Coronavirus Stimulus Package Cash flow assistance for businesses

Cash flow assistance for businesses

The Government is also providing cash flow assistance for eligible businesses in the form of two separate measures.

Cash flow assistance for businesses Boosting cash flow for employers
Small and medium-sized businesses and not-for-profit entities, with an aggregated annual turnover of less than $50 million (usually based on their prior year's turnover) that employ people, may be eligible to receive a total payment (in the form of a refundable credit) of up to $100,000 (with a minimum total payment of $20,000), based on their PAYG withholding obligations in two stages:

Stage 1 payment (credit)
Commencing with the lodgment of activity statements from 28 April 2020, eligible employers that withhold PAYG tax on their employees' salary and wages will receive a tax-free payment equal to 100% of the amount withheld, up to a maximum of $50,000. 

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Coronavirus Stimulus Package Income support for individuals

Coronavirus Special Update March 2020

Government's Stimulus Package in response to the Coronavirus

What a changed world we are living in as we all try to navigate the challenges arising from the current Coronavirus Pandemic, including protecting the health and safety of our friends and family, and the viability of our businesses, employment and investments. 

The purpose of this communication is to provide you with an update relating to the Government's Economic Stimulus Package in response to the Coronavirus. Our office will continue to apply its available resources to assist and support you where we can through this uncertain period as we attempt to survive the ever changing restrictions we are all dealing with.

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The Second $66.1bn Stimulus Package

The Second $66.1 bn Stimulus Package: What You Need To Know

The Government released a second, far reaching $66.1 bn stimulus package that boosts income support payments, introduces targeted changes to the superannuation rules, provides cash flow support of up to $100,000 for small business employers, and relaxes corporate insolvency laws.

Second $66.1 bn Stimulus PackageThe stimulus measures are not yet legislated. Parliament will reconvene on Monday 23 March.

The Prime Minister has warned that there are no "quick solutions" and that business should prepare for 6 months of disruption.

In Summary
  • Tax-free payments up to $100,000 for small business and not-for-profit employers. An increase in the previously announced initial tax-free payments for employers to a maximum of $50,000. In addition to this, a second round of payments will be made up to a maximum of $50,000, accessible from July 2020.  Read more…

FBT hot spots

Fringe Benefit Tax 2020

With the start of the Fringe Benefits Tax year looming on 1 April, businesses are being urged to review their Fringe Benefits Tax (FBT) position.

car parkingThe ATO's top FBT problem areas
  1. Motor vehicle fringe benefits - failing to report motor vehicle fringe benefits, incorrectly applying exemptions for vehicles or incorrectly claiming reductions for these benefits
  2. FBT and income tax mismatch - mismatches between the amount reported as an employee contribution on an FBT return compared to the income amounts on an employer's tax return 
  3. Entertainment claimed as a deduction but not recognised as FBT - claiming entertainment expenses as a deduction but not correctly reporting them as a fringe benefit, or incorrectly classifying entertainment expenses as sponsorship or advertising
  4. Car parking fringe benefits - incorrectly calculating car parking fringe benefits due to:  Read more…

Cancer Council Stars of Ballina Shire 2020

Chris Atkinson joins the Stars of Ballina Shire to dance for cancer
Your opportunity to enjoy a great night of entertainment and support Chris Atkinson for a very good cause!

Chris Atkinson joins the Stars of Ballina Shire to dance for cancerCancer Council's Stars – Ballina Shire business owners and local personalities – will light up the dance floor with local dance teachers to raise funds for Cancer Council in May.

For the very first time in 2020, local personalities will put their talent to the test to dance for cancer!

Cancer Council's Stars consist of business and local community leaders who will learn to dance in 8-10 weeks with the help of some fabulously talented dance teachers.

Known as the accountant with two left feet, Collins Hume Partner Christopher Atkinson (second from left), a husband, dad, golfer, adventure racer and mountain biker will possibly be facing his greatest fear!  Read more…

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