The Prime Minister and NSW Premier has announced an expanded support program for NSW business affected by this current lockdown. This is welcomed as we know many clients and individuals who are struggling financially due to the restrictions.

The package includes a number of support measures, for which businesses will be able to apply from Monday 19 July 2021:

  1. The extension of the existing NSW Business Grants package for a third lockdown week. The NSW Government grants are available for businesses, sole traders and not-for-profit organisations impacted by the restrictions. You can receive a grant of between $7,500 to $15,000 depending on decline in turnover experienced.
  1. A cash boost for businesses across NSW with an annual turnover of between $75,000 and $50 million which can demonstrate a 30% reduction in this turnover during lockdown. The cash boost will be 40% of weekly payroll with a payment of between $1,500 to a maximum of $10,000 per week from week 4 of lockdown onwards, provided staffing levels are maintained.
  1. $1,500 fortnightly grants for micro businesses with turnover of between $30,000 and $75,000 which can demonstrate a 30% reduction in turnover where the business is the primary source of income.
  1. A payroll tax deferral this quarter for all businesses, and a waiver for this quarter if you can demonstrate a 30% reduction in turnover and you have a payroll of between $1.2 and $10 million.
  1. Increase in the payment amount for stood down workers from $500 to $600 per week for those who lost more than 20 hours, and to $375 for those who lost between 8 and 20 hours, and for it to be available to workers outside of Sydney lockdown areas.
  1. Several provisions around residential, commercial and retail leases, including no lockouts and forced evictions, and those landlords who provide rent relief will be given land tax reduction incentives.

Applications for the “Business Grant” are open today. Applications for “JobSaver” and “Micro Business Grant” are not yet open but should be available within the next week.

Here’s what you can do to prepare for your grant application:

  • Calculate your decline in turnover – you need to compare a 2-week period within 26 June 2021 to 17 July 2021, to the equivalent period in 2019.
  • Confirm your turnover for the year ended 30 June 2020 – the key threshold is whether you are above or below $75,000 (and under $50m).
  • If you are an employer, confirm your employee headcount as at 13 July 2021 (permanent employees and casuals that have been employed for more than 12 months)
  • Create a MyServiceNSW Account for your business (if you do not have one), and ensure your details are up to date.
  • If you meet the eligible criteria as outlined by Service NSW, please apply online and follow the steps.
  • Maintain records of supporting documentation as outlined by Service NSW for each grant application for up to 5 years in the event of an audit.

Please visit https://www.service.nsw.gov.au/campaign/covid-19-help-businesses/grants-loans-and-financial-assistance for more details and information around eligibility and how to make a claim.

Please contact us if you need assistance with your grant applications or to confirm your eligibility. The team at Solve Accounting are here to support you through this challenging period.