Eligible small and medium-sized employers will be provided a 100% tax-free ‘cash back’ of up to $50,000 (and a minimum of $10,000) on your PAYG Withholding on wages between 1 January 2020 and 30 June 2020.

A second tranche of tax-free, cash back payments of up to $50,000 (and a minimum of $10,000) on your PAYG Withholding on wages will also be paid for the period 30 June 2020 – September 2020.

This second payment is calculated as the total cash back credit calculate in the first payment, split evenly over the June-20 to September 20 BAS/IAS lodgement period.

So to summarise – the cash back is now calculated on 100% of PAYGW of your wages, paid in 2 separate calculation periods:

If you take your ‘salary’ as a dividend or directors drawing and want to maximise your ‘cash back’, you could explore changing the treatment of your remuneration from drawings to salary…

If you have an existing debt with the ATO this benefit will offset your existing liability.

Eligible employers can apply for a wage subsidy of 50% of apprentice or trainee wages for up to 9 months from 1 January 2020 to 30 September 2020 (up to a maximum of $21,000 per eligible apprentice or trainee).

If a small business is not able to retain an apprentice, the subsidy will be available to a new employer that employs that apprentice.

The immediate tax deduction threshold has been increased from $30,000 to $150,000 for assets purchased between 12 March 2020 and 30 June 2020

Assets over $150,000 will attract an additional 50 percent depreciation rate of the asset cost in the year of purchase for assets purchased between 12 March 2020 and 30 June 2021

It’s important to note that these are tax incentives, not cash back incentives. In other words, you need to spend the money, and pay income tax in order to get the tax benefit.

The tax benefits will be applicable for your FY20 and FY21 tax returns, which means you won’t see any benefit until you’ve lodged your 2020 and 2021 returns.

Deferring by up to 4 months the payment date of amounts due through the business activity statement (including PAYG instalments), income tax assessments, fringe benefits tax assessments and excise.

Allow businesses on a quarterly reporting cycle to opt into monthly GST reporting in order to get faster access to GST refunds they may be entitled to.

Allowing businesses to vary Pay As You Go (PAYG) instalment amounts to zero for the March 2020 quarter. Businesses that vary their PAYG instalment to zero can also claim a refund for any instalments made for the September 2019 and December 2019 quarters.

Remitting any interest and penalties, incurred on or after 23 January 2020, that have been applied to tax liabilities.

Working with affected businesses to help them pay their existing and ongoing tax liabilities by allowing them to enter into low interest payment plans.

You will still need to pay Superannuation –

These relief provisions are not automatically applied. You or your accountant will need to contact the ATO to make any of the above requests for assistance.

The Government will provide a guarantee of 50% of new loans written by banks and SME lenders to support new short-term unsecured loans to SMEs.

Important clarification – this does not mean the Federal Government is issuing loans directly.

It means that the Government is providing a guarantee to banks and SME lenders to reduce their risk to provide unsecured loans to SMEs that need the cash for working capital.

Expect a new type of loan product issued by the banks and lenders, tailored for SMEs that have been directly disrupted by COVID-19

Contact your bank/lending institution about this package.

Refer to the ‘Coronavirus SME Guarantee Scheme’ and ask what new loan products are available to assist.

will have their annual tax liability reduced by 25% when they lodge their annual reconciliation, which is due on 28 July.

For those customers who lodge and pay monthly will have no payment required for the months of March, April or May 2020 will be required. ie. the payroll tax is completely waived

When lodging your annual reconciliation, you will still need to provide wage details paid in these months and will receive the benefit of a 25% reduction in the amount of tax you would have had to pay for 2019-20.

Businesses with annual taxable wages up to $3 million will have their payroll tax for the 2019-20 financial year waived.

Eligible businesses must continue to lodge returns but do not need to make further payments for the 2020 financial year.

The State Revenue Office will directly contact eligible businesses in relation to reimbursement for payroll tax already paid in the financial year.

The State Revenue Office will directly contact eligible businesses in relation to reimbursement for payroll tax already paid in the financial year.

Expect an email from them!

The QLD Government will offer $500m in loans to eligible businesses to retain employees and maintain operations. Details are:

Deferred payroll tax returns until 31 July 2020

The payroll tax threshold will be increased to $1 million on 1 July 2020. This brings the increase forward from the planned date of 1 January 2021 and will result in approximately an additional 300 businesses no longer being liable for payroll tax. The threshold increase will be reflected in Revenue Online when it comes into effect.

Employers, or groups of employers, who pay $7.5 million or less in Australian taxable wages and have been directly or indirectly impacted by COVID-19 can apply to defer their monthly payroll tax payments until 21 July 2020.

A one-off grant of $17,500 will be available for employers, or groups of employers, whose annual Australian taxable wages are more than $1 million and up to $4 million. For a group of employers, a single grant will be payable to the designated group employer. You do not need to apply for the grant. Grants will automatically be paid by cheque from July but there will be delays for taxpayers whose tax status changed in 2018-19 or who became liable for payroll tax during the 2018-19 or 2019-20 assessment year. Eligible taxpayers should log in to Revenue Online to ensure their postal address is correct.

$20 million in interest-free loans available to small businesses in the hospitality, tourism, seafood production and export sectors.

Businesses with turnover of less than $5 million will be eligible, and the loans are intended to be used for purchasing of equipment, or for restructuring business operations.

Loans will be offered interest-free for three years. Details on how to apply have not yet been released.

Deferring repayments on a variety of business loan and overdraft products, for 6-months.

Reducing commercial interest rates by 0.25

Waiving merchant terminal fees for impacted customers with CBA payment terminals, for 90 days.

Waiving early redraw fees on business term deposit accounts (including Farm Management Deposit accounts).

Waiving establishment fees and excess interest on Temporary Excess products.

Deferring repayments on vehicle and equipment finance loans, and providing tailored restructuring options that meet individual customer needs.

Suspending interest repayments

Deferral of business loan repayments for up to 6 months, assessed on a case-by-case basis

Providing early access to term deposits without incurring break fees

Providing access to additional credit subject to approval

Deferral of business loan repayments for up to 6 months, assessed on a case-by-case basis

Extension of a business loan term by a period of up to three months, where individual circumstances warrant

Support to restructure existing business loans, including equipment finance

Business credit card deferred repayments.

Continuing it’s hardship assistance program

Deferral of business loan repayments for up to 6 months, assessed on a case-by-case basis

Home Loan and Business Loan customers can apply for relief on loans for up to three months

Waiver of fees for the restructuring or consolidation of loans

Credit card customers can apply for an emergency credit card limit increase

Discounted interest rates on new personal loans taken out by existing Bendigo Bank customers

Waiver of interest rate reduction for early withdrawals on term deposits prior to maturity

Deferral of payments and extensions for Equipment Finance on a case by case basis