The NSW and Federal Governments have released measures to support businesses during extended lockdowns of four weeks or more.
- Up to $100,000 in weekly JobSaver cashflow support payments
- Up to $15,000 through the expanded NSW 2021 COVID-19 business grants program
- NSW micro-business grants
- NSW payroll tax deferrals and a 25% payroll tax waiver
- NSW sector support for the arts and accommodation sector
JobSaver: Cashflow Support of up to $100,000
JobSaver is a weekly payment between a minimum of $1,500 and a maximum of $100,000 based on 40% of the NSW payroll payments of your business (including not-for-profits).
Eligible businesses without employees that meet the eligibility criteria (such as sole traders with no employees), will be able to access a payment of $1,000 per week.
The cashflow support will cease when lockdown restrictions are eased or when the Commonwealth hotspot declaration is removed.
Funding is also limited to specific purposes.
How to apply
Applications can be made online through Service NSW and close at 11:59pm on 18 October 2021.
If your business has successfully applied for the COVID-19 business grant, your business will be automatically eligible for JobSaver but will need to provide additional information on payroll and headcount.
To apply for JobSaver, you will need your business’s Australian income tax return, Notice of Assessment or other documentation demonstrating the business had a national aggregated annual turnover of between $75,000 and $250 million for the 2020 income year.
If your business is not on the highly impacted industries list, you will also need to submit a letter from us demonstrating that that you meet the decline in turnover test.
If your business is in the performing arts sector, please see the NSW Performing Arts COVID support package – CreateNSW is streamlining all applications through them.
Eligibility
- Have an active ABN; and
- Can demonstrate that your business was operating in NSW as at 1 June 2021; and
- Had an aggregated turnover between $75,000 and $250 million for the year ended 30 June 2020; and
- Maintain employee headcount as at 13 July 2021 – the number of people you employed in NSW including full time, part time and long-term casuals that have been employed by the business for more than 12 months; and
- Have experienced a decline in turnover of at least 30% over a minimum 2-week period from the start of the Greater Sydney Lockdown (from 26 June 2021), compared to the same period in 2019. The application will ask you for your lowest fortnightly turnover in this period.
Some businesses are ineligible for JobSaver. These include businesses predominantly earning passive income (rent, interest, or dividends), businesses owned by sovereign entities (foreign Governments), businesses in liquidation or bankruptcy proceedings, businesses that did not have an ABN as at 1 June or backdated their ABN, government agencies, local governments, banks, and universities.
I don’t have employees, can I still qualify?
If your business does not have employees (such as sole traders) but meets all the other eligibility tests, you can apply for JobSaver but only if the individuals associated with and deriving income from the business have not received a Commonwealth COVID-19 Disaster Payment since 18 July 2021. You also need to ensure that the business is the primary income source for the associated person.
I have stood down my employees, do they still qualify for the headcount test?
Yes. If you have stood down your full time, part time or long-term casual employees, they are counted in the headcount. During a stand down the employment relationship remains (their role has not been terminated), the employee is not paid (unless they are taking paid leave), and they continue to accrue annual leave. See the FairWork website to clarify how and when an employer can stand down employees.
How is decline in turnover measured?
In general, GST turnover concepts are used to determine whether the business has suffered a decline in turnover of at least 30%.
However, ServiceNSW has not provided clear guidance on how GST turnover should be calculated for the purpose of this grant. If it is not clear whether your business can pass this test, it may be necessary to contact ServiceNSW to discuss the situation.
2021 COVID-19 Business Grant of up to $15,000
The COVID-19 Business Grant provides up to $15,000 to eligible businesses (including not-for-profits and sole traders) with annual wages of up to $10 million.
The value of the grant is determined by the impact of the lockdown on your turnover. Your business will need to prove a decline in turnover across a minimum 2 week period from 26 June 2021 to 17 July 2021.
| Decline in turnover | Grant |
| 70%+ | $15,000 |
| 50% or more | $10,500 |
| 30% or more | $7,500 |
Applications are made online through Service NSW and close at 11:59pm on 13 September 2021.
Eligibility
The 2021 COVID-19 business grant is available if you:
Some businesses are ineligible for the grant. These include businesses predominantly earning passive income (rent, interest, or dividends), businesses owned by sovereign entities (foreign Governments), businesses in liquidation or bankruptcy proceedings, businesses that did not have an ABN as at 1 June, government agencies, local governments, banks, and universities.
