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NSW business and personal support during the COVID-19 lockdown

5 min read
The federal and NSW state governments have announced an economic support package aimed at helping businesses and individuals across the state through the current COVID-19 lockdown. H&R Block can assist in applying for these programs.
Details are below:

Individuals

  • For individuals who lose hours due to a state government lockdown or public health order, there is the Australian government’s COVID 19 Disaster Payment.
  • Eligible workers will receive $750 per week if they lose 20 hours or more of work. Those who lose between 8 and less than 20 hours, or a full day of work, will receive a payment of $450 per week.
  • Payments are non-assessable, non-exempt income (tax free).
  • The payment will be available to those in a declared Commonwealth Hotspot.
  • There is no liquid assets test applied to eligibility for these payments. Further, an individual does not need to use their personal annual leave.
  • The payment will be a recurring payment for approved recipients for as long as the Commonwealth-declared hotspot and lockdown restrictions remain in place. This will remove the need for recipients to re-claim for each seven-day period of a lockdown.

Business Support Payments

  • A new direct payment is available to entities with an annual turnover between $75,000 and $50 million who can demonstrate a 30 per cent decline in turnover compared with an equivalent two-week period in 2019.
  • Eligible entities will be required to maintain their full-time, part-time and long-term casual staffing level as of 13 July.
  • Eligible businesses with employees will receive the equivalent of 40% of Weekly Payroll for work performed in New South Wales:
  • the minimum payment will be $1,500 per week, and
  • the maximum payment will be $100,000 per week.
  • For non-employing businesses, such as sole traders, the payment will be set at $1,000 per week.
  • The payments will be administered by Service NSW, with registrations of interest to open on Wednesday, 14 July.
  • For micro-businesses (small businesses and sole traders with aggregated annual turnover between $30,000 and $75,000), there is a fortnightly payment of $1,500 to cover business expenses for the duration of the Greater Sydney lockdown

Expanded business grants, payroll tax support, land tax relief

  • Eligible businesses with wages below $10 million can claim grants between $7,500 and $15,000 to cover the first three weeks of restrictions.
  • .
  • Payroll tax waivers of 25 per cent for businesses with wages of between $1.2 million and $10 million that have experienced a 30 per cent decline in turnover.
  • A capped grant of up to $1,500 for residential landlords who are not liable to pay land tax who reduce rent for tenants estimated at $210 million.
  • Land tax relief equal to the value of rent reductions provided by commercial, retail and residential landlords to financially distressed tenants, up to 100 per cent of the 2021 land tax year liability.
  • A short-term eviction moratorium for rental arrears where a residential tenant suffers loss of income of 25 per cent due to COVID-19 and meets a range of criteria.
  • Deferral of gaming tax assessments for clubs until 21 December 2021 and hotels until 21 January 2022.
The full eligibility criteria for both the business and individual support measures have been developed by Service NSW and Services Australia, with the information provided above current as of 26 August.

H&R Block can apply for these support packages on behalf of our clients, and explain the benefits and requirements.

Book an online appointment today

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