The Prime Minister has announced that the new JobKeeper payment will be reduced to $1,200 per fortnight from 28 September, while those working under 20 hours pre-COVID will receive $750 instead of the $1,500 flat rate. As of the start of January until the end of March 2021, the payment will be lowered further to $1,000 and $650, respectively.
Businesses will still be required to demonstrate the required reduction in turnover – 30 per cent for businesses with turnovers of $1 billion or less and 15 per cent for ACNC-registered charities.
However, the government will now require businesses to reapply the tests for the June and September quarters to be eligible for JobKeeper 2.0 beyond September.
“Employers will need to demonstrate that they’ve met the relevant decline in turnover in both the June and September quarters to be eligible for the JobKeeper payment in the December quarter,” said Mr Frydenberg.
“Employers will need to demonstrate that they have met the relevant decline in each of the previous three quarters ending on 31 December 2020 to remain eligible for the payment in the March quarter 2021.”
ATO allays current JobKeeper eligibility concerns
We would like to emphasise that the ATO has addressed concerns that small businesses are needlessly dropping out of the current JobKeeper scheme for fear of financial punishment or due to moral reasons, saying “the law is really clear”.
Once a small business qualifies for the current JobKeeper allowance, it remains qualified for the entire duration of the scheme, which is set to finish at the end of September – after which JobKeeper 2.0 will commence.