With businesses now returning to work for 2021 following the Festive/New Year holiday period, a reminder that JobKeeper 2.0 – Phase Two extensions have now taken effect from 4th January 2021 and will run for the period until 28th March 2021.
Under the final instalment period conditions, employees and eligible business participants meeting the Tier 1 working conditions will receive a $1,000 per fortnight payment, whilst all other employees and eligible business participants will receive $650 per fortnight.
Determining your Eligibility to Claim JobKeeper 2.0 – Phase Two
To be eligible to claim for the Phase Two Extension program, employers will need to demonstrate that your actual GST turnover (as reported on your Business Activity Statement) for the December 2020 quarter has decreased by the relevant amount when compared to the corresponding December 2019 quarter.
The ‘Decline in Turnover’ test determination remains the same under the Phase Two Extension, with the existing rules being:
- Entities with turnover greater than $1 billion – 50%;
- Entities with turnover less than $1 billion – 30%;
- ACNC Registered Charities (excluding schools & universities) – 15%
Additionally, the ATO is also allowing eligible entities to satisfy the Wage Condition requirement (make payments to eligible employees) for Fortnights 21 and 22 (commencing commencing 4th January and 18th January 2021) by 31 January 2021.
Determining your Eligible Employees
As in effect from 3rd August 2020, an employee can be eligible if they meet the requirements as at 1 July 2020. The eligibility requirements are as follows:
- Currently employed & were employed by the employer at 1 July 2020;
- Full-Time, Part-Time, Fixed-Term, or Long-Term Casual;
- At least 18 years of age, or aged 16-17 and independent or not undertaking full-time study;
- An Australian Resident; and
- Not in receipt of a JobKeeper payment from another employer.
No Longer Qualifying for JobKeeper 2.0 – Extension Two
if you were previously in receipt of JobKeeper and no longer qualify, you do not need to cancel your enrolment, however, you will need to:
- Change the status for all employees and the business participant through your STP-enabled software, or via the Business Portal;
- Notify all employees and the business participant that you are no longer receiving JobKeeper payments.
For More Information
For more information on the JobKeeper 2.0 – Phase Two Extension which has now taken effect from 4th January 2021, and how this impacts you and your business, please contact your Archer Gowland Redshaw adviser on (07) 3002 2699 or (07) 3221 4004.