The Government’s Stimulus Package announced at 10.30 a.m. today including;
- Providing up to $25,000 tax free to businesses, with a minimum payment of $2,000, to help with wages, extra staff and investment. Businesses eligible will be those with a turnover under $50 million that employ staff. Businesses that withhold tax on their employees’ wages will receive a payment equal to 50% of the amount withheld, up to a maximum $25,000. This payment will be delivered automatically through the tax system, no forms will be required.
- Offering small businesses up to $7,000 wage assistance each quarter for each apprentice, to retain existing apprentices and trainees, and to re-employ those who may lose their jobs from a small business due to a downturn driven by the coronavirus. The employer will get a wage subsidy of 50% from January 1 to September 30. Where a business has to let an apprentice go, a new employer that employs the apprentice can get the subsidy. Businesses eligible will be those with fewer than 20 fulltime workers, but businesses of any size, and group training organisations, that re-engage an eligible apprentice will be able to get the subsidy. The apprentices must have been in training with a small business on March 1.
- From today will expand the instant asset write off, raising the threshold from $30,000 to $150,000 until 30th June 2020, as well as widening access to businesses with turnover up to $500 million.
- Increasing the accelerated depreciation deduction by 50% over and above what business can deduct in the first year and is available for 15 months to 30 June 2021.
- Provision of $750 one off cash payments to all welfare recipients which will include Aged Pensions, Newstart Allowance, Family Tax Benefits, Carers allowance, Youth Allowance, Veteran Support Payments and Disability Support, will apply automatically from 31 March 2020.
- Establishment of a new Regional and Community Support Fund to support businesses directly affected by the virus including wavering of certain fees and charges for tourism businesses operating in Commonwealth National Parks and Great Barrier Reef Marine Park.
- Additional assistance provided through Austrade to help identify alternative export markets and address supply chain breakdowns.
- The ATO will also be providing deferral of various tax obligations for up to 4 months.