COVID-19 National: Business, Non-Profits, Individuals – JobKeeper Payment

This program aims to help keep more Australians in jobs and support businesses affected by the significant economic impact of the coronavirus. It is designed to help businesses affected by the Coronavirus to cover the costs of their employees’ wages, so that more employees can retain their job and continue to earn an income.

The program, which was originally due to run until 27 September 2020, will continue to be available to eligible businesses (including the self-employed) and not-for-profits until 28 March 2021. In addition, from 3 August 2020 the relevant date of employment will move from 1 March to 1 July 2020, increasing employee eligibility for the scheme.

From 28 September 2020, businesses and not-for-profits are required to reassess their eligibility with reference to their actual GST turnover in the September quarter 2020 to be eligible for the JobKeeper Payment from 28 September 2020 to 3 January 2021. The rates for this period will be:
- $1,200 per fortnight for all eligible employees who were working in the business or not-for-profit for 20 hours or more a week on average in the four weeks of pay periods before either 1 March 2020 or 1 July 2020, and for eligible business participants who were actively engaged in the business for 20 hours or more per week on average.
- $750 per fortnight for other eligible employees and business participants.

From 4 January 2021, businesses and not-for-profits will need to further reassess their turnover to be eligible for the JobKeeper Payment. They will need to demonstrate that they have met the relevant decline in turnover test with reference to their actual GST turnover in the December quarter 2020 to be eligible for the JobKeeper Payment from 4 January 2021 to 28 March 2021. From 4 January 2021 to 28 March 2021, the JobKeeper Payment rates will be:
- $1,000 per fortnight for all eligible employees who were working in the business or not-for-profit for 20 hours or more a week on average in the four weeks of pay periods before either 1 March 2020 or 1 July 2020, and for business participants who were actively engaged in the business for 20 hours or more per week on average.
- $650 per fortnight for other eligible employees and business participants.

Businesses and not-for-profits will be required to nominate which payment rate they are claiming for each of their eligible employees (or business participants).

The JobKeeper Payment will continue to remain open to new recipients, provided they meet the eligibility requirements and the turnover tests that apply during the relevant JobKeeper Payment period.

Please refer to the Fact Sheet for more information.

Eligible applicants include businesses and not-for-profits who must need to demonstrate that they have experienced a decline in turnover of:
- 50% for those with an aggregated turnover of more than $1 billion.
- 30% for those with an aggregated turnover of $1 billion or less.
- 15% for Australian Charities and Not-for-profits Commission-registered charities (excluding schools and universities).

If a business or not-for-profit does not meet the turnover test for the extension period, this does not affect their eligibility prior to 28 September 2020.

The business must not be subject to the Major Bank Levy.

Self-employed individuals are eligible to receive the JobKeeper Payment where they meet the relevant turnover test outlined above, and are not a permanent employee of another employer. Registered religious organisations, that meet the turnover test, will be able to receive the JobKeeper Payment for each eligible religious practitioner(with the exception of those that are students only) for which they are responsible under the tax law.

Please refer to the Fact Sheet for the complete eligibility requirements.

The following entities will not be eligible:
- Australian government and its agencies
- State and Territory governments and their agencies
- Foreign governments and their agencies
- Local Council governments
- Wholly-owned corporations of any of the above
- A business subject to the Major Bank Levy

Additionally, a company that is in liquidation, or a partnership, trust or sole trader in bankruptcy, will not be eligible.

Some businesses may not be eligible if they are separately provided with support from the government that explicitly requires them to forgo access to the JobKeeper Payment.