements of public health and social measures.

- - Waiver of Liquor Licensing Fees

Liquor license renewal fees for 2022 will be waived and refunds will be provided to businesses that have already paid. If your business is eligible for a liquor license annual fee refund, you will have been sent an email from the Department of Local Government, Sport and Cultural Industries (DLGSC) with instructions – if the department does not have your current email address, you can complete an online refund form available on their website. Subsequently, fees will also be waived for new permit applications.

One-off fees for variations to liquor licensing to enable extended alfresco services will also be waived, and fees for a COVID-19 occasional permit will be waived to permit the sale of take-away alcohol as part of a take-away meal.

A licensed liquor businesses will be eligible unless exempted.

- - Nightclub Assistance Program

Payments of up to $50,000 will be available for eligible nightclubs impacted by the capacity limits and social distancing rules

- - Performing Arts, Theatres, and Cinemas Assistance Program

Payments of up to $50,000 (based on seating capacity limit) will be available to a range of larger indoor entertainment venues that are particularly affected by capacity constraints to assist with cash flow.

The Outdoor Dining and Entertainment Support Package is handled by the Department of Local Government, Sport and Cultural Industries. No concrete dates have been set, but any updates will be announced on the DLGSC website – you will also be able to register your interest and opt in to receive notifications here.

Level 2 COVID-19 Business Assistance Package

The Level 2 Transition Industry Support Package includes:

- Small Business Hardship Grants

The Small Business Hardship Grants program will provide tiered grants to eligible businesses, dependant on the number of Full Time Equivalent (FTE) employees of the business – note that for the purposes of this calculation, the business owner is excluded from the FTE calculation:

- - $3,000 grant for sole traders (business owner – no additional employees)
  - $7,500 grant for micro businesses (business owner, plus 1 to 5 employees)
  - $20,000 grant for small businesses (business owner, plus 6 to 19 employees)
  - $50,000 grant for medium sized businesses with an annual payroll of up to $4 million (business owner, plus 20 or more employees)

To be eligible, businesses must meet the following criteria:

- - Verify their identity using MyGovID
  - Have a valid and active ABN for the period covered by their application
  - Be currently trading in WA
  - Have an Australia-wide payroll of less than $4 million
  - Have an annual turnover of more than $50,000 excluding GST
  - Be able to demonstrate a 50 per cent reduction in revenue for any two-week consecutive period between 1 January 2022 to 30 April 2022, compared to the equivalent period in 2021. An alternative period in 2021 may be used if the business did not operate at the time, or it provides an inaccurate representation of the business’ financial situation
  - Provide evidence of the number of the FTE or equivalent employees for their business
  - Provide an unredacted PDF copy of their business bank statement showing 2022 transactions, a BSB, and account number, and the business name associated with the application

This program will provide support to all eligible businesses that meet the criteria, including the hospitality, arts and events industries.

Applications opened on Thursday, 17 March 2022, and can be done through the Small Business Development Corporation website. A document containing the full Terms and Conditions, as well as some useful FAQs, is available for download on their website.

Applications must be received by 4:00pm on 30 June 2022 (AWST).

- Payroll Tax Waiver for Large Hospitality Businesses

Large hospitality businesses with payrolls of between $4 million and $20 million will receive a three-month payroll tax waiver if they have experienced at least a 50 per cent drop in turnover over any four-week period between 1 January 2022 and 30 April 2022, comparable to the same period last year.

Other Available Grants

- Small Business Assistance Grant – December 2021

This grant is available to Perth/Peel/Rottnest-based small businesses directly impacted by COVID restrictions over the festive season, including the hospitality and events sectors.

Eligible employing businesses will receive $1,130 for each impacted day up to a maximum of $12,500, while eligible non-employing businesses will receive $400 for each impacted day up to a maximum of $4,400. The final payment will be based upon the number of days that your business was impacted, as demonstrated by your application and supporting evidence.

For more information on this grant and the eligibility criteria to be met, please visit the Small Business Development Corporation page on the Small Business Assistance Grant – December 2021.

Applications for the Small Business Assistance Grant – December 2021 close on 4:00pm, Thursday 31 March 2021 (AWST)

- Safe Transition Industry Support

This package includes 9 support programs for the International Education, Tourism, Aviation, and Events sectors aimed to provide assistance to these sectors that were most affected by the decision to delay the full reopening of WA’s borders. A summary of the programs are as follows, and for more information please visit the dedicated WA Government webpage:

- - Student Quarantine Support Program – a one-off $2,000 grant to help offset quarantine related costs for eligible international student enrolled at a WA education institution for Semester 1, 2022
  - University Services for Students Support Program – Universities are eligible to receive $500 per affected international student to deliver support services to them
  - International Education Industry Support Program – offering $50,000 payments for smaller-sized providers and $100,000 for medium-sized providers impacted by the closure of the international borders
  - Tourism Deposit Refund Program – to provide up to $50,000 in assistance to eligible tourism businesses that have refunded deposits from some cancelled interstate and international bookings
  - Tourism Support Program – $10,000 payment to sole traders or $20,000 for employing businesses respectively to offset expenses incurred in preparation for the full border opening
  - Travel Agents Support Fund – grants up to $10,000 to eligible home-based agents (dependent on commissions) and $20,000 to eligible brick-and-mortar businesses
  - Aviation Recovery Fund – A $10 million boost has been injected into the existing Aviation Recovery Fund as part of the Reconnect WA package
  - Getting the Show Back on the Road – to cover up to 75 per cent of lost ticket sales where a WA Government mandate directly requires an event to be cancelled; self-cancelled events linked to the border delay decision; and eligible substantially scaled back events that do proceed
  - Event Suppliers Support Program – providing payments to eligible event suppliers for ticketed events with $10,000 grants for sole traders, $20,000 for small businesses, and $50,000 for large businesses with pre-COVID annual turnover of more than $1 million

If you would like any assistance with applying for any of the above grants or you would like to discuss your eligibility prior to applying please contact our office.

New COVID-19 measures and level 2 business assistance

On March 3^rd, 2022, the McGowan Government has announced new COVID-19 public health and social measures, in which relief of $72 million package has been introduced for businesses affected by these measures. The level two package is broken down as follows:

$66.8 million for Small business hardship grants program
$2.8 million Payroll tax relief for large hospitality businesses
$2.1 million for COVID-19 commercial sporting franchises support program

Overall, $1.7 billion has been committed for COVID-19 relief.

Eligible businesses that had applied and received funding from prior support programs are also eligible to receive grants from this new package.

More information on Level 2 COVID-19 Business Assistance Package is available through this link.

Proof of Vaccination to Expand State-Wide

From the 31^st January 2022 proof of vaccination requirements will expand to a wide variety of venues, events, and businesses around Western Australia.

For people aged 16 years and over, proof of vaccination will be required for the following:

Visitors to public and private hospitals, and residential aged care facilities;
All hospitality, food, and licensed venues (excluding food and non-alcoholic beverage takeaway, roadhouses, and service stations);
Bottle shops;
Indoor entertainment venues, including play centres, gaming and gambling, theatres, concert halls, museums, cinemas and live music venues;
Nightclubs;
The Crown Perth complex;
Major stadiums;
Gyms, fitness studios and centres;
Amusement Parks and the Zoo; and
Music festivals and large events with more than 500 people, unless exempt.

Venues, staff, and patrons will have a shared responsibility when it comes to proof of vaccination, with venues required to take reasonable steps to ensure all patrons are double dose vaccinated or have a medical exemption.

People can show proof of vaccination with the ServiceWA app. Alternatively proof of vaccination can be shown in either digital or paper-based form, along with acceptable forms of identification.

Posters and materials are also available to assist WA businesses communicate the proof of vaccination requirements.

More information on proof of vaccination is available on the WA Government website.

The Update on Mandatory Vaccination

A policy has been introduced by the Western Australian State Government that establishes mandatory vaccinations across most occupations and workplaces, where employees are required to be fully vaccinated by 31 January 2022.

With the recent appearance of a new COVID variant, Omicron in Australia, Western Australia’s Chief Health Officer has advised that mandating the vaccine is essential to protect Australians.

As identified by the Government, workplaces and occupations are divided into two groups:

Group one – considered high risk to the community of transmission and are required to be fully vaccinated by 31^st December 2021
Group two – whose work is regarded as critical to keep our economy and community going must be fully vaccinated by 31^st January 2022.

Other employees outside these categories that are not fully vaccinated may not be able to attend work in the event of a ‘circuit lockdown’ which may prevent them from carrying out their job.

A good employment practice guide applicable for those that falls in group one is available on the WA Government website. The guide for other groups have yet to be released but the Small Business Development Corporation has developed guidance information to assist small business employers in complying with the directions.

More information on mandatory vaccination is available through this guide.

Assistance during the Pandemic

With the continuation of COVID-19 outbreaks and restrictions, the Australian Taxation Office are aware that many businesses and communities are still heavily affected. However, it is advised to lodge your tax and super obligations on time even if you have difficulty making payment by the due date. This allows the ATO to be certain that you are aware of your obligations and trying your best to comply.

There are a range of support option available, this includes a tailored payment plan.

You can access a range of tax and super services through the ATO’s online services – bill payments and management as well as lodgement of activity statements and tax returns can be completed in one place.

More information on support is available on the ATO website. If you require assistance on lodging on time, please contact the ATO on 13 11 42 or our office to book an appointment.

Follow the links below for more information on support:

JobMaker Hiring Credit Scheme

From 7 October 2020 to 6 October 2021, eligible employers can access the JobMaker Hiring Credit Scheme to employ additional young job seekers aged between 16-35 years.

Eligible employers:

Can register with the ATO from 6 December 2020
Can claim payments from the ATO in arrears from February 2021 – JobMaker Hiring Credit Key Dates
Can claim payments for eligible additional employees for up to 12 months from their employment start date
Cannot claim JobKeeper and JobMaker Hiring Credit payment at the same time
Can estimate the payment they may receive by using the JobMaker Hiring Credit payment estimator

Early this year, ATO has written to employers who had register for this scheme and encourage businesses to check if they meet all eligibility criteria before claiming. The purpose is to ensure:

Eligible employers can make a claim from February 2021
There are no delays in their payments being processed

Claiming this incentive can affect an employer’s eligibility for other government support payments. Employers that are not eligible for this scheme may be able to claim other support payments. More information is available on the Department of Education, Skills and Employment website.

JobMaker Plan for Small Businesses

There are COVID-19 recovery measures being implemented by the Australian government for businesses. More information on the measures can be found on the ATO’s Tax inVoice podcast episode, which discusses the elements of the government’s JobMaker plan. This includes:

JobMaker Hiring Credit – eligible businesses can receive payments for new positions they create for eligble employees between October 7, 2020 and October 6, 2021

Temporary full expensing – eligible businesses can deduct the business portion of the cost of eligible depreciating assets first held and used or installed ready for use from October 6, 2020 to June 30, 2022. This encourages new investments that can result in a tax loss.

Loss carry back – eligible corporate entities may be able to claim a refundable tax offset in their 2020-21 and 2021-22 company tax returns if losses were made in the 20, 21 or 22 financial years. The choice to carry back loss can result in a tax refund that will increase business cash flow.

More information on the JobMaker Plan Temporary Measures can be found on the ATO website.

JobMaker Plan for Small Businesses

JobMaker Hiring Credit – eligible businesses can receive payments for new positions they create for eligble employees between October 7, 2020 and October 6, 2021

Temporary full expensing – eligible businesses can deduct the business portion of the cost of eligible depreciating assets first held and used or installed ready for use from October 6, 2020 to June 30, 2022. This encourages new investments that can result in a tax loss.

