The end of September will be upon us soon and businesses needing ongoing support must get familiar with the rules of JobKeeper 2.0. The first thing to note is that businesses need to qualify separately for each extension period.
- To qualify for the first extension period running from 28 September 2020 to 3 January 2021, small businesses will need to satisfy the 30% decline in turnover test for the September quarter.
- To qualify for the second extension period running from 4 January 2021 to 28 March 2021, small businesses will need to satisfy the 30% decline in turnover test for the December 2020 quarter.
- Then, businesses need to understand the reduced payment rates that apply under a two tiered system per period.
For the first extension period, employees who worked for 80 hours or more in the four weeks of pay periods 1 March 2020 or 1 July 2020 will receive the $1200 per fortnight, while all other employees will receive $750.For the second period, these rates will drop to $1000 per fortnight and $650 per fortnight respectively.
The ATO has announced that businesses currently enrolled in JobKeeper will not need to re-enroll for JobKeeper 2.0, nor will they need to provide an employee nomination notice again.
Further guidance on calculating the decline in turnover test will be announced soon by the ATO.
You can read more here with this detailed Fact Sheet.