Cash Flow, Small Business, Taxation
1) Employer affected by Covid-19 with multiple employees Adam owns a business whose turnover has declined by more than 30% as a result of the downturn due to the Coronavirus. The business had the following three employees as at 1 March 2020: • Anne, who is a permanent full-time employee and who continues to work in the business earning a gross salary of $3,000 per fortnight. • Nick, who is…
The government released the 3rd stimulus package yesterday which entitles businesses without employees to register for the Jobkeeper Payment if their turnover has or will reduce by more than 30% relative to the same period of at least one month, a year ago. Below is some detail relating to non-employee businesses. The business is paid $1 500 per fortnight per employee to be paid to each employee. Businesses without employees,…
Cash Flow, Small Business, Taxation
There are 2 types of businesses in Australia. Those that employ staff and those that don’t. The number of businesses as at 30 June 2019 that don’t employ staff makes up 61% or 1.4 million of the total 2.4 million businesses in Australia, as well as 33% of the GDP created in Australia based on a recent Australian Bureau of Statistics report. These are enormous numbers and involve a huge…
Cash Flow, Small Business, Taxation
The Federal Government has announced stage 2 of its economic plan to cushion the economic impact of Coronavirus. Read about the stage 1 package HERE. The 4 parts to the plan are listed below: 1. Boosting Cash Flow for Employers This applies to: A business or a not for profit entity or charity with an aggregated annual turnover of less than $50 million per annum ( based on prior…
Cash Flow, Small Business, Taxation
Below are some examples to the different parts of the Federal Government Stimulus Package which will make it easier for you to understand how it all works: To read about the packages click HERE. 1. Boosting Cash Flow for Employers a) Sarah’s Construction Business Sarah owns and runs a building business in South Australia and employs 8 construction workers on average full-time weekly earnings, who each earn $89,730 per year.…
A great concern for small businesses at the moment is the impact the Coronavirus will have on small business and the community at large. The Australian government has therefore brought in various tax relief packages for small business. Below is details of the stage 1 package. Read about the stage 2 package HERE. Small Business Stimulus Package Here are details of how a small business can benefit from the stimulus…