Loss carry back – eligible corporate entities may be able to claim a refundable tax offset in their 2020-21 and 2021-22 company tax returns if losses were made in the 20, 21 or 22 financial years. The choice to carry back loss can result in a tax refund that will increase business cash flow.

More information on the JobMaker Plan Temporary Measures can be found on the ATO website.

The end of JobKeeper

The last JobKeeper payment is processed in April. For those that are still eligible for JobKeeper should have completed their final monthly business declaration for the March JobKeeper fortnights by April 14^th. Despite the end of JobKeeper, other assistance is still available if required. These are JobMaker Hiring Credit and other Government payments available with Services Australia.

COVID-19 Out of lockdown

Post lockdown the government has made a few more announcements with the main one being the South West regions are out of lockdown and some restrictions will remain in place for the Perth and Peel region until 12.01am Sunday the 14^th of February.

The WA government has substantial information available on their website including:

What you can and can’t do and details around:
- Wearing a mask
- Going back to work
- Limits on private gatherings
- Capacity limits
- G2G passes
- Elective surgeries
- Schools are back open
Contact registers and details around:
- Keeping a contact register
- How to keep a contact register
- Who has to keep a contact register
WA small business/stimulus relief package (including information on the new electricity offset announcement)

If you wish to discuss anything above relating to your business affairs please contact our office or for specific COVID-19 related issues call 13COVID (13 26843).

Qualifying for JobKeeper 2.0

The amendments to the original legislation that included the JobKeeper scheme has recently passed and is effective from 16 September 2020, including new rules that govern how the scheme will operate in the six-month extension period. These amendments do not affect the existing original JobKeeper rules but apply to the previously announced JobKeeper extension (JobKeeper 2.0).

The extension to the JobKeeper program sees a reduction in rates and the introduction of a tiered payment system. The eligibility for the tiers will be determined by hours worked or hours put into active engagement within the business. Unlike the original JobKeeper program which ends on the fortnight of 27 September 2020, the new JobKeeper extension program is more limited and introduces more criteria to be satisfied prior to the receipt of payment.

As we have previously discussed, the six-month extension will be split into 2 separate periods – Extension Period 1 (which runs from 28 September 2020 to 3 January 2021) and Extension Period 2 (which runs from 4 January 2021 to 28 March 2021). The two extension periods are independent of each other, and the requirements for each will need to be satisfied separately. Different payment tiers also apply to the two extension periods.

Qualification Requirements:

For those already part of the original JobKeeper program, there will be no need to re-enrol into the program if they are already registered. For employers or entities with eligible business participants who have not previously enrolled for the program, they will be able to qualify provided they satisfy the decline in turnover test and meet the existing and the newly introduced criteria, as follows.

Decline in Turnover Test:

As per the original JobKeeper program, the required percentage of decline is dependent on the business’ aggregate turnover:

If aggregate turnover for income tax purposes is more than $1 billion, the business must estimate that their GST turnover has fallen or will likely fall by 50% or more
If aggregate turnover for income tax purposes is $1 billion or less, the business must estimate that their GST turnover has fallen or will likely fall by 30% or more

However, unlike the original program, the extension will require applicants to satisfy two decline in turnover tests to qualify after 27 September 2020:

The original projected GST decline in turnover test, which now includes a comparison of the projected GST turnover of any of the calendar months from March 2020 to December 2020 (for those who lodge monthly) or any of the June 2020, September 2020, or December 2020 quarters (for those who lodge quarterly) against the actual GST turnover of the relevant 2019 comparison period.
The new actual GST decline in turnover test, which is broken up according to the two separate extension periods:

Extension Period 1 – Will be satisfied if the actual GST turnover has declined by the required percentage for the quarter ending 30 September 2020 relative to the quarter ending 30 September 2019
Extension Period 2 – Will be satisfied if the actual GST turnover has declined by the required percentage for the quarter ending 31 December 2020 relative to the quarter ending 31 December 2019

For businesses that do not have an appropriate comparison period, the Commissioner can determine an alternative test to establish eligibility.

Eligibility Requirements for Employers:

Employers and not-for-profit entities will be eligible for the payment provided they fit the following criteria:

They carried on business in Australia on 1 March 2020 (excluding entities earning only passive income)
They employed at least one eligible employee during the JobKeeper fortnight they are applying for, including employees who are stood down or re-hired
They satisfy the two decline in turnover tests outlined above
Their business is not in one of the ineligible categories (eg., subject to the Major Bank Levy, an Australian government agency, a local governing body, or in liquidation)

Eligibility Requirements for Employees:

An employee will be eligible if they satisfy the following conditions:

The individual is employed by the entity at any time in the fortnight (including those stood down or re-hired) and was employed by the employer as at 1 March 2020 or 1 July 2020
On 1 March 2020 (and/or 1 July 2020), the individual meets the following conditions:
- Age Conditions – was aged 16 or over; and
- Employment Condition – was either:
  - An employee (other than a casual employee); or
  - A long-term casual employee employed on a ‘regular and systematic basis for a 12-month period ending on 1 March 2020 or 1 July 2020; and
- Residency Condition – was an
  - Australian citizen; or
  - Permanent visa holder; or
  - Special category visa holder (protected SCV holder); or
  - A New Zealander who is an Australian tax resident and holds a special category visa (subclass 444)
The individual has given the entity a nomination notice which states that they meet that above requirements and that they agree to be nominated by the entity
The individual is a resident for Australian tax purposes on 1 March 2020 or 1 July 2020
The individual is not in receipt of the JobKeeper payment from another employer
The individual has given the entity a nomination notice stating that they agree to be nominated by the entity

Employees who have multiple employers can usually choose which one employer they wish to nominate through. However, if the employees are long-term casuals and have other permanent employment, they cannot be nominated by the employer under which they are employed on a casual basis. Employees cannot receive the JobKeeper payment from more than one employer.

Employees receiving Parental Leave Pay from Services Australia are not eligible for the JobKeeper Payment, however, employees on parental leave payment from their employer will be. Employees receiving workers’ compensation will be eligible for the JobKeeper Payment if they are working, but they will generally not be eligible if they are not working.

Note that receipt of the JobKeeper Payment may affect the employee’s eligibility for income support payments, and so they will be required to report the change of circumstances to Services Australia.

Eligibility Requirements for Eligible Business Entities:

Those who are self-employed as sole traders or eligible business participants in other entities will be eligible for the JobKeeper Payment provided the fit the following criteria:

They carried on business in Australia on 1 March 2020
They satisfy the two decline in turnover tests as outlined above
They satisfy the following conditions as at 12 March 2020:
- They have an ABN on 12 March 2020; and
- They have lodged, on or before 12 March 2020, at least one of:
  - A 2018-19 income tax return showing that it had an amount included in the assessable income for carrying on a business, or
  - An activity statement or GST return for any tax period that started after 1 July 2018 and ended before 12 March 2020 showing that a taxable, GST-free, or input-taxed sale has been made
They must not be an approved provider of child-care service (applicable from 20 July 2020 onwards)

Eligible business entities must elect an individual as the ‘eligible business participant’ to receive the JobKeeper Payments on behalf of the entity. Note that the entity cannot have more than one eligible business participant and that there is a limit of one JobKeeper payment per fortnight for the eligible business participant.

Eligibility Requirements for Eligible Business Participants:

The individual is not employed by the entity at any time in the fortnight
The individual was actively engaged in the business carried on by the entity (at 1 March 2020 and for the fortnight being claimed)

The individual was:

If the entity is a sole trader	the entity
If the entity is a partnership	a partner in the partnership
If the entity is a trust	an adult beneficiary of the trust
If the entity is a company	a shareholder in, or a director of, the company

The individual is not an employee (other than on a casual basis) of another entity
On 1 March 2020, the individual must have met the following conditions:
- Age Condition – was at least 18 years old.
If they were 16 or 17, they can qualify if they are independent or not studying full-time; and
- Residency Condition – was an
  - Australian citizen; or
  - Permanent visa holder; or
  - Special category visa holder (protected SCV holder); or
  - A New Zealander who is an Australian tax resident and holds a special category visa (subclass 444)
The individual is not currently receiving government parental leave pay, dad and partner pay
The individual is not currently incapacitated for work and receiving payments under an Australian workers’ compensation law in respect of their total incapacity to work
The individual has given the entity a nomination notice, stating that they meet the above requirements and agree to be nominated by the entity. Sole traders will be required to use a different nomination notice.

Active Engagement:

An individual will be actively engaged in the business carried on by the entity if they regularly:

Perform, or manage the performance of, services the business provides
Sell or manage the sale of goods of the business
Perform other activities associated with managing the business
Exercise control over activities related to business strategy and growth

An individual is not taken to be actively engaged in the business simply because they:

Own an interest in the business or invest capital in it
Provide advice or other assistance to the business from time to time

The New Rates

From 28 September 2020, a two-tiered payment system will apply with respect to JobKeeper Payments. In addition, the amount of the JobKeeper Payment will also be dependent on the fortnight in question, as set out below:

Tier 1 (ie., the Higher Rate)

Tier 2 (ie., the Lower Rate)

Extension Period 1

FN14 to FN20

$1,200 per fortnight

$750 per fortnight

Extension Period 2

FN21 to FN26

$1,000 per fortnight

$650 per fortnight

The adjustments to the payable rates also mean that the wage conditions will also be adjusted. Rather than needing to pay each eligible employee $1,500 per fortnight (or more), they will only be required to pay up to $1,200 per fortnight or $1,000 per fortnight, dependent on which rate applies to the employees.

The applicable payment rates are determined by reference to the actual hours an employee has worked, had paid leave, or paid absence on public holidays over an applicable reference period. For eligible business participants, the applicable rate will be determined by the total hours of active engagement over the applicable reference period. This will be referred to as ‘the 80-hour threshold’.

The 80-hour Threshold:

For Eligible Business Participants:

As mentioned above, the JobKeeper payment tier will depend on whether an eligible business participant satisfies the 80-hour threshold. An eligible business participant will satisfy the threshold and receive the higher rate if they:

Were actively engaged in the business for 80 hours or more during their reference period and
Have provided the eligible business entity with a written declaration confirming the above

The reference period for eligible business participants will usually be the month of February 2020, though there may be circumstances where February 2020 is not a suitable reference period. If the eligible business participant does not satisfy the 80-hour threshold in February 2020 and this is not representative of the typical number of hours of engagement in the business, it may be possible to use an alternative reference period. As an example, if the eligible business participant was sick or injured in February leading to a reduction in hours of active engagement, then an alternative reference period can be used.

The alternative reference period is the most recent 29-day period (wholly within a calendar month):

Ending before 1 March 2020
In which the eligible business participant’s total hours of active engagement in the business was representative of a typical 29-day period

If more than one reference period can apply, the 80-hour threshold will only need to be satisfied in one of the reference periods for the higher rate to apply. Those who do not satisfy the above conditions will only be eligible to receive the lower, tier 2 rate.

For eligible busines participants who have not signed up for the original JobKeeper program, the new nomination notice includes questions to confirm hours of engagement and some new additional questions for eligible business participants who may be 16 or 17 years old. Eligible business participants who have previously completed a nomination notice will need to provide the entity with a written declaration confirming active engagement in the business for 80 hours or more during the reference period. The declaration must include the following information:

Full name
Contact number and/or email address
A statement that the time you spent actively engaged in the business during the reference period was 80 hours or more

It will not be necessary to provide a written declaration if the eligible business participant was engaged in the business for less than 80 hours during the reference period – the lower rate will automatically apply.

