Summary of economic stimulus, assistance and support during the COVID-19 crisis
On 12 March 2020, the Australian Government announced a $17.6 billion targeted stimulus package to support the Australian economy through the challenges of the coronavirus. The Federal Government has since announced a second stimulus package that offers $66 billion worth of measures for coronavirus-hit businesses.
“The measures that we will be considering tonight means that state premiers and chief ministers may have to take far more draconian measures to enforce social distancing,” Prime Minister Scott Morrison said.
This is on top of the $60 million stimulus package from the Northern Territory Government aimed at business upgrades and home renovations which Chief Minister Michael Gunner says will “keep shop doors open, keep cash flowing, and keep Territorians working”.
So, with all these announcements, we decided to put together the below list of assistance available to businesses during these uncertain times.
The information contained herein is correct at the time of preparation – 22 March 2020. This may not be a complete list. Businesses & individuals should seek independent advice to determine their eligibility for any of the support options listed below.
Federal Government
Stimulus Round 1
https://treasury.gov.au/coronavirus
Instant Asset Write off
Increase from $30,000 to $150,000 for purchases to 30 June 2020
Stimulus Round 2
Rebate of PAYGW
Increase minimum payment to $20,000, maximum increased to $100,000, updated to include NFP’s
Superannuation
Draw down up to $10,000 before & after June 30 2020 for individuals (non taxable)
Cash Flow
Unsecured loans for up to 15 months
Loans
Temporary exemption from “Responsible Lending Criteria” to facilitate approvals for cashflow & equipment loans
Australian Taxation Office (ATO)
Media Release / Information Page
https://www.ato.gov.au/Media-centre/Media-releases/Support-measures-to-assist-those-affected-by-COVID-19/
Payment Deferrals
Contact ATO to discuss
Variation of PAYG Instalments
Can be done on next BAS / IAS
Remission of Penalties & GIC
Contact ATO to discuss
Low interest payment plan
Contact ATO to discuss
Super Guarantee
Unable to make any variations to Super responsibilities
Banks
Australian Banking Industry
https://www.ausbanking.org.au/banks-small-business-relief-package/
Loan Payment Deferrals
Up to 6 months of loan payment deferrals
Cashflow & Equipment Loans
Contact your bank to discuss access to unsecured, government backed, loans for cashflow & equipment purchases
Financial Hardship
All banks have financial hardship departments to discuss payment deferrals & interest rate reviews
Northern Territory Government
Northern Territory Advice for Business
https://coronavirus.nt.gov.au/community-advice/business
Home Improvement Scheme
Up to $4000 for home improvements
Business Improvement Grant
Up to $20,000 to purchase goods or services to improve assets, efficiency or customer service
Immediate Work Grant
Up to $100k for Non For Profits to do physical works – first $50k as a grant & further $50k matched dollar for dollar
Payroll Tax
Exemption for hiring employees until 30 June 2021
Once again, the information contained herein is correct at the time of preparation – 22 March 2020. This may not be a complete list. Businesses & individuals should seek independent advice to determine their eligibility for any of the support options listed below.
