Missed out on JobKeeper – may be not

To qualify for JobKeeper, you have to satisfy a decline in turnover.  That can be either under the basic test or under one of the seven alternative tests.

The problem with both the basic and alternative tests as announced is that they don’t take into account extenuating circumstances in the comparative period.

We are therefore pleased to see the ATO today released a further alternative decline in turnover test.

This additional test applies where a business temporarily ceased trading in the comparative period and did so due to:-

  1. an event or circumstance outside the ordinary course of the business and

  2. trading temporary ceased for at least a week and

  3. some or part of that closure period occurred during the comparative period and

  4. the business resume trading before September 28, 2020.

If all of these four conditions are satisfied, then a business that qualified for JobKeeper V1 gets to test their decline in turnover against the September 2018 quarter.  If a business did not qualify for JobKeeper version 1 then it can compare October 2020 to October 2018.

So what is an event or circumstance outside the ordinary course of the business?

The one event that comes to mind from the September 2019 quarter was the bushfires through New South Wales and Queensland. 

Maybe your business suffered from an event that would allow you to qualify?

Qualifying for JobKeeper is not just about receiving JobKeeper.  In Victoria, JobKeeper recipients can also apply for commercial rent relief and possibly the latest state business boost grant.

If you reckon you can qualify under this new test or have any other queries, we would be happy to assist.

 

At MRS, we will spend today planning for your success.