If an eligible business participant gives the entity a declaration that they were actively engaged in the business for at least 80 hours during their reference period, they will need to keep records to support their claims. For example, such records may include:

Business diaries
Appointment books
Log books
Hours billed
Invoices issued
Time sheets or attendance records
Records prepared for other business or statutory purposes

If the eligible business participant has no discernible record keeping supporting their claims, then they may not be able to satisfy the 80-hour threshold. Therefore, they may only be eligible to receive the lower tier rate. There are penalties for making false or misleading declarations, and so it is recommended to have the supporting documents ready prior to making claims.

As a reminder, there is no need to submit the nomination notices or the declarations to the ATO – it is suggested that the entity keep it in their records for safekeeping.

Eligible business entities must notify the ATO whether tier 1 or tier 2 applies for their eligible business participant. Within seven days of notifying the ATO, the entities must also notify the eligible business participant of their rate in writing.

More information on the eligibility requirements and reporting requirements for sole traders and other entities such as partnerships, trusts, and companies can be found on the ATO website.

For Employer and Employees:

To be eligible for the higher rate of payment, an employee must satisfy the 80-hour threshold within a 28-day reference period. The 80-hour threshold will be satisfied by an employee if the total of the following is 80 hours or more:

Actual hours worked
Hours on paid leave
Hours paid for absence on a public holiday

There are two standard periods available to employees, both of which are dependent on pay cycles. This means that there is no universal 28-day period that is required to be used, and the periods will not be the same for all employers or employees. Employers can use either:

The pre-March period, which is the 28 days which finish on the last day of the last pay cycle that ended before 1 March 2020, or
The pre-July period, which is the 28 days which finish on the last day of the last pay cycle that ended before 1 July 2020

Employees that do not meet the 80-hour threshold can only claim the lower, tier 2 payment.

Full time employees who have been employed for the full 28-day reference period will usually satisfy the 80-hour threshold, though closer examination may be required for eligible employees who are part-time, long-term casuals, not paid on an hourly basis, or stood down. For employees who have been stood down, an alternative reference period may apply. For pay cycles that are longer than 28 days, the employers will have to perform a pro-rata calculation to determine the hours worked within the 28-day period.

Employees will only need to satisfy the 80-hour threshold in one of the 28-day reference periods – if they satisfy one, then the employer will not need to determine if they satisfy it in the other reference periods.

Employers will have the responsibility of notifying the ATO of which tier each employee will be claimed under. Employers must use the most accurate workplace records to determine whether employees satisfy the 80-hour threshold prior to making a claim. If records have not been properly kept or if records are incomplete, the ATO may choose to apply the higher rate to employees only in specified circumstances – for example, if records have been lost or destroyed due to natural disasters such as bushfires or floods, or if the employer was not required to keep record of hours an employee has worked as they work on commission.

More information on the 80-hour threshold can be found on the ATO website or you can contact our office to arrange an appointment to determine if you are eligible for the JobKeeper 2.0.

Modifications to Employee Eligibility

As we had mentioned in our previous JobKeeper update article ‘The JobKeeper Extension’, the Government has recently announced changes to the JobKeeper rules to allow more employees to qualify for the JobKeeper payment.

The amendment sees employee eligibility include eligible employees who were employed on 1 July 2020 (in addition to those employed on the original 1 March 2020 employment date) who are not currently nominated for JobKeeper payments with another entity. This may include employees who:

were hired after 1 March 2020 and are still employed on 1 July 2020
satisfied the 12-month employment requirement under the definition of ‘long-term casual employee’ for JobKeeper purposes by 1 July 2020, where they had not previously satisfied the requirement by 1 March 2020
did not qualify on 1 March 2020 due to their age or visa status but have since met the relevant requirements by 1 July 2020

As a result of this, more employees may qualify for JobKeeper payments from JobKeeper fortnight 10 (starting 3 August 2020), if they were employed on 1 July 2020 and meet the other eligibility criteria, available on our website.

As the JobKeeper payments require compliance with the ‘one in, all in’ principle, participating eligible employers must act immediately to ensure that they include any newly eligible employees that arise as a result of these changes. Newly eligible employees must be provided with an employee nomination form by Monday, 24 August 2020. Please remember to keep a copy of these signed and completed nomination forms (as previously required with the original batch).

Please refer to the table below for a summary of the key dates and actions to consider in relation to any newly eligible employees as a result of the above:

Applicable Date	Action Required
By Monday, 24 August 2020	Provide all newly eligible employees under the 1 July 2020 employee eligibility test with an employee nomination form
By Monday, 31 August 2020	Satisfy the $1,500 ‘wage condition’ for each newly eligible employee for the JobKeeper fortnights commencing 3 August 2020 and 17 August 2020 (ie., JobKeeper fortnights 10 and 11)
From 1 September 2020 to 14 September 2020	Claim JobKeeper payments for the newly eligible employees who have agreed to be nominated (along with existing employees) for the JobKeeper scheme with the employer by lodging the August 2020 monthly declaration.

More information on the JobKeeper Payment can be found using resources from the Treasury website and the ATO website. We also have previously written articles available on our website for information, and for those with further questions please contact our office and get in touch.

The JobKeeper Extension

There have been several updates to the JobKeeper program in the recent weeks after the Treasury had completed a three-month review of the program. The Government announced on 21 July 2020 that they are planning on extending the JobKeeper scheme for a further six months, now ending on 28 March 2021 as opposed to the original 28 September 2020. Furthermore, on 7 August 2020, it was announced that further adjustments will be made to the program, primarily in the wake of the stricter COVID-19 restrictions currently in place in Victoria.

JobKeeper 2.0 and JobKeeper 3.0 new announcements will make adjustments to eligibility, the rates paid, and the decline in turnover test. Those who are currently a part of the program do not have to worry about these new requirements unless they are planning on continuing with making JobKeeper claims after 28 September 2020. The terms of the original JobKeeper scheme will be in place until the original intended end date.

The Extension Periods

The six-month extension will be broken up into two separate extension periods.

Extension Period 1 will cover the seven JobKeeper fortnights that commence on 28 September 2020 and end on 3 January 2021.

Extension Period 2 will cover the remainder of the fortnights that commence on 4 January 2021 and end on 28 March 2021.

The New Rates

Under the current JobKeeper program, the subsidy is paid as a flat rate of $1,500 per eligible person per fortnight. With the new JobKeeper 2.0, eligible persons will either be paid the full rate or the new reduced rate.

An employer will be paid at the full rate if, in the four weeks of pay before 1 July 2020, the employee was working in the business or not-for-profit for 20 hours or more a week on average (for employees with the 1 March 2020 eligibility, the period with the higher number of hours worked is to be used). Where the employee did not achieve the 20-hour average, the JobKeeper payment will be made at a reduced rate.

An eligible business participant (ie., a sole trader or an eligible individual in an eligible business entity) will be paid at the full rate if they were actively engaged in the business for 20 hours or more per week on average in the month of June 2020. Where the eligible business participant did not achieve the 20-hour average, the JobKeeper payment will be made at a reduced rate.

The Commissioner will have a discretion to set up an alternative test where an employee’s or eligible business participant’s hours were not usual during the February 2020 or June 2020 reference periods (eg., if they were on leave, volunteering during the bushfires, or not employed for all or part of the reference periods).

The payment will continue to be made in arrears and the wage condition will still apply – that is, employers will continue to be required to make payments to their employees equal to or greater than, the amount of the JobKeeper Payment (before tax), based on the payment rate that applies to each employee. That means that if the employee is to be paid at a reduced rate, then the employer will only need to pay up to the reduced rate to successfully satisfy the wage condition.

The new rates will be as follows:

Period	Full Rate	Reduced Rate
Extension Period 1	$1,200	$750
Extension Period 2	$1,000	$650

The Decline in Turnover Test

Under the current JobKeeper program, an employer or an eligible business with eligible business participants are only required to satisfy the Decline in Turnover test once in order to be entitled to all thirteen JobKeeper periods from 30 March 2020 to 27 September 2020. The Decline in Turnover test could also be done with projected GST turnover.

Under the JobKeeper 2.0, it was announced that the Government were planning on introducing stricter rules for the Decline in Turnover Test – under version 2.0 of the program, businesses were required to satisfy the decline in turnover test for June 2020 and September 2020 quarters to be eligible for the payments in Extension Period 1, and then satisfy the decline in turnover test for June 2020, September 2020 and December 2020 quarters to be eligible for the payments in Extension Period 2.

But due to the tougher restrictions that have been placed on Victoria, the Government had decided to ease up on their requirements as part of the JobKeeper 3.0 update. Businesses will still need to satisfy the applicable rates (ie., 50% for entities with an aggregated turnover of more than $1 billion, 30% for entities with an aggregated turnover of $1 billion or less, and 15% for ACNC-registered charities) and they will still be required to use actual GST turnover figures, but they will no longer need to satisfy the decline in turnover test for multiple quarters to be allowed to receive the payments.

To be eligible for the JobKeeper payments in Extension Period 1, businesses will only need to demonstrate a significant decline in turnover in the September 2020 quarter in comparison with their September 2019 quarter.

To be eligible for the JobKeeper payments in Extension Period 2, businesses will only need to demonstrate a significant decline in turnover in the December 2020 quarter in comparison with their December 2019 quarter.

Adjustments to Employee Eligibility

According to the eligibility rules of the current JobKeeper payments, aside from satisfying the age condition and residency condition, employees must have been a full-time employee, part-time employee or a long-term casual employee employed on a ‘regular and systematic basis for a 12-month period ending on 1 March 2020 to be eligible to receive the JobKeeper payment.

From 3 August 2020, the relevant date of employment used to determine an employee’s eligibility to JobKeeper payments will move from 1 March 2020 to 1 July 2020. This is designed to increase employee availability for both the original existing JobKeeper program and the new extension periods to commence 28 September 2020. The other conditions remain.

More information on the above can be found using the resources from the Treasury website and the ATO website. For those with questions about how the announcements may affect workplace laws and entitlements, please visit the Fair Work website to read up on recent updates to account for the new legislation. We also have previously written articles available on our website for information, and for those with further questions please contact our office and get in touch.

Western Australian Government’s Response to COVID-19

Updated pandemic response plan

The WA Government Pandemic Plan is currently updated and in action. The arrangements that has been set out to protect the community and consider any potential impacts. Below is a list of the State’s Government’s plan for Western Australia to recover from the pandemic.

Business and industry

Crowds return to major events

With the return of significant crowds to the upcoming event of the Australian Football League at Optus Stadium creates a new opportunity for employment and support of local businesses. Around 85 per cent of local suppliers and hiring of more than 1,500 employees are to benefit from this.

For more information see the Western Australia leads nation as crowds return to major events media statement.

Planning reforms cut red and support economic recovery

Recently passed by the Parliament is the Planning and Development Amendment Act 2020, which amends the existing legislation to cut red tape, support job-creating projects, provide more flexibility for small businesses and simplify the state and local government planning system. Applications seeking approval for development proposals valued over $20 million in metropolitan Perth or over $5 million in regional areas can opt to have the Western Australian Planning Commission determine the proposal.

For more information see the Historic planning reforms cut red tape and open WA for business media statement.

