Published: April 16, 2020

This information is current as at 14 April 2020.  Below is a summary of the ATO operational guidelines.

Important Dates:

20 April 2020:

• • • Employers will be able to enrol in JobKeeper from via an online via your tax agent or the Business Portal
    • Note: this is different to the ‘register your interest link’ which you may have completed already.

26 April 2020:

• • • The enrolment will need to be done by 26th of April in order to qualify for the first 2 fortnights.
    • You will need to make your eligibility assessment by that date.

4th May 2020:

• • • The employer will notify the ATO of the eligible employees:
    • Via STP
    • Alternative system – not yet available

We are still awaiting guidance from payroll providers on how certain software will manage this.

Decline in Turnover:

Each individual entity has to test if their individual entity turnover did decline.  If so, they then apply either the 30% or 50% test (that was determined by the Group Aggregated Turnover).

If Aggregated turnover of all entities that are connected or affiliated with you is used for the purpose of determining if the decline in turnover % of 30% if turnover of the group is below $1b or 50% if over.

NFPs registered with ACNC are only 15%.

Comparing Turnover:  Compare one of the following:

• • • GST turnover for March 2020 with March 2019
    • Projected GST turnover for April 2020 with April 2019
    • Projected GST turnover for quarter starting April 2020 with same quarter in 2019
    • Alternate Test – these are yet to be released by the ATO

Eligible Employees:

• • • Employed by the entity at any time in the fortnight
    • As of 1st March 2020:
    • Aged 16 years or over, and;
    • Australian Resident, and
    • An employee (other than a casual), or
    • A long-term casual employee and not employed full time or part time with another entity.
    • Provide the entity with a “Nomination Notice”

You cannot claim for employees who:

• • • Were first employed by you after 1 March 2020
    • Left your employment before 1 March 2020
    • Have been, or have agreed to be, nominated by another employer
    • Employed on a casual basis and have not been employed on a systematic or regular basis for >12 months
    • Parental leave is payable and overlaps with or includes the fortnight
    • At any time during the fortnight the individual is paid dad and partner pay
    • Individual is totally incapacitated throughout the fortnight and amounts are being paid by workers compensation for the fortnight

After you have worked out you and your employees are eligible:

If you meet the eligibility criteria and want to start claiming the JobKeeper payment on behalf of your employees, you need to start paying them at least $1,500 per fortnight (before tax) and continue to pay them for as long as you keep claiming.

If you have not paid them during the fortnight you wish to claim, you will not qualify!

How much to Pay:

An employer will usually get $3,000 a month per eligible employee for the two fortnightly periods in that month.

Example of amounts paid to employers

Payment date    Amount per employee

• • • May $3,000 (for fortnights starting 30 March and 13 April)
    • June $3,000 (for fortnights starting 27 April and 11 May)
    • July $3,000 (for fortnights starting 25 May and 8 June)
    • August $3,000 (for fortnights starting 22 June and 6 July)
    • September $4,500 (for fortnights starting 20 July, 3 August and 17 August)
    • October $3,000 (for fortnights starting 31 August and 14 September)

When do I have to pay my employees?

For the first two fortnights (30 March – 12 April, 13 April – 26 April), the ATO will accept the minimum $1,500 payment for each fortnight has been paid by you even if it has been paid late, provided it is paid by you by the end of April. This means that you can make two fortnightly payments of at least $1,500 per fortnight before the end of April, or a combined payment of at least $3,000 before the end of April.

You cannot claim the JobKeeper payment on behalf of employees who were not paid at least $1,500 before tax during each JobKeeper payment period.

You cannot claim the JobKeeper payment in advance. The JobKeeper payment is a reimbursement from us to an employer in arrears and cannot be paid in advance in any circumstances.

Employees who were stood down or on long term leave:

Employees who have been stood down from work under the Fair Work Act without pay may still be eligible employees as long as they were in your employment and met the eligibility criteria on 1 March 2020.

You will need to have paid them at least the minimum amount of $1,500 for each fortnight you claim in order to receive the JobKeeper payment.

Employees who have been terminated:

If you terminated an employee after 1 March 2020, you can re-engage them, and they will be eligible if they met the eligibility criteria on 1 March 2020.

If you want to claim the JobKeeper payment for employees you have re-engaged, you will need to:

• • • confirm they want to be re-hired and participate in the JobKeeper scheme with you.
    • re-engage the employees you want to claim for
    • start paying them a minimum of $1,500 (before tax) for each fortnight they are employed, and you claim for.

You will only be paid a JobKeeper payment for employees from the fortnight they were re-engaged. You cannot claim retrospectively for employees you re-engage.

You as an Employee or Business Participant for JobKeeper:

If you are an employee of your business, then you will follow all the guidance as an employee and complete all paperwork necessary for eligibility and continue to pay yourself at least the $1500 (before tax) per fortnight.

If you are a self-employed, sole trader, partner in a partnership or trustee in a trust then it is not necessary that you pay yourself $1500 per fortnight.

You will need to nominate the individual who will receive the Jobkeeper payment and provide bank details for the payment.