Can I get the JobSaver and the business grant?
If your business meets the eligibility conditions, you can access both the grant and JobSaver.
If your business does not have any employees, you cannot access the grant if persons associated with the business, and who derive income from it, have applied for, or are receiving, the Commonwealth COVID-19 Disaster Payment.
If your business is in the performing arts sector, please see the NSW Performing Arts COVID support package – CreateNSW is streamlining all applications through them.
I don’t employ staff, can I still get the grant?
For sole traders and other businesses without employees, you can access the grant if you meet the other eligibility criteria but only if persons associated with the business, and who derive income from it, have not applied for, and are not receiving, the Commonwealth COVID-19 Disaster Payment.
We can work with you to help assess your eligibility and apply for the grant!
$1,500 Micro-Business Grants
The micro-business grant provides $1,500 per fortnight while lockdown restrictions apply to sole traders and other small businesses with aggregated annual turnover between $30,000 and $75,000. The grants are available from week one of the lockdown until restrictions are eased.
How to apply
Applications are made online through Service NSW. Applications close at 11:59pm on 18 October 2021.
Where your business operates through a trust structure, you will need to provide additional information to demonstrate that a national aggregated annual turnover of more than $30,000 and less than $75,000 is derived through the trust.
Eligibility
- Have an active ABN registered in NSW or can demonstrate your business was operating in NSW as at 1 June 2021; and
- Have had an aggregated annual turnover of more than $30,000 and less than $75,000 for the year ended 30 June 2020; and
- Have experienced a decline in turnover of at least 30% over a minimum 2-week period from the start of the Greater Sydney Lockdown (from 26 June 2021), compared to the same period in 2019; and
- Have business costs for which there is no other government support available; and
- Have not applied for either the 2021 COVID-19 Business Grant or JobSaver; and
- Have less than 20 full time equivalent employees at 1 June 2021; and
- If you are an employer, maintain your headcount as at 13 July 2021; and
- If you do not have employees, such as a sole trader, the business making the application is your primary source of income.
Businesses that received the $1,500 small business fees and charges rebate can apply for this grant.
If your business does not have any employees, you cannot access the grant if persons associated with the business, and who derive income from it, have applied for, or are receiving, the Commonwealth COVID-19 Disaster Payment.
Ineligible businesses include those predominantly earning passive income (rent, interest, or dividends), or businesses in liquidation or individuals in bankruptcy proceedings.
Payroll tax relief
Payroll tax and lodgement deadline deferred
NSW payroll tax has been deferred for July and August 2021 until 7 October 2021 for all businesses.
The due date for the 2020-21 annual reconciliation has also been deferred until 7 October 2021.
Previous payroll tax deferrals and payment arrangements for 2020-21 due in July 2021 have not been deferred.
25% payroll tax waiver for businesses between $1.2m and $10m
Businesses with Australian wages of between $1.2 million and $10 million that have experienced a 30% decline in turnover, will be provided with a 25% payroll tax waiver in 2021-22. Further details of the reduction will be available by the end of August from RevenueNSW.
Specific sector-based support
Arts community
Applications have opened for the NSW Performing Arts COVID support package covering performances impacted by NSW Government Public Health Orders from 26 June 2021.
The funding amount per performance is calculated using a formula of average ticket price multiplied by the number of tickets available for sale and a specified percentage tied to the lockdown period.
To be eligible for funding, you must be one of the following:
- An eligible venue
- A producer of an eligible performance scheduled to perform at one of the eligible venues
- A promoter of an eligible performance scheduled to perform at one of the eligible venues.
See the full details and the list of eligible venues and performances here.
How to apply
Applications are made online through SmartyGrants.
Accommodation sector
Businesses in the accommodation have been advised to apply first for the COVID-19 Business Grant.
In addition, there will be a support package for eligible tourism accommodation providers that have lost business during the school holiday period. Assistance will be based on the number of cancelled ‘room nights’ of:
- $2,000 for up to 10 room nights
- $5,000 for 11 or more room nights
To be eligible, you will need to be able to show evidence of cancellations for lost room nights between 25 June and 11 July 2021.