Incentives for employers who take on displaced apprentices

During the state’s COVID-19 recovery, employers are offered financial incentives to hire displaced apprentices and trainees. Through the Apprenticeship and Traineeship Re-engagement Incentive, employers are provided with a one-off payment of $6,000 for hiring apprentices and $3,000 for trainees. The incentive is available through the Department of Training and Workforce Development, until 30^th June 2021. Employer eligibility is applicable where their training contract has been terminated on or after 1^st March 2020.

Find out about financial relief measures for business and industry.

Housing stimulus package

One of the ways to boost WA’s COVID-19 economic recovery is through supporting the building and construction sectors. The WA Government has announced a $444 million housing stimulus package. The comprehensive housing package will provide incentives for Western Australians to build new homes and deliver more social and affordable housing options, which are outlined below.

Building bonus package and new home construction grant

A $125 million building bonus package is invested by the WA Government to stimulate and support activity in the residential building sector. The package includes $117 million for $20,000 Building bonus grants, which is available until 31^st December 2020.

Eligible applicants must:

Enter a contract to build a new home

Purchase a new property in a single tier development (i.e. Townhouse) that is under construction

For more information visit the Department of Finance.

Off the plan duty rebate

$8.2 million has been invested to expand the existing 75 per cent off-the-plan transfer duty rebate of up to $25,000 to purchases in multi-tiered developments under construction and pre-construction contracts.

Eligible applicants must:

Purchase an off the plan dwelling in a multi-tiered development that is under construction

AND

Enter a contract between 4^th June – 31^st December 2020

For more information visit the Department of Finance.

Social housing economic recovery package

$319 million social housing package aims at:

refurbishing 1,500 homes
building and purchase at least 250 new houses
deliver regional maintenance program to 3,800 houses

For more information visit the Department of Finance.

Affordable land package to drive growth in regional WA

The $116 million Regional Land Booster package investment is to provide affordable land for 1,095 industrial, commercial, and residential development-ready lots. This package is in addition to the $20,000 Building Bonus Grant and the Commonwealth Government’s Home Builder grant.

For more information see the $116 million land package to drive growth in regional WA media statement.

Household support

Listed below are measures introduced by the WA Government to provide relief for WA families in response to COVID-19:

A freeze on increases to all household tariffs, fees, and charges effective 1^st July 2020
Doubling of the Energy Assistance Payment in the 2021 financial year to $610, as a means of additional support
No utility disconnections
Alternative tax payment arrangements
Support for Keystart customers experiencing hardships
Payments in response to COVID-19 will not be included in assessments or rent calculations for social housing

For more information see the support for households in response to COVID-19 fact sheet.

Tenants and landlords

The relief package for tenants and landlords scheme consists of a maximum grant of up to $2,000 which will be paid directly to the landlords for eligible tenants. Applications are currently open as of 1^st May and available through the Department of Mines, Industry Regulation and Safety (DMIRS).

More information on how to apply, visit https://www.commerce.wa.gov.au/node/9486

Laws to provide support for tenants and landlords

In April 2020, the six month memorandum on residential tenancy evictions was approved by the Parliament and became law, that prevents tenants from becoming homeless during the pandemic.

From the 30^th of March, in the moratorium period:

Rent cannot be increased
Expiring fixed term tenancies automatically convert to periodical tenancies
Tenants ending fixed term tenancy before its due date due to COVID-19 related financial hardships will not incur lease fees but is still liable for damage and rent arrears
Landlords do not have to carry out non-urgent repairs if they are in financial hardship or unable to access property due to movement restrictions

For more information see the Moratorium on residential tenancy evictions becomes law in WA media statement or Consumer Protection advice for residential tenancies.

Community Support

New suicide prevention projects to help reduce risk

This initiative is part of the WA Recovery Plan, which aims at addressing suicide risk from stress, anxiety, loneliness from isolate, depression, harmful alcohol or drug use, unemployment, self-harm and suicidal behaviour.

The regional plans to prioritise a local, Aboriginal-led initiatives that accommodates a culturally informed social and emotional wellbeing approach to prevent suicide, with an investment of up to $10 million. An additional $4.70 million will be allocated for:

Aftercare support following a suicide attempt through peer-based approach
Providing support and meeting the needs of those affected by suicide death
Increasing capacity of services that provide long-term support to children who have been bereaved by a suicide death
Improving community-level data collection for suicide prevention

For more information see the New suicide prevention projects to help reduce risk media statement.

Comprehensive package to support WA family violence response

$28.1 million investment package will support victims of family and domestic violence
$8.6 million to fund 23 outreach workers in refuges across Perth and regional areas to support women and children experiencing or at risk of family and domestic violence
Around $6.7 million will be used towards the State’s family and domestic violence support teams between the Department of Communities, the WA Police Force and the community services sector, with additional 17 team members to support victims after a police call-out.
$4 million for construction of an additional 6 accommodation units at two women’s refuges in Peel and Kwinana.
$123,000 for a support program for women to gain employment skills and support their pathways to employment
$1.1 million over two years for counselling, advocacy, and support services
$2.6 million to extend the Kimberley Family Violence Service trial by two years

For more information see the Comprehensive package to support WA family violence response media statement.

Support for people who are vulnerable or homeless

Additional funding of $6.8 million for homelessness services will be provided, along with plans to build a new supported housing facility. Individuals with complex needs and low-income earners will be housed and supported in a Common Ground complex.

For more information, see the WA’s first Common Ground finds a home in central Perth media statement.

$4.5 million funding for sports brought forward for COVID-19 recovery

A $4.5 million infrastructure funding is brought forward to support the State Sporting Associations (SSAs) maintain their assets (i.e. grounds and buildings). The funding is available to SSAs that operate venues capable of hosting state and national level sporting competitions.The following are organisations eligible for the funding:

Eight Ball Federation – $100,000 for infrastructure maintenance and improvement at their facility in Queens Park
Hockey WA – $1.6 million for turf replacement and other works at Perth Hockey Stadium
Whiteman Park International Shooting Complex – $650,000 for various maintenance projects to support clubs based at the venue
Baseball WA – $450,000 for projects at Baseball Park

For more information, see the WA Government to bring forward $4.65 million funding for sports to maintain and upgrade assets as part of COVID-19 recovery media statement.

$56 million investment for mental health, alcohol, and other drug support to at risk and vulnerable groups

As part of COVID-19 Recovery plan to increase community support and treatment for Western Australians, the WA Government is investing $56 million to community mental health and alcohol and other drug services. This funding package will invest $25 million in new 20 community care unit, which will provide high level support and rehabilitation services in a home-like environment for adults with mental health issues.

East-coast FIFO workers encouraged to move to WA

The WA Government has teamed up with the Chamber of Minerals and Energy (CME) to encourage eastern states workers to relocate to WA permanently.

A range of incentives will be offered to workers moving to WA. Such incentives include, the $20,000 Building Bonus grant, that is available until 31^st December. Employees are advised to speak to their employers for more information regarding the available incentives.

For more information see Message to east-coast FIFO workers: move to WA.

Community services

Relief for the Western Australian community services is available with the following measures:

$159 million COVID-19 Crisis Relief Fund to provide support to organisations that are helping people experiencing hardships
Electricity bills reductions for around 2,800 charities, with a one-off credit of $2,500
Funding certainty for community service providers, with WA Government agencies continuing to pay contracts with the sector until 30^th June 2020
Rent waiver for not-for-profit organisations in WA Government-owned buildings until 30^th September

For more information see the support for community services in response to COVID-19 fact sheet.

$1.75 million in funding approved for sport and recreation infrastructure projects as part of COVID-19 response

Around 27 community sport and recreation projects are to receive funds of more than $1.75 million. The grants are expected to generate approximately $5 million in direct economic activity and will create jobs in the construction sector.

Beneficiaries of the WA Government’s funding boost include:

$150,000 to reconstruct a basketball court at Kalumburu
$142,500 to build a unisex change room at Exmouth
$98,960 to refurbish change rooms at Willetton Reserve
$83,189 to build unisex change rooms at Manjimup
$60,967 to convert a grass green to synthetic surface at Mount Lawley Bowling Club
$23,433 for synthetic wicket and practice nets at Sir Ross McLarty Reserve in Pinjarra
$12,926 for a pool hoist at Albany Leisure and Aquatic Centre

For more information read the 1.75 million funding for sport and recreation as part of COVID-19 media statement.

Access to PPE

The WA Government is aware of the requests from community services regarding short supplies for items such as personal protective equipment (PPE) and are working to increase stocks and secure supply chain.

For more information please see Department of Health advice on how to access PPE.

Water Corporation grants for Kimberley non-for-profit organisations

Grants of up to $10,000 were available for community groups across the Kimberley region that have been financially affected by COVID-19. Applications closed on 5^th June.

First Lotterywest COVID-19 Relief Fund grants approved

The WA Government has announced an allocation of grants from the Lotterywest of $159 million for the COVID-19 Relief Fund.

$1,098,568 will be used to support 23 community groups to deliver crisis and emergency relief support for Western Australians in need.
$59 million for crisis support
$20 million for emergency relief support
$14 million for not-for-profit organisations that were cancelled due to COVID-19

For more information on grant programs, eligibility, closing dates and recently approved grants, visit the Lotterywest website or call 133 777.

Health initiatives

$10 million to support WA-made PPE

A $10 million package intends to increase the supply of locally made PPE, which will be broken down as follows:

$6.5 million will be used to co-fund of up to $100,000 for WA small or medium enterprises impacted by the pandemic to regain their capacity and competitiveness. The funding can be used for:
- Upgrading plant and equipment
- Upskilling staff
- Improving business infrastructure
- Engaging specialists (i.e. online sales solutions or cyber security)
$3 million will be used to co-fund of up to $500,000 per business to assist small and medium enterprises wishing to manufacture PPE such as masks and face visors
Remaining will allocate of up to $20,000 per business to undertake an independent feasibility study into the viability of their PPE-manufacturing proposal

For more information see the $10 million to support manufacture of WA-made PPE media statement.

Sir Charles Gairdner emergency department to undergo upgrade.

$19 million will be invested towards expanding, upgrading, and enhancing patient experience at Sir Charles Gairdner Hospital emergency department. The upgrades include:

New 8 Behavioural Assessment Urgent Care Centre to ensure patients behaviourally affected by alcohol and/or drugs are assessed safely without entering the main department
Redesigning the current ED waiting room and triage areas to minimise overcrowding and noise
Relocating the hospital’s main entrance from G Block to E Block, adjacent to the new SCGH Piazza

For more information see the Charles’ emergency department set to undergo $19 million upgrade media statement.

$36 million invested in elective surgery

$36 million has been invested towards an elective surgery blitz, which will enable approximately 5,800 more elective procedures to be conducted prior to COVID-19. This will clear elective surgery waitlists as theatre operation hours and work hours will be increased. Care will be prioritised to those have waited longer than clinically desirable.

For more information see the WA Government invests $36 million for elective surgery blitz media statement.

WA to provide assistance to Victoria’s COVID-19 response

One of Western Australia’s most experienced public health physicians, Professor Tarun Weeramanthri has been deployed to support Victoria as they tackle an increase in COVID-19 cases. Professor Weeramanthri is the former Chief Health Officer of the WA Department of Health and has been assisting the WA Department of Premier and Cabinet in a health liaison role during the pandemic. The Western Australia Department of Health contact tracing teams are also remotely assisting Victoria in establishing key information about cases.

