A recent report into the ATO’s administration of JobKeeper and Cash Flow Boost payments has uncovered situations where the ATO has incorrectly denied entities access to stimulus payments.
Some new businesses were informed that they were ineligible due to not having informed the ATO of any taxable supplies prior to the commencement date of 12 March 2020. However, the report acknowledges that this was misinterpreted by the ATO. In particular, the modified definition of taxable supply to include financial supplies.
However, the report also acknowledges that the ATO will not be chasing up businesses who may have been incorrectly determined to be ineligible. Any affected business will need to contact the ATO to reassess their position.