NSW Covid 19 Business Support Grants Alternative Circumstances

Note updated 17 August 2021

Currently all 3 NSW Covid 19 Business Support Grants, being the Covid-19 Business Grant, JobSaver and Micro Business Grant have eligibility rules that require you:

• To determine your turnover by reference to your 30 June 2020 income tax return ($30,000 to $75,000 for the Micro Business Grant and above $75,000 for the Covid 19 Business Grant and Jobsaver); and,
• To determine your turnover decline by reference to a comparable period in June / July 2019.

This does not work for all businesses, such as:

• businesses not operating for the full year to 30 June 2020 (e.g., new businesses).
• businesses affected by drought, bushfires or other natural disasters.
• business acquisition, disposal or business restructure that has impacted the business’ turnover.
• a sole trader or small partnership impacted by sickness, injury or leave.

Service NSW has now released some alternative circumstances around how business such as these should determine their eligibility for the Covid 19 Business Support Grants.  There is more information about these alternate tests below.

But it is important to note that if your business was not operating before 1 January 2021, none of these alternative circumstances apply to your business and you are not eligible for support under any NSW Government Covid 19 Support Packages.

When your business opened in 2020 and you do not have 2019 turnover figures

Micro Business Grant turnover proof – You need to provide business bank account statements for a minimum 3-month period. Your quarterly bank statement will need to show turnover of $7,500 or more.

Covid 19 Business Grant / JobSaver turnover proof – You need provide one quarterly (or 3 individual monthly) business activity statement (BAS) to demonstrate turnover.  This turnover will be annualised.

Micro Business Grant / JobSaver Turnover decline –  You need to determine your decline in turnover over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June and due to end 28 August 2021), compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

Covid 19 Business Grant Turnover decline – You need to determine your decline in turnover over a minimum 2-week period between 26 June and 17 July, compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

When your business was not operational for the full 2019-20 financial year

Micro Business Grant turnover proof – you need to provide evidence such as an accountant’s letter, copies of BAS, copies of business bank statements or extracts from your accounting system.

Covid 19 Business Grant / JobSaver turnover proof – you need provide one quarterly (or 3 individual monthly) business activity statement (BAS) to demonstrate turnover.  This turnover will be annualised.

Micro Business Grant / JobSaver Turnover decline – You need to determine your decline in turnover over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June and due to end 28 August 2021), compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

Covid 19 Business Grant Turnover decline – You need to determine your decline in turnover over a minimum 2-week period between 26 June and 17 July, compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

If your 2019-20 turnover figures are not representative of your usual turnover

Your 2020 tax return may not be representative of your business if your 2020 income was adversely impacted by shutdowns, droughts or bushfires in the 2020 year, or you were a new business starting after 30 June 2019.

By providing either an Australian tax return for the 2018-19 financial year, or:

• Micro Business Grant – business bank account statements for a minimum 3-month period from any of the first 3 quarters of the 2020-21 financial year
• Covid 19 Business Grant / JobSaver – one quarterly business activity statement (BAS), or 3 individual monthly BAS, from any of the first 3 quarters of the 2020-21 financial year.

If June and July 2019 were not representative of your usual turnover

This could be due to acquisitions or disposals of parts of the business.  Substantial growth of the business between 2019 and 2021.  Or a sole trader not working for all or part of that period due to sickness, injury or leave.

Micro Business Grant – you can use a comparable 2-week period during any of the first 3 quarters of the 2020-21 financial year.  You’ll need to provide either a letter from a qualified accountant or a business bank account statement to support this.

Covid 19 Business Grant– you need to determine your decline in turnover over a minimum 2-week period between 26 June and 17 July, compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

JobSaver – you need to determine your decline in turnover over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June and due to end 28 August 2021), compared to:

• the same period in 2019, or
• the same period in 2020, or
• the 2-week period immediately before lockdown commenced (12 June to 25 June 2021).

Want more information about each grant

For Covid 19 Business Grant click here

For JobSaver click here

For the Micro Business Grant click here

For the Covid 19 Disaster payment click here

If you want a confidential discussion on your business situation, or help with these grants contact me below

Contact Wayne Wanders for your FREE Business Survival Session

To ensure I help your business specifically, the best approach I have found is to have an obligation free session with you.  In this session we will review your current business in a factual and objective manner, to better understand the challenges that you face.  And this session does not need to be face to face.

At the end of this session, you will have multiple ideas on how your business can survive and thrive in these uncertain times.

Simply fill in the contact form below or email me at wayne@aRealCFO.com.au or call me on 0412 227 052 to organise one of these obligation free sessions.

To get help you successfully navigate your way through your financial challenges so your business can survive and thrive in these uncertain times, simply use the contact form on the left to email Wayne or call him on 0412 227 052.

Let Wayne Wanders, a fully qualified and experienced CFO, help you successfully navigate your way through your financial challenges so your business can survive and thrive in these uncertain times.

Wayne Wanders, A Real CFO

wayne@aRealCFO.com.au