COVID-19 Response Bill to support healthcare workers

A Bill will be introduced to support healthcare workers who contract COVID-19 and require workers’ compensation. The Workers’ Compensation and Injury Management Act 1981 will be amended to establish a presumption of work-related injury for specific diseases suffered on specific classes of employment. As a result, workers affected by COVID-19 will not be required to go through a lengthy and costly claim investigation to prove their case.

For more information see the COVID-19 Response Bill to support health care workers media statement.

$5 million committed to WA COVID-19 research

The funding has been provided to the State’s five universities to undertake and boost their COVID-19 research that contributes to protecting Western Australians. The diverse range of projects will contribute to the global understanding, treatment, and management of COVID-19. For example, the projects will include the development of new drugs, research into the effects of COVID-19 on mental health, projects to upskill the health and support the resilience of businesses through the economic recovery.

For more information read the $5 million for Western Australia to lead ground-breaking COVID-19 research media statement.

$2.9 million to boost local researchers’ quest for COVID-19 answers

$1.9 million has been provided in research grants to support COVID-19 related research projects, with another $1 million for infrastructure support, covering the cost of consumables, staffing and site set up for local COVID-19 research.

The funding for the 12 research projects will go towards:

Treatments
Studies of at-risk groups
Study of mental health impacts
Developing less invasive tests
Tests that will inform us about COVID-19 immunity accurately

For more information on the projects and recipients funded, visit the Department of Health website.

Mandatory testing for COVID-19 to protect police

The WA Government is expanding mandatory testing anyone, who exposes a police officer to the risk of COVID-19. Currently, there are no legal authority testing for COVID-19, therefore the legislative will be amended to introduce:

A new process to allow mucous, saliva and respiratory secretions to be taken from the offender to test for COVID-19
Add COVID-19 to the list of diseases that can be compulsorily tested for. Presently, the law states that it is mandatory to test for HIV, hepatis B and hepatitis C.

For more information visit the Expanding mandatory testing to better protect police during Coronavirus pandemic media statement.

Boosting health system capacity

More than $15 million worth of clinical equipment has been ordered to boost the public health system’s response to the pandemic. Around 301 ventilators and 200 ICU beds were ordered, with hundreds of new beds created through reconfiguration services. The clinical equipment is to increase the capacity across the public and private hospital systems.

For more information visit WA boosting health system capacity for COVID-19 critical care.

Trialling new and emerging treatments

New laws have been introduced to allow all Western Australians the opportunity to participate in world-leading research and experimental treatments targeted at combating COVID-19.

For more information visit New laws to allow doctors to trial new and emerging treatments for COVID-19.

Other government initiatives

Cheaper airfares to boost Kimberley tourism

Discounted tickets are on sale now for Western Australians to fly to Broome for $199 one-way and Kununurra for $229 one-way between 3^rd August and 31^st October. The Perth-Broome route will return to a daily service and Perth-Kununurra flights to three times per week.

For more information see the Cheaper airfares a big boost to Kimberley tourism in WA’s recovery media statement.

$11.6 million investment in Geraldton port infrastructure

Critical infrastructure upgrades at Geraldton Port will be made with the $11.6 million investment. This will create more than 90 local jobs and securing future export opportunities for mineral sands in the Mid-West.

For more information see the $11.6 million investment in job-creating Geraldton port infrastructure media statement.

$57 million recovery package for WA TAFE and training sector

The $57 million package for the training sector will deliver 15 free short courses and slash TAFE fees for thousands of Western Australians. A further of 39 high priority TAFE courses will be reduced by 72 percent. The program will provide Western Australians access to affordable training. Enrolments are currently open. For more information about free short courses visit Jobs and Skills WA or contact your local Jobs and Skills Centre on 13 64 64.

For further information see the $57 million recovery package for WA TAFE and training sector media statement.

Expanding police capability

New laws allow the Commissioner of Police to order the use of electronic monitoring devices to track a quarantine direction. This will expand police’s capabilities to track and trace, including Automatic Number Plate Recognition technology and GPS tracking for electronic monitoring devices to monitor and enforce movement restrictions across the State.

For more information visit $91.2 million police package to support COVID-19 response.

Tougher penalties

There are now higher penalties for assaulting and threatening public officers and certain other officers delivering frontline services in circumstances of actual or threatened exposure to COVID-19. These include, police officers, doctors, nurses, paramedics, bus drivers and prison officers.

For more information visit Tough penalties to protect essential frontline workers during pandemic.

Police squad to monitor compliance with restrictions

More than 200 police officers have been formed to ensure compliance with quarantine and gathering requirements and maintain community safety. Spot fines of $1,000 for individuals and $5,000 for businesses can be enforced for non-compliance with requirements. Penalties of up to $50,000 still applies on top of spot fines, under the Emergency Management Act.

To be updated on the latest news regarding COVID-19, please follow this link

Covid-19 Stimulus Packages

The following is a summary of financial assistance packages to help impacted Australians as a result of COVID-19.

Relief package for tenants and landlords:

Residential tenancies

The relief package for tenants and landlords scheme consists of a maximum grant of up to $2,000 which will be paid directly to the landlords for eligible tenants. Applications are currently open as of 1st May and will be administered through the Department of Mines, Industry Regulation and Safety (DMIRS).

An eligible tenant or sub-tenants are those who:

Lost their jobs
Applied for Centrelink’s income support
Have less than $10,000 in savings
Still paying at least 25% of their income in rent

For more information on eligibility criteria and how to apply, visit www.dmirs.wa.gov.au/covidrenting

In addition, new laws recently passed by Parliament provide:

A six-month moratorium on residential tenancy evictions.
A ban on rent increases during the moratorium period.
Fixed-term tenancies will automatically convert to periodical tenancies if they expire during the period unless another fixed-term agreement is entered into.
Landlords do not have to carry out non-urgent repairs if they themselves are experiencing financial hardship or are not able to access the premises due to restrictions on movement.
Tenants experiencing COVID-19 related financial hardship who end a fixed-term tenancy prior to its end date will not incur break lease fees but will still be liable for damage and rent arrears.
The moratorium prevents evictions but should not be used as an excuse for tenants not to pay rent when they are in a position to do so.
Any unpaid rent will still need to be paid at the end of the moratorium.
Tenants can still have their leases terminated and be evicted if they are causing damage to the property, posing a threat to the landlord or neighbours, not paying rent, refusing to make a rent payment agreement or if they abandon the property.

Commercial tenancies

Relief grants are also available for commercial landlords. Landlords are to provide rent relief by freezing outgoings of at least three months’ rent to small businesses who has suffered a 30 per cent reduction in turnover due to COVID-19. For eligible properties, landlords will receive grants equivalent of 25 per cent of their land tax bill for the 2019-20 financial year.

The businesses with regards to revenue, expenses and profitability that was impacted by COVID-19 restrictions are to be taken into consideration when determining and implementing appropriate deferrals, reductions, or waivers of rent.

The motive of this package is to encourage landlords to negotiate reductions in rent for small businesses who has suffered. Applications are currently open and are administered through Small Business Development Corporation (SBDC). For more information on eligibility criteria and how to apply, visit www.smallbusiness.wa.gov.au

In addition, new laws recently passed by the Parliament provide:

An eviction moratorium which is backdated to March 30, 2020.
A freeze on rent increases.
Restriction on penalties for tenants who do not trade or reduce their trading hours.
No interest to be charged on rent arrears.
The introduction of an enhanced dispute resolution process.
A prohibition on landlords progressing proceedings that occurred after the restrictions were imposed but before these laws come into operation.

Commercial tenants who can’t reach an agreement with their landlords are to go to the Small Business Commissioner or State Administrative Tribunal for a resolution.

Support package for Construction Workers

This package is provided to assist the building and construction industry to maintain a skilled workforce during the COVID-19 crisis and to assist with the post COVID-19 economic recovery.

An immediate one-off payment of $2,000 to employers of existing apprentices and trainees currently receiving Construction Training Fund (CTF) grant payments.

A new grants scheme assisting employers to retain their existing apprentices, with payments beginning from 1 June this year, backdated from April 1, 2020. A range of monthly payments from $250 to $500 per apprentice or trainees, depends in the trades facing the most critical skills shortages in the industry. This will supplement the existing grants scheme for a period of 6 months, with a review 3 months.

Apprentices and trainees employed in the industry can claim up to $1,000 to support the costs of undertaking short courses to assist them in upskilling.

Employers and employees can find out more information here: www.ctf.wa.gov.au

Household assistance

The Energy Assistance Payment has been increased to $610 per year and those eligible to receive this payment as at March 16, 2020. The payment will be brought forward to this financial year providing relief sooner to WA households. From 11 May, an upfront credit of $305 will be credited against their electricity bill and up to a further of $305 in the following year.
Households experiencing financial hardships as a result of COVID-19 will not have their power or water disconnected and no interest will be charged on deferred bill payment.
Households directly or indirectly impacted by COVOD-19 may apply for an interest free payment arrangement and for late payment penalties to be waived for transfer duty, landholder duty, vehicle licence or land tax.
Keystart customers facing financial hardship can apply to defer principal repayments and waive interest costs by up to 6 months. Assistance will be assessed on a case by case basis in line with Keystart’s Hardship Assessment policy.

Small and medium sized business assistance

An estimation of 95,000 small businesses electricity bills will be reduced by $2,500 for Synergy and Horizon Power customers. It is only applicable for consumers with less than 50 megawatt hours (MWh) per annum. As of 31st March, the credit is available for current customers and will be allocated from 1st May to reduce current and future electricity bills. Small businesses will not face power or water disconnections due to late payments; no interest will be charged on deferred bill payments.
Payroll tax will be waived for four-month period between March 1, 2020 to June 30, 2020 for small to medium sized businesses with Australia wide annual wages of less than $7.5 million in 2019-20.
For the next 12 months, small and medium sized businesses in COVID-19 impacted industries will have a range of licence fee waived.

This includes:

Licences for building services, plumbers and electricians
Licences for tourism businesses operating in national and marine parks
Boat registration and mooring fees for tourism operators and commercial fishers
Commercial fisheries licences
Taxi booking service authorisation fees
Settlement agent licence fees
Liquor licence renewal fees for 2020 – refunds provided for businesses that have already paid.

Interest free payment arrangement can be applied.
Late payment penalties to be waived for payroll tax, transfer duty, landholder duty, vehicle licence duty or land tax.

Commercial services assistance

An estimation of 2,800 charities’ electricity bills will be reduced by $2,500. The credit will be allocated from May 1, 2020 to reduce current and future bills. Government agencies will continue to provide financial assistance to community service providers until at least 30th June, even if they are unable to deliver services due to COVID-19.

Health and frontline service delivery

A further $500 million has been allocated to health and other frontline service delivery, to boost capacity for additional industry support ensuring the government can continue to provide a strong response to COVID-19. This funding will go towards increasing supplies of personal protective equipment, ventilators, additional staff and hospital beds to cope with a surge in demand in the health system and increasing cleaning of public transport and schools and any additional measures required by frontline services.

COVID-19 Relief Fund for NFP and Community Organisations

Premier Mark McGowan and Lotterywest have established a $159 million COVID-19 relief fund to provide support to organisations that are helping people experiencing hardship. Eligible not for profit organisations and community groups can apply immediately for grant support by visiting http://www.lotterywest.wa.gov.au/lotterywest/covid-19/ or by calling 133 777.

With the COVID-19 restrictions continuing to ease, we hope you are all ready to start again and overcome any setback you may have experienced. If you have any enquiry or would like to discuss this further, please do not hesitate to contact our office.

