Business cash grants and income support for SA lock-down

Unfortunately here we are again in another lock-down. This time it’s a bit more serious and almost every business has been forced to close the doors and stand down staff.

While some of the details are still thin on the ground, the South Australian Government has announced a $100 million business support package, offering small and medium businesses an emergency cash grant of up to $3,000, while workers who have lost hours will be eligible for a COVID-19 Disaster Payment of up to $600 per week.

Business support

South Australian small and medium-sized businesses forced to close as a result of the state’s lockdown (beginning 20 July 2021) may be eligible for a $3,000 emergency cash grant.

Small businesses who don’t employ staff may be eligible for $1,000.

To be eligible for the one-off $3,000 emergency cash grant, a business must, as at 12:01am Tuesday 20 July 2021:

  • Be located within South Australia
  • Have an annual turnover of $75,000 or more in 2020-21 or 2019-20, and be registered for GST
  • Employ people in South Australia
  • Have an Australia-wide payroll of less than $10 million in 2019-20
  • Have a valid Australian Business Number (ABN)
  • Experienced at least a 30 per cent reduction (compared to the week prior) in turnover due to the restricted trading conditions.

To be eligible for the one-off $1,000 emergency cash grant, a non-employing business must meet the criteria listed above, excluding the requirement to employ people.

Businesses will be required to declare that they have experienced a loss or reduction in turnover due to restricted trading conditions. They will not be required to provide any supporting information at the time of application but will be required to retain supporting information for 12 months that could be made available for audit and compliance purposes such as:

  • Turnover comparison data for the week prior to the assessment period
  • Emails or texts to or from clients or suppliers detailing cancelled orders or appointments
  • Receipts for refunds provided
  • Invoices or delivery dockets
  • Appointment/scheduling platform, demonstrating cancelled appointments or bookings
  • Screenshots of cancelled events

Applications for a Business Support Grant will close at 11:59pm on 30 September 2021.

If you received either of the $10,000 relief packages last year, Treasury will contact you automatically (via the email previously used) and fast track the payment if your business details are the same.

An official application portal will be made available shortly. In the interim to receive a notification that applications are open you can:

REGISTER HERE

Employee Support

Individuals will be eligible for the COVID-19 Disaster Payment if they have lost between 8 and less than 20 hours of work for a payment of $375, and for 20 or more hours of work for a payment of $600, during the period of the lockdown. There will be no liquid assets test applied to eligibility for these payments.

To get it you must meet all of the following:

  • you’re an Australian resident or hold a visa that gives you the right to work in Australia
  • you’re 17 years or older
  • you’re not getting an income support payment, ABSTUDY Living Allowance, Dad and Partner Pay or Parental Leave Pay
  • you’re not getting the Pandemic Leave Disaster Payment, a state or territory pandemic payment or a state small business payment for the same period
  • you’ve lost income

This will only apply to employees that have been stood down or have lost shifts during the period 20 to 27 July 2021. Employees that have elected to take paid annual leave and cannot demonstrate a loss of income will not be eligible for the payment.

Employees can make a claim from 28 July to 16 August 2021. If the lockdown is extended (let’s hope not!), employees can elect to receive a recurring payment into their bank account within 7 days of the start of each new period.

More details about the COVID-19 Disaster Payment can be found here.

In the meantime, we recommend that employees apply for a Centrelink CRN via https://my.gov.au to enable a quick and easy claim online from next Wednesday 28th July.