Month: July 2021

 

If you can’t work because you or someone in your household is impacted by COVID-19, support is available.

There are two payments accessible to individuals: the COVID-19 Disaster Payment; and, the Pandemic Leave Disaster Payment.

How to apply for support

You can apply for the COVID-19 Disaster Payment through your MyGov account if you have created and linked a Centrelink account. Apply for the Pandemic Leave Payment by phoning Services Australia on 180 22 66.

COVID-19 Disaster Payments

The COVID-19 Disaster Payment is a weekly payment available to eligible workers who can’t attend work or who have lost income because of a lockdown and don’t have access to certain paid leave entitlements. If you are a couple, both people can separately claim the payment.

Timing of the payment

The disaster payment is generally accessible if the hotspot triggering the lockdown lasts more than 7 days as declared by the Chief Medical Officer (you can find the listing here). However, the disaster payment will also be available:

• In NSW from 18 July 2021, to anyone who meets the eligibility criteria. The requirement to be in a Commonwealth declared hotspot has been removed and the payment will apply to anyone in NSW impacted by the lockdowns who meets the other eligibility criteria.

• In Victoria from 15 July 2021, to anyone who meets the eligibility criteria. The requirement to be in a Commonwealth declared hotspot has been removed and the payment will apply to anyone in Victoria impacted by the lockdowns who meets the other eligibility criteria. And, the 7 day requirement has been removed so that the payment will be made for the period from 15 July 2021 (paid in arrears from 23 July 2021).

 

How much is the payment?

The COVID-19 disaster payment amount available depends on:

• How many hours of work you have lost in the week, and

• If the payment is on or after the third period of the lockdown.

The payment applies to each week of lockdown you are eligible and is taxable (you will need to declare it in your income tax return).

Eligibility

The COVID-19 disaster payment is emergency relief. It is available if you:

• Live or work in an area that is subject to a state or territory public health order that imposes restriction on movement and is declared a Commonwealth COVID-19 hotspot, or

• Have visited an area that is a Commonwealth COVID-19 hotspot and you are subsequently subject to a restricted movement order when you return to other parts of New South Wales or interstate.

And you:

• Are an Australian citizen, permanent resident or temporary visa holder who has the right to work in Australia, and

• Are aged 17 years or over, and

• Have lost 8 hours or more of work or a full day of your usual work as a result of the restrictions – losing work includes being stood down by your employer, not being assigned any shifts for the week of restrictions and being unable to work from home. Losing a full day of what you were scheduled to work but could not work because of a restricted movement order. This includes not being able to attend a full time, part-time or casual shift of less than 8 hours, and

• Don’t have paid leave available through your employer (other than annual leave), and

• Are not receiving income support payments, a state or territory pandemic payment, Pandemic Leave Disaster Payment or state small business payment for the same period. Income support payments include Age Pension, Austudy, Carer Payment, Disability Support Pension, Farm Household Allowance, JobSeeker Payment, Parenting Payment, Partner Allowance, Special Benefit, Widow Allowance, Youth Allowance and Income Support Supplement, Service Pension or Veteran Pension from the Department of Veterans’ Affairs.

A liquid assets test of $10,000 previously applied to the disaster payment but was removed from Thursday, 8 July 2021.

Pandemic Leave Disaster Payment

The Pandemic Leave Disaster Payment is for those who have been advised by their relevant health authority to self-isolate or quarantine because they:

• Test positive to COVID-19;

• Have been identified as a close contact of a confirmed COVID-19 case;

• Care for a child, 16 years or under, who has COVID-19; or

• Care for a child, 16 years or under, who has been identified as a close contact of a confirmed COVID-19 case; or

• Care for a person who has tested positive to COVID-19.

How much is the payment?

The payment is $1,500 for each 14 day period you are advised to self-isolate or quarantine. If you are a couple, you both can claim this payment if you meet the eligibility criteria.