An Update to the JobKeeper Payment

The JobKeeper Payment has recently been passed through Parliament and has now been put into legislation. Through this scheme, the Government will provide a wage subsidy of $1,500 per JobKeeper fortnight per employee for a slated period of six months, starting on the 30th of March 2020 and ending on 27th of September 2020. The payments will be paid by the ATO monthly, in arrears. The first round of JobKeeper payments will soon be paid out, starting the 28th of April 2020.

Enrolling for the JobKeeper Payment

Employers must elect to receive the JobKeeper Payment (it is not an automatic process) and the ATO has recently outlined the steps to follow in order to enrol and claim for the payment. From the 20th of April 2020, you or a registered tax professional can enrol for the JobKeeper Payment. For those who would like to claim the JobKeeper Payments for April, please be aware that you will have to act fast and enrol by the end of April to avoid missing out.

The steps outlined by the ATO to enrol for the JobKeeper Payment are as follows:

Register your interest and subscribe for JobKeeper Payment updates on the ATO website
Ensure that you and your employees meet eligibility requirements (see below)
Continue to pay at least $1,500 to each eligible employee per JobKeeper fortnight (that is, the fortnight must fall within the 30th of March 2020 and the 27th of September 2020)
Notify eligible employees that you are intending to claim the payment on their behalf. Before you can receive the JobKeeper Payment, your eligible employees must be aware and they must give you approval to claim on their behalf. Note that you will need to confirm that they are not claiming the payment through another employer and that they have not been nominated through another business.
Send the JobKeeper Employee Nomination Notice to your nominated employees for them to complete and return to you (please note you are not required to send this notice to the ATO but it is recommended that you keep it on file for 5 years). Note that if you are planning to claim the JobKeeper Payment for April, your employees must return the form to you by the end of April.
From the 20th of April, you can enrol with the ATO using the Business Portal (to be authenticated with myGovID) or through your tax agent.
Using their online form, provide your bank details and the basis with which you are claiming the entitlement
Specify the estimated number of employees who will be eligible for the first JobKeeper fortnight (from the 30th of March to the 12th of April) and for the second JobKeeper fortnight (from the 13th of April to the 26th of April)

Confirmation of Eligible Employees

Once the eligibility criteria have been met, you or a registered tax agent can apply for the JobKeeper subsidy for your eligible employees from the 4^th of May.

The steps outlined by the ATO to apply for the JobKeeper Payment are as follows:

Apply to claim the JobKeeper Payment by logging in to the ATO Business Portal
Ensure that you have paid each eligible employee a minimum of $1,500 before tax per JobKeeper fortnight
Identify your eligible employees in the application form
Submit the confirmation of your eligible employees online and wait for the confirmation screen
Notify your eligible employees that you have nominated them
The JobKeeper Payment will be paid out to you for all eligible employees after receiving your application
Each month through the ATO online services, the Business Portal, or via your registered tax agent, you will need to reconfirm that your report eligible employees have not changed. This will ensure that you will continue to receive the JobKeeper payment. Please note you will not need to retest your reported fall in turnover but you will need to provide some information on your current and projected turnover through your monthly JobKeeper Declaration report
If you eligible employees change or leave your employment, you will need to notify the ATO through your monthly JobKeeper Declaration report

Note that as the JobKeeper Payment scheme is operated on a ‘one in, all in’ basis, employers cannot pick and choose which eligible employees will be able to participate. Once a business has opted to sign up for the JobKeeper Payment, they must ensure that all of their eligible employees who have agreed to be nominated participate in the scheme. This applies to all eligible employees, regardless of whether they are still working for the employer or they have been stood down.

More information on the enrolment and application process can be found on the ATO website.

The JobKeeper Payment and PAYG Withholding

As these payments are made to take the form of salary or wages, they would constitute as assessable income for the employees, meaning employers would be required to deduct the appropriate amount of PAYG withholding. On the basis that each eligible employee will receive at least $1,500 per fortnight, then at least $192 of PAYG withholding will need to be deducted, based on a fortnightly payment cycle, where the employee is claiming the tax-free threshold (assuming no salary packaging arrangement is in place).

The JobKeeper Payment and Superannuation Guarantee

The Government’s intent is that employers will only be required to make contributions for amounts payable to an employee in respect of their actual employment, which would not include any extra payments made to satisfy the $1,500 JobKeeper Payment ‘wage condition’ (ie. eligible employees covered by the JobKeeper Payment must be paid a minimum of $1,500 every fortnight, which may mean ‘topping up’ payments for those who typically earn less). Unfortunately, at the time of writing, the law is yet to be amended to reflect this intent.

For example, if an employee ordinarily earns $1,000 a fortnight, their wage will be ‘topped up’ by $500 to meet the $1,500 condition. The employer will be required to pay superannuation guarantee in relation to the usual $1,000 but they may lawfully decide not to pay superannuation on the additional $500 payment that could be attributed to the JobKeeper Payment (and not their actual employment). It will be up to the employer if they want to pay superannuation on the additional wages paid by the JobKeeper or not.

Eligibility Requirements: Employers

Employers and not-for-profit entities will be eligible for the payment provided they fit the following criteria:

They carried on business in Australia on the 1st of March 2020
They have been in an employment relationship with eligible employees as at the 1st of March 2020 and confirm that each employee is currently engaged
They satisfy the decline in turnover test
Their business is not subject to the Major Bank Levy, and they are not in liquidation

Decline in Turnover Test

To satisfy the decline in turnover test, businesses must be able to show that their projected GST turnover for a period falls short of the GST turnover for a relevant comparison period by at least a specified percentage based on their aggregate turnover. Effectively, this can be broken down into two steps: First, you must determine your aggregated turnover to determine what percentage of decline you need to satisfy, and second, you will need to work out the periods that you will use to exhibit this decline in turnover.

Step 1: Working out your aggregated turnover to determine percentage of decline

‘Aggregate turnover’ is defined as an entity’s annual turnover from carrying on a business plus the annual turnover of an entity that is ‘connected with’ or an ‘affiliate’ of the entity.

For businesses with an aggregated turnover of less than $1 billion (for income tax purposes), they must estimate that their GST turnover has fallen or will likely fall by 30% or more
For businesses with an aggregated turnover of $1 billion or more (for income tax purposes), they must estimate that their GST turnover has fallen or will likely fall by 50% or more
Charities registered with the ACNC must estimate that their GST turnover has fallen or will likely fall by 15% or more – note that this lower turnover test does not apply to universities and non-government schools that are registered charities as they will remain subject to the turnover decline tests set above for not-for-profits and businesses

Step 2: Working out the periods for comparison

You will need to be able to show the decline in turnover by comparing it to your turnover from a year ago.

Monthly basis – any month from March to September 2020 must be compared to that same month in 2019
Quarterly basis – the June 2020 quarter or the September 2020 quarter must be compared to that same quarter in 2019

Note that for those who may not have an appropriate comparison period, the ATO Commissioner can determine an alternative test to establish eligibility.

Also note that you are only required to meet the Decline in Turnover Test once to be eligible – you will not be required to retest for eligibility monthly, but you will have to report your current and projected turnover in your monthly JobKeeper Declaration report as part of your claims.

Eligibility Requirements: Employees

An employee is eligible if they satisfy the following conditions:

The individual is employed by the entity at any time in the fortnight (including those stood down or re-hired) and was employed by the employer at the 1st of March 2020
On the 1st of March 2020, the individual meets the following conditions:
- Age Condition was aged 16 or over; and
- Employment Condition was either:
  - An employee (other than a casual employee); or
  - A long-term casual employee employed on a ‘regular and systematic basis’ for a 12-month period ending on the 1st of March 2020; and
- Residency Condition was an
  - Australian citizen; or
  - permanent visa holder; or
  - special category visa holder (protected SCV holder); or
  - a New Zealander who is an Australian tax resident and holds a special category visa (subclass 444)

The individual has given the entity a nomination notice which states that they meet the above requirements and that they agree to be nominated by the entity
The individual is a resident for Australian tax purposes on the 1st of March 2020
The individual is not in receipt of a JobKeeper payment from another employer

Employees who have multiple employers can usually choose which one employer they wish to nominate through – however, if your employees are long-term casuals and have other permanent employment, they cannot nominate you. They cannot receive the JobKeeper Payment from more than one employer.

Employees receiving Parental Leave Pay from Services Australia are not eligible for the JobKeeper Payment. However, employees on parental leave from their employer will be eligible. Employees receiving workers’ compensation will be eligible for the JobKeeper Payment if they are working but will generally not be eligible if they are not working.

Note that receipt of the JobKeeper Payment may affect your employees’ eligibility for income support payments, and they will be required to report the change or circumstances to Services Australia.

Eligibility Requirements: Self-Employed

Those who are self-employed as sole traders or other entities will be eligible for the JobKeeper Payment provided they fit the following criteria:

They carried on business in Australia on the 1st of March 2020
They satisfy the decline in turnover test (see above)
They satisfy the following conditions as at the 12th of March 2020:
- They have an ABN on the 12th of March 2020; and
- They have lodged, on or before the 12th of March 2020, at least one of
  - A 2018-19 income tax return showing that it had an amount included in its assessable income in relation to it carrying on a business
  - An activity statement or GST return for any tax period that started after the 1st of July 2018 and ended before the 12th of March 2020 showing that it made a taxable, GST-free, or input-taxed sale.

Their business is not subject to the Major Bank Levy, and they are not in liquidation

Entities will need to elect an individual as the ‘eligible business participant’ to receive the JobKeeper Payment on behalf of the entity for the fortnight. The elected individual must meet the following conditions:

The individual is not employed by the entity at any time in the fortnight
The individual is not an employee (other than a casual employee) of another entity
On the 1st of March 2020, they individual must have met the following conditions:
- Age Condition was aged 16 and over; and
- Residency Condition was an
  - Australian citizen; or
  - permanent visa holder; or
  - special category visa holder (protected SCV holder); or
  - a New Zealander who is an Australian tax resident and holds a special category visa (subclass 444)

The individual is not currently receiving government parental leave pay, dad and partner pay
The individual is not currently totally incapacitated for work and receiving payments under an Australian workers’ compensation law in respect of their total incapacity to work
At a time in the fortnight, the individual:
- Was actively engaged in the business carried on by the entity; and
- Was:

If the entity is a sole trader	the entity
If the entity is a partnership	a partner in the partnership
If the entity is a trust	an adult beneficiary of the trust
If the entity is a company	a shareholder in or a director of the company

The individual has given the entity a nomination notice, stating that they meet the above requirements and agree to be nominated by the entity.

More information on the above can be found using the resources from the Treasury website and the ATO website. For those with questions about how the JobKeeper Payment may be affecting workplace laws and entitlements, please visit the Fair Work website to read up on recent updates to account for the new legislation. We have also previously written up articles about the JobKeeper payment and the other previously announced stimulus packages available for additional information that may not have been covered above and please contact our office if you need any assistance with this.

Child Care Sector Relief Package

On the 2nd of April 2020, the Australian Government announced the Early Childhood Education and Care Relief Package, made to ensure that as many of the sector’s child care and early learning services keep their doors open for families that need to work and support vulnerable children during the Coronavirus pandemic. It is made to complement the recent JobKeeper Payment package and is expected to help around one million families by providing free child care.

The funding will apply from the 6th of April 2020 and is set to continue until the end of the 2020 financial year. It will be paid based on the number of children who were in care during the fortnight leading into the 2nd of March 2020, regardless of whether they were actually attending care. The additional funding will only be available as long as centres remain open and do not charge families.

