The coronavirus (COVID-19) has greatly impacted Australians. In response, the government introduced a $17.8 billion economic stimulus to support the economy.
Australia has over 375 confirmed COVID-19 cases, with 179 in New South Wales. Of these, 27 have recovered, and 5 have died. Officials link 189 cases to overseas travel, mainly from the USA, Iran, Italy, and the UK. Another 52 cases stem from contact with confirmed patients. Authorities are investigating 115 cases, while 19 infections have unknown origins.
Globally, COVID-19 has infected over 174,000 people and caused around 6,800 deaths. Many businesses have shut down and face bankruptcy. The Australian government announced two economic stimulus packages to prevent economic collapse. It also urges employers to act ethically and retain staff despite financial difficulties.
The government’s stimulus package includes:
- Up to $100,000 for eligible businesses with sales under $50 million.
- An immediate asset write-off increase to $150,000 from $30,000.
- A 50% wage subsidy for eligible apprentices and trainees for up to 9 months.
How to get up to $100,000 cash refund of your employee expense from Government
Businesses with sales under $50 million and employees will receive a PAYG withholding refund of up to 100%, capped at $50,000, when lodging March and June quarter statements. This also applies to July-September and October-December quarters.
Employers who do not withhold PAYG will receive a minimum ATO payment of $10,000. The refund is tax-free.
If you run a business, consult us to maximize your employee credit. As experienced accountants in Sydney and Adelaide, we can help. Email us at hello@endurego.com.
Immediate write off or depreciation up to $150,000
In the prior federal budget, the Australian Government had increased the depreciation threshold to $30,000 for new or second hand first used or installed ready for use from 12 March to 30 June 2020. This threshold will be increased to $150,000. The conditions are turnover less than $150 million, increase from the sale of $50 million, and the asset is per asset class, hence in theory, if you buy multiple asset, it will be more. The depreciation amount will be reverted back to normal from 1 July 2020.
You only need to pay 50% of you trainee or apprentice, the government will pay the other 50%
If you meet the eligible criteria, and hire the eligible trainees or apprentices, you will get subsidy of wages for trainee or apprentice up to 50% for 9 months.
This is multiple billion dollar program of up to $17.6 billion economy stimulus is hoped to save the economy of Australia.
If you are running a small business, please come and talk us on 0410829900 and we will help you to ensure you will get all the eligible cash refunds from the Government.