Eligibility

The Pandemic Leave Disaster Payment is available if you:

• Are an Australian citizen, permanent resident or temporary visa holder who has the right to work in Australia; and

• Are aged 17 years or over; and

• Are unable to go to work and earn an income; and

• Do not have appropriate leave entitlements, including pandemic sick leave, personal leave or carers leave; and

• Are not getting any income support payment, ABSTUDY Living Allowance, Paid parental leave or Dad and Partner Pay. Income support payments include Age Pension, Austudy, Carer Payment, Disability Support Pension, Farm Household Allowance, JobSeeker Payment, Parenting Payment, Partner Allowance, Special Benefit, Widow Allowance, Youth Allowance and Income Support Supplement, Service Pension or Veteran Pension from the Department of Veterans’ Affairs.

The payment is taxable and you will need to declare it in your income tax return.

If you are uncertain of your eligibility, talk to Services Australia. If you are concerned about the impact of disaster relief payments on you, talk to us.

NSW Child-care gap fee

From 19 July 2021, the Government is enabling childcare services in NSW Local Government Areas subject to stay at home orders to waive gap-fees for parents keeping their children at home due to current COVID-19 restrictions. The gap fee is the difference between the Child Care Subsidy (CCS) the Government pays to a service and the remaining fee paid by the family.

The child-care gap fee waiver is only applicable where the childcare service opts in.

The current Local Government Areas are: Bayside, Blacktown, Blue Mountains, Burwood, Camden, Campbelltown, Canada Bay, Canterbury-Bankstown, Central Coast, Cumberland, Fairfield, Georges River, Hawkesbury, Hornsby, Hunters Hill, Inner West, Ku-ring-gai, Lane Cove, Liverpool, Mosman, North Sydney, Northern Beaches, Parramatta, Penrith, Randwick, Ryde, Shellharbour, Strathfield, Sutherland Shire, Sydney, The Hills Shire, Waverley, Willoughby, Wollondilly, Wollongong and Woollahra.

NSW Eviction moratorium

The NSW Government will introduce a targeted eviction moratorium to protect residential tenants who have lost 25% of their income due to COVID-19.

60 day freeze on evictions

Tenants who can’t pay their rent in full because they are impacted by the recent COVID-19 outbreak can’t be evicted between now and 11 September 2021.

Financial support for landlords

Residential landlords who decrease rent for impacted tenants can apply for a grant of up to $1,500 or land tax reductions depending on their circumstances. The land tax relief will be equal to the value of rent reductions provided to financially distressed tenants for up to 100% of the 2021 land tax year liability.

The material and contents provided in this publication are informative in nature only. It is not intended to be advice and you should not act specifically on the basis of this information. If expert assistance is required, professional advice should be obtained.

Updated 19 July 2021

 

Click to view our What lockdown support is available PDF

 

For those businesses that have found mid-July come about exceptionally quickly, thankfully, the ATO has extended the initial deadline for the expected Single Touch Payroll changes. Rather than the usual 14th July due date, you now have until 31st July to make any end-of-year STP finalisation declarations.

This is due to the continued impacts of the Covid-19 pandemic and subsequent restrictions taking place across Australian communities, giving a much-needed reprieve for some to ensure that they can assimilate all necessary documentation in time.

However, if you can complete declarations at an earlier date, the ATO does urge you to do so. We also remind businesses to ensure that they inform all of their employees that they have finalised their data so that they can lodge their income tax returns.

It is pleasing to see that the ATO is reacting to pressures that both businesses and agents are facing when faced with deadlines that are heavily impacted by the different phases of lockdowns and the unknown future that each week brings.

By providing a further two weeks grace to make any end-of-year STP finalisation declarations, businesses and their supporting professionals can take the necessary time to ensure that documentation is filed correctly and remains compliant with the new laws that have come into play this financial year.

At this point, the due date of 30th September for those with a mixture of arm’s length employees and closely held payees remains the same. Those small businesses that only have closely held payees need to complete all documentation by that given payee’s tax return due date.

If you are unsure when any of your finalisation documentation is due, or are unsure what new information you are expected to provide this financial year, then please get in touch with us as quickly as possible to remain compliant and within these reformed due dates to avoid complications.

We understand that this is a particularly stressful time of year for most businesses, and the impact of the Covid-19 reactions by the government these past 18 months have placed further pressure on everyone.

Thankfully, the regulatory bodies are recognising this and providing support where possible to ease anxiety and tension throughout the Australian community.