The Government will pay 50% of the child care sector’s fee revenue up to the existing hourly rate cap. Payments of higher amounts will be available in exceptional circumstances, such as where greater funding is required to meet the needs of emergency workers or vulnerable children. Early childhood education and child care services do not need to apply for the payments – they will be paid automatically starting at the end of next week, in lieu of the Child Care and Additional Child Care Subsidy payments. According to the Minister for Education, Dan Tehan, the means-testing arrangements to access the child care subsidy for those who are working during the six-month Coronavirus pandemic will no longer be in place.

Until the payments are made, the Government will allow centres to waive gap fees for families who keep their children home and families will be able to use the 20 extra absence days the Government has funded for Coronavirus-related reasons without giving up their place in a centre.

The media release has also advised families who have terminated any child’s enrolment since the 17th of February 2020 to get in touch with the relevant centre to re-start the child’s enrolment. Re-starting a child’s enrolment will not require families to send their children to attend care but it will hold the child’s place at the centre until things start to normalise and families are ready to take their children back to the centre. They will not be required to pay a gap fee.

We are expecting more information to come out regarding this new addition to the Coronavirus response package – we will update you should anything new arise. If you would like to discuss how the above may affect you or your business, please do not hesitate to contact our office.

The Western Australian Government’s Response to the Coronavirus (COVID-19) Crisis

On top of the Federal Government’s responses to the current crisis, the Western Australian Government has also released their own response packages to further assist Western Australians who find themselves impacted. The following information is accurate as of the 3rd of April 2020.

For Households:

On the 16th of March 2020, a freeze was put into place on household fees and charges, including electricity, water, motor vehicle charges, the emergency services levy, and public transport fares.
No households in WA experiencing financial hardship as a result of the COVID-19 crisis will have their power or water disconnected. Also, as of the 1st of April 2020, no interest will be charged on deferred bill payments for those experiencing pandemic related hardship. This applies to Synergy and Horizon Power customers.
The WA Government has announced an increase for the Energy Assistance Payment (EAP) from $300 to $610 for eligible concession card holders. Later in the month, they announced an expansion for the eligibility to include new eligible applicants until the 30th of September 2020. This ensures that any person unemployed due to the COVID-19 pandemic who becomes eligible for a concession card will receive an upfront $305 credited against their electricity bill (from the 11th of May 2020) and up to a further $305 credited over the course of the next year. This boost in EAP has been brought forward to this financial year, eligible as at the 16th of March 2020, rather than being paid from the 1st of July 2020 to provide relief to WA households sooner.
Households directly or indirectly impacted may all also apply for an interest-free payment arrangement and for late payment penalties to be waived for transfer duty, landholder duty, vehicle licence duty, or land tax.
KeyStart customers facing financial hardship due to the crisis can apply to defer principal repayments and waive interest costs by up to six months. Eligibility for this assistance will be assessed on a case-by-case basis in line with KeyStart’s Hardship Assessment Policy.

These initiatives will be in place until the 30th of September 2020 and will be reviewed when necessary.

For Small and Medium Businesses:

Electricity bills for around 95,000 small businesses will be reduced, with a one-off credit of $2,500 available for Synergy and Horizon Power customers that consume less than 50 megawatt hours (MWh) per annum. This credit is available for customers as of the 31st of March 2020 and will be allocated from the 1st of May 2020 to reduce current and future electricity bills.
No small businesses facing financial difficulty due to the current crisis will face power or water disconnections due to late payments. Additionally, no interest will be charged on deferred bill payments. For electricity, this will apply to Synergy or Horizon Power customers who consume 50MWh or less.
Small businesses renting Government-owned buildings will find their rental payments waived for six months to assist them in responding to the impacts of COVID-19. Legislation is also in place that allows pastoral lease holders to request rent payments be reduced, waived, or delayed where the lease has been adversely affected, or if the lease holder is suffering personal financial hardship due to poor economic conditions in the pastoral industry.
$100.4 million has been allocated to waive a wide range of licence fees for small and medium-sized businesses in industries impacted by the COVID-19 pandemic for the next 12 months. This includes:
- Licences for building services, plumbers and electricians
- Licences for tourism businesses operating in national and marine parks
- Boat registration and mooring fees for tourism operators and commercial fishers
- Commercial fisheries licences
- Taxi booking service authorisation fees
- Settlement agent licence fees
- Liquor licence renewal fees – refunds will be provided for businesses that have already paid
- Any other statutory planning fees
To support the liquor industry, the Director of Liquor Licensing will grant occasional liquor licences to existing licensed venues for up to six months to allow the sale of liquor with a takeaway or delivered meal
Businesses impacted can also apply for an interest-free payment arrangement and for late penalties to be waived for payroll tax, transfer duty, landholder duty, vehicle licence duty, or land tax

Payroll Tax for Small and Medium Businesses:

The payroll tax threshold will be increased to $1 million from the 1st of July 2020, six months earlier than originally planned, benefiting 11,000 WA businesses.
It was initially announced that small and medium businesses affected by COVID-19 can apply to defer payment of their payroll tax – on the 31st of March 2020, it was announced that they can now be waived as opposed to deferred. Payroll tax will be waived for a four-month period between the 1st of March 2020 to the 30th of June 2020 for businesses who pay $7.5 million or less in Australia-wide annual wages in 2019-20.
- Employers, or groups or employers, with Australian taxable wages below $5 million at the 29th of February 2020 do not have to apply for the waiver – it can be automatically be claimed for March to June 2020 by declaring WA taxable wages as normal in Revenue Online and recording the value of WA taxable wages as exempt wages using the ‘Other Exempt Wages’ field.
- Employers, or groups of employers, with Australian taxable wages of $5 million or above (capped at $7.5 million) at the 29th of February 2020 or new employers registered for payroll tax from the 1st of March 2020 can apply to defer lodgement and payment of returns.
Businesses that pay payroll tax between $1 million and $4 million will receive a one-off grant of $17,500 to assist them in managing the impacts of COVID-19.

A Payroll Tax Employer Guide can be found on the Department of Finance (WA) website.

Relief for on-demand transport industry:

The WA Government will be delivering a $9 million relief package to support the taxi and on-demand transport industry through the Coronavirus pandemic, including:

$4.7 million in Regional Tax Assistance Payments available to around 200 former country taxi licensees who paid a sum to a third party to acquire a taxi-car business and were operating against that license on the 1st of July 2019 – this package is being delivered on top of the $3.7 million of State Government assistance already provided to regional taxis during reforms
$1.5 million to provide a cash payment of $2,500 to around 600 authorised on-demand booking services that also hold an active Passenger Transport Vehicle (PTV) authorisation. These are largely sole traders or small and medium businesses providing taxi, tour and charter, luxury, and special event services across Western Australia
A total of $2.95 million to waive renewal fees for the next 12 months:
- $1.95 million for passenger transport vehicles
- $1 million for on-demand booking services
Delaying the requirement for new or upgraded cameras from the 2nd of July 2020 to at least the 1st of July 2020, to relieve stress from approximately 300 regional and 1,000 metropolitan taxis

Community Services Assistance:

Electricity bills for around 2,800 charities will be reduced, with a one-off $2,500 credit provided for groups on community service and charitable accommodation electricity tariffs with Synergy and Horizon Power. The credit will be allocated from May 1, 2020 to reduce current and future bills.
Not-for-profit groups renting Government-owned buildings will find their rental payments waived for six months to assist them in responding to the impacts of COVID-19.
Funding certainty has been provided to community service providers, with government agencies to continue to pay contracts with the sector until at least June 30, 2020, even if providers are unable to deliver services due to impacts caused by the Coronavirus pandemic.
On the 30th of March 2020, it was announced that $159 million has been directed from Lotterywest to establish the COVID-19 Crisis Relief Fund to support not-for-profit sport, arts and community groups in dealing with the coronavirus.

An additional $500 million is allocated to health and other frontline service delivery, and capacity for additional industry support to ensure the Government can continue to provide a strong response to the pandemic. This funding will go towards increasing supplies of personal protective equipment, ventilators, additional staff and hospital beds to cope with a surge in demand in the health system and increasing cleaning of public transport and schools and any additional measures required by frontline services.

The Treasurer encourages eligible businesses not negatively impacted by COVID-19 to keep paying tax as normal so the funds allocated to these initiatives can be used to assist other businesses that are not so fortunate.

The Small Business Development Corporation has created a COVID-19 assistance centre to provide dedicated, timely guidance on available support options. Those who are needing information on available stimulus packages and their eligibility requirements, advice on preparing to manage impacts, and other resources are encouraged to access the service by contacting 133 140 or emailing info@smallbusiness.wa.gov.au.

The above information has been compiled using the WA Government’s website and numerous media statements. For further details and timely updates on the state government’s responses on a health and on an economic level, please visit the COVID-19 Coronavirus page. You can also find business and industry communications from state government on the dedicated COVID-19 Coronavirus Business and Industry Advice page.

Should you need any assistance with your affairs, please do not hesitate to contact our office.

Partner income test relaxed for JobSeeker Payment

As of 30^th March 2020, the Government is temporarily relaxing the partner income test. This is important for couples, who are married or in de facto relationships where you have declared that you and your partner are living together on a genuine domestic basis, regardless of whether you are legally or not legally married. Your combined taxable income will be considered if you don’t have private health insurance and is necessary to determine accurately whether you are entitled to more government benefits, concessions or tax obligations, such as Medicare Levy Surcharge.

For the next six months, a new Coronavirus Supplement of $550 per fortnight, will be made available for income support payments, on top of the JobSeeker Payment for an eligible person and also providing their partner earns around $79,762 per annum (less than $3,068 per fortnight).

The Coronavirus Supplement will commence from 27 April 2020. If you are already a recipient of any income support payments, such as the JobSeeker Payment, the supplement will be automatically paid out. However, if you are not, you will have to apply through Centrelink – over the phone or myGov portal.

For more detailed information and factsheets, regarding the coronavirus supplement please visit the treasury website.

The JobKeeper Payment

The Government has recently announced a new measure made to support employees and businesses in an effort to strengthen the foundation for economic recovery once the Coronavirus crisis passes.

The new ‘JobKeeper Payment’ is a subsidy designed to help businesses affected by the Coronavirus to cover the costs of their employees’ wages, so that more employees can retain their job and continue to earn an income. This will be available for a maximum period of six months and is also available to the self-employed. Through this program, employers will be able to claim a subsidy of $1,500 per fortnight, per eligible employee, to be paid by the ATO monthly in arrears starting in May.

Who can be eligible for the subsidy?

Employers, not-for-profit entities, and self-employed individuals must fit certain criteria to be eligible for the subsidy:

Their business has a turnover of less than $1 billion and their turnover will be reduced by more than 30% relative to a comparable period a year ago (of at least a month);

Their business has a turnover of $1 billion or more and their turnover will be reduced by more than 50% relative to a comparable period a year ago (of at least a month);

AND

The business is not subject to the Major Bank Levy

The employer must have been in an employment relationship with eligible employees as at 1st of March 2020 and confirm that each employee is currently engaged in order to receive JobKeeper Payments.

The Application Process

Initially, businesses and the self-employed can register their interest in applying for the JobKeeper Payment via the ATO’s website from the 30th of March 2020. Please note that employers must elect to receive the JobKeeper Payment – to register follow this link.

Eligible employers will need to identify eligible employees for JobKeeper Payments and must provide monthly updates to the ATO. Employers will also be required to ensure eligible employees will receive, at minimum, a gross (ie., before tax) payment of $1,500 per fortnight.

