On 21 July, the Federal Government announced the extension of the JobKeeper wage subsidy scheme (previously due to expire on 27 September 2020) to 28 March 2021 with new rates and re-assessment of the turnover tests.
From 28 September 2020, eligibility for the JobKeeper Payment will be based on actual turnover in the relevant periods, and the payment will be reduced and paid at two rates.
The current $1,500-a-fortnight JobKeeper payment rate will be replaced with a new two-tiered rate system:
From 28 September 2020, eligible employees and business participants working less than 20 hours per week on average will receive the payment at a lower rate. Average hours per week will be based on the four weekly pay periods ending before 1 March 2020.
|JobKeeper Payment Rates||Full Rate||Lower Rate|
|28 September 2020 to 3 January 2021||$1,200||$750|
|4 January 2021 to 28 March 2021||$1,000||$650|
Employers will be required to nominate the payment rate claimed for each of their eligible employees or business participants. The ATO will provide guidance on circumstances that are not addressed under the general rules for determining average hours per week.
From 28 September 2020, employers will also be required to reassess their eligibility by reference to their actual June and September quarter turnovers. Employers will be required to reassess their eligibility again for the March 2021 quarter. An entity’s eligibility prior to 28 September 2020 will not be affected if the additional turnover tests for the extension period are not met.