Jobkeeper Tax

As of April 20th of this year, the ATO is now is accepting applications for the JobKeeper subsidy and encourages eligible businesses to apply if they have been affected by COVID-19. These applications will be accepted until the end of May.

This emergency subsidy plan government will pay businesses $1,500 a fortnight per eligible worker. These payments will be backdated to 30 March and continue for a maximum of six months streaming from the ATO to the Employer. All eligible employees will be paid as per usual and will receive the full amount of the subsidy, pre-tax.

This subsidy is given to staff earning more than $1,500 per fortnight.

JobKeeper also integrates with superannuation payments. In accordance to the Treasury fact sheet: “where an employee is paid more than $1,500 per fortnight, the employer’s superannuation obligations will not change. Where an employee is having their wages topped up to $1,500 per fortnight by the JobKeeper Payment, it will be up to the employer if they want to pay superannuation on any additional wages paid by the JobKeeper Payment”.

Currently there are around six million Aussies that are eligible under this subsidy scheme – nearly half the workforce! It’s a remarkable time we are currently in but Australia at this stage seems to be weathering the storm quite well.

If you are currently struggling to keep your business afloat and your employees retained this government package is sure to help. Tradie Bookkeeping Specialists is also here to help you and your business navigate these dark and uncharted financial waters so please don’t hesitate to contact us today!