An eligible employer receiving the JobKeeper Payment in respect of one or more employees will be required to notify each employee that they have been nominated as eligible employees for the employer to receive the payment. It will be up to the employer if they want to pay superannuation on any additional wage paid because of the JobKeeper payment.

Those who are self-employed will need to provide an ABN for their business, nominate an individual to receive the payment and provide the individual’s TFN, and provide a declaration as to recent business activity. People who are self-employed will also need to provide monthly updates to the ATO to declare their continued eligibility for the payments.

Eligible Employees

Eligible employees must satisfy the following requirements:

The employee is currently employed by the eligible employer, including those who are stood down or rehired
The employee was employed by the employer as at the 1st of March 2020
The employee is a full-time or part-time employee, or long-term casual (ie., a casual employed on a regular basis for longer than 12 months as at the 1st of March 2020)
The employee is at least 16 years of age
The employee is an Australian citizen, or the holder of a permanent visa, a Protected Special Category Visa Holder, a non-protected Special Category Visa Holder who has been residing continually in Australia for 10 years or more, or a Special Category (Subclass 444) Visa Holder
The employee is not in receipt of a JobKeeper Payment from another employer

Employees who have multiple employers will need to notify their primary employer to claim the JobKeeper payment on their behalf, as only one employer will be eligible to receive the payment. In most cases, the claiming of the tax-free threshold will be sufficient notification that an employer is an employee’s primary employer.

If your employees receive the JobKeeper payment, this may affect their eligibility for payments from Services Australia or Centrelink as they must report their JobKeeper Payment as income – they will need to advise Services Australia (or Centrelink) of their change or circumstance online or by telephone.

How is the payment applied by an eligible business?

For eligible employers who receive the JobKeeper Payment for eligible employees, the employee will receive the payment as follows:

If the employee ordinarily receives at least $1,500 in gross salary income per fortnight, they will continue to receive their regular income according to prevailing workplace arrangements. In this case, the Payment will effectively subsidise part or all of the employee’s gross fortnightly salary income
If the employee ordinarily receives less than $1,500 in gross salary income per fortnight, their employer must pay the employee a minimum gross fortnightly salary income of $1,500 under the JobKeeper Payment scheme
If the employee has been stood down, their employer must pay the employee the minimum gross fortnightly salary income of $1,500 under the JobKeeper Payment scheme
If an employee was employed on the 1st of March 2020, has subsequently ceased employment with their employer, and then has been re-engaged by the same employer, the employee will receive a minimum gross fortnightly salary of $1,500 under the JobKeeper Payment scheme

It is expected that more information will be provided about applying for the JobKeeper Payment on the ATO’s website as it continues to develop. For more information and some helpful fact sheets and examples, please also visit the Treasury website or contact our office for additional information.

An Update to the Government’s Response to the Coronavirus Outbreak

The Australian Government has recently announced a second set of economic responses and as of the 23rd of March 2020 both packages are now in effect and include:

Income Support for Individuals

Over the next six months, starting from the 27th of April 2020, the Government is temporarily establishing a new, time-limited, Coronavirus supplement of $550 per fortnight to be paid to existing and new recipients of eligible income support payments such as the Jobseeker Payment (previously known as Newstart), Youth Allowance Jobseeker, Parenting Payment (Partnered and Single), Farm Household Allowance, and Special Benefit.
They are also expanding access and eligibility to certain income support payments to provide for individuals who have been financially impacted by the Coronavirus and meet certain requirements. Such individuals could include permanent employees who have been stood down or have lost their employment; sole traders, the self-employed, casual, or contract workers whose income have been reduced; and those who are caring for someone who is affected by Coronavirus.
Asset testing for the Jobseeker Payment, the Youth Allowance Jobseeker, and the Parenting Payment (Partnered and Single) will be waived for the period of the Coronavirus supplement. Income testing will still apply. A 3-month waiving of the Ordinary Waiting period has also been put into effect and is set to continue while the temporary arrangements are in place.

Income Support for Households

The Government will be providing two separate $750 tax-free payments to social security, veteran, and other income support recipients and eligible concession card holders.
- The first $750 payment will be available to individuals receiving an eligible Government payment or who are holders of an eligible concession card at any time from the 12th of March to the 13th of April 2020 (inclusive).
- The second $750 payment will be available on the 10th of July 2020 and will not be made to those eligible for the $550 per fortnight Coronavirus supplement.
Note that these payments will not be counted as income for the purposes of Social Security, the Farm Household Allowance, and Veteran payments.
Note that an individual can only receive one $750 payment in each round, even if they qualify in multiple ways.

Boosting Cash Flow for Businesses

Small and medium sized businesses that employ people may be eligible to receive a total payment of up to $100,000 (with a minimum total payment of $20,000) based on their PAYG withholding obligations. These payments will broadly be calculated and paid by the ATO as an automatic credit to the employer, and will be made in two stages:
- Stage 1 – Commencing from the lodgement of activity statements from the 28th of April 2020, eligible employers that withhold PAYG tax on their employees’ salary and wages will receive a tax-free payment equal to 100% of the amount withheld, up to a maximum of $50,000. Eligible employers that pay salary and wages will receive a minimum tax-free payment of $10,000 even if they are not required to withhold PAYG tax. Quarterly lodgers will be eligible to receive the payment for the quarters ending March and June 2020. Monthly lodgers will be eligible to receive the payment for March, April, May, and June 2020 lodgements, with the payment for the March 2020 activity statement payment to be calculated as being three times the actual amount withheld.
- Stage 2 – For employers that continue to be active, an additional tax-free payment will be made in respect of the June to October 2020 period. Quarterly lodgers will receive the additional payment for the quarters ending June 2020 and September 2020, with each payment being equal to 50% of their total Stage 1 payment, up to a maximum of $50,000. Monthly lodgers will be eligible to receive the additional payment for June, July, August, and September 2020 activity statement lodgements, with each additional payment being equal to a quarter of their Stage 1 payment, also up to a maximum of $50,000.

Wages Subsidies for Apprentices and Trainees

Employers with less than 20 full-time employees who retain an apprentice or a trainee who was in training with the employer as at the 1st of March 2020 may be eligible to Government funded wages subsidies equal to 50% of the apprentice’s or trainee’s wage paid during the nine months from the 1st of January 2020 to the 30th of September 2020, coming to a maximum of $21,000 per eligible apprentice or trainee. Employers can register for the subsidy from early April 2020, and final claims for the payment must be lodged by the 31st of December 2020.

Increasing the Instant Asset Write-Off

The Government is increasing the instant asset write-off threshold to $150,000 (from $30,000) for businesses with an aggregate turnover of less than $500 million until the 30th of June 2020. The threshold will apply to the GST-exclusive (if the business is registered for GST and is entitled to receive input tax credits) cost of both new and second-hand assets first used or installed ready for use in the period beginning on the 12th of March 2020. Please note that the measure applies differently to Small Business Entities and Medium Business Entities.

Accelerating Depreciation Deductions for New Assets

A new time-limited 15-month investment incentive will be introduced to accelerate certain depreciation deductions for businesses with an aggregate turnover below $500 million, available until the 30th of June 2021. Outside of SBEs depreciating assets under general small business pool rules, eligible entities can deduct 50% of the cost of the eligible depreciating asset and the amount of the usual depreciation deduction that would otherwise apply as calculated on the remaining cost of the asset. The new measure can only be applied to eligible depreciating assets in the year in which they are first used or are installed ready for use for a taxable purpose.
For SBEs that use the general small business pool, for assets that do not qualify for the instant asset write-off, an amount equal to 57.5% of the business-use portion of the cost of the eligible depreciating asset may be deducted in the year that the asset is allocated to the pool. This is as opposed to the normal 15% that is deducted on the first year and asset is allocated to the pool.

Early Access to Superannuation Benefits

The Government is allowing individuals affected by the Coronavirus to access up to $10,000 of their superannuation before the 1st of July 2020, and a further $10,000 from the 1st of July 2020 through the new compassionate ground of release. Eligible individuals who wish to access their entitlements under the new ground will be able to apply directly to the ATO from mid-April 2020. They will not need to pay tax on the amounts released, and their withdrawals will not affect Centrelink or Veterans’ Affairs payments.

Temporary Reduction of Superannuation Minimum Drawdown Rates

The Government is temporarily reducing minimum drawdown requirements for account-based pensions and similar products by 50% for the 2020 and 2021 income years. This measure is designed to benefit retirees with account-based pensions and similar products be reducing the need to sell investment assets to fund the usual minimum drawdown requirements.

Reduction to Social Security Deeming Rates

From the 1st of May 2020, the Government will be reducing both the upper and lower social security deeming rates by a further 0.25 percentage points, bringing the overall reduction to 0.75 percentage points. The upper deeming rate will be reduced to 2.25% from 3% and the lower deeming rate will be reduced to 0.25% from 1%.

Hopefully the above information will provide some clarity however if you wish to discuss your personal tax affairs and the impact this will have on your affairs please contact our office or visit the Australian treasury or Government services website.

The Government’s Coronavirus Economic Stimulus Package

On the 12th of March 2020, the government released a proposed response to the economic implications of the Coronavirus outbreak in the form of a $17.6 billion economic stimulus package aiming to maintain confidence, support investment, and keep people employed. The proposed measures are as follows:

Business Investment Support:

From Thursday, the 12th March 2020, the instant asset write-off threshold has been increased from $30,000 (for businesses with an aggregated turnover of less than $50 million) to $150,000 (for businesses with an aggregated turnover of less than $500 million) until 30th June 2020.
A 15-month investment incentive, through to 30th June 2021, will be introduced to accelerate depreciation deductions to support business investment and economic growth in the short term. Businesses with a turnover of less than $500 million will be able to deduct 50% of the cost of an eligible asset on installation, with existing depreciation rules applying to the balance of the asset’s cost. This is proposed to apply to new depreciating assets first used, or installed ready for use, by 30th June 2021.

Cash Flow Assistance:

Tax-free payments of up to $25,000 (with a minimum of $2,000) will be provided for eligible small and medium businesses that employ staff, based on their PAYG withholding obligations.
Wage subsidies will be provided to support the retention of apprentices and trainees – employers with less than 20 full-time employees may be entitled to apply for Government funded wages subsidies amounting to 50% of an apprentice’s or employee’s wage for up to 9 months from the 1st of January 2020 to the 30th of September 2020, with the maximum subsidy for each apprentice/trainee amounting to $21,000. Where an employer is not able to retain an apprentice, the subsidy will be available to a new employer that employs that apprentice.

Payments to Households to support growth:

The Government will also provide a one-off tax-free payment (per eligible recipient) of $750 to social security, veteran and other income support recipients and eligible concession card holders. It is estimated that half of those that will benefit are pensioners. If a person qualifies for the payment in multiple ways, they will still only receive one payment. The payment will not count as income for Social Security, Farm Household Allowance, and Veteran payments.

Assistance for heavily affected regions:

The Government has committed to set aside $1 billion to support regions and communities that have been disproportionally affected by the economic impacts of the outbreak, including those who rely heavily on industries such as tourism, education, and agriculture. They are also providing additional assistance to businesses that may need to find alternative export markets or supply chains.

The Government are planning on introducing the package of Bills for urgent consideration and implementation in the final sitting week in March 2020. Following the passage of the Bills through Parliament, the Government will then make and provide any supporting documents. It is important to note that the measures are not yet law and the information available is still very limited and for additional information please visit The Treasury website.

COVID-19

The Government’s Coronavirus Economic Stimulus Package