2021 Government Assistance

Posted on

8th July, 2021

by

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Government assistance for businesses affected by the 2021 NSW COVID-19 lockdown includes new grants, payroll tax deferrals, and extensions to support programs.

Business Grants: Up to $10,000 Available

The NSW Government has introduced a new business grant program offering up to $10,000. Eligibility is divided into two streams: general businesses and businesses operating in the hospitality and tourism sectors.

The value of the grant depends on your business’s decline in turnover compared to a two-week period in June/July 2019:

What lockdown support is available to business?

If your business has been adversely impacted by the recent lockdown in NSW, support is available but there are limitations.

The NSW Government has announced new grants of up to $10,000 for businesses adversely impacted by the recent COVID-19 lockdowns. Eligibility for the grant is streamed into general business, and hospitality and tourism. The full details of the grant and the eligibility criteria have not been released as yet but here is what we know so far:

You need to prove a decline in turnover
The value of the grant is determined by the impact of the lockdown on your turnover. Your business will need to prove a decline in turnover across a minimum 2-week period after the commencement of the major restrictions to a minimum 2 week period in June/July 2019.

Decline in turnover Grant
70% $10,000
50% $7,000
30% $5,000

For some clients, particularly those who have been unable to trade at all during lockdown, proving the decline in turnover should be reasonably simple. For others, we will need to work with you closely once the parameters for the decline in turnover test are known, to determine if you can access the grant.

Small business COVID-19 support grant
The grant is limited to businesses (including sole traders) with:

• An NSW registered ABN or able to demonstrate they are physically located and primarily operating in NSW; and
• Turnover of more than $75,000 pa; but
• Below the NSW Government 2020-21 payroll tax threshold of $1.2m as of 1 July 2020; with
• Fewer than 20 full-time equivalent employees

Hospitality & Tourism COVID-19 Support grant
The grant is limited to tourism or hospitality businesses with:

• An NSW registered ABN or able to demonstrate they are physically located and primarily operating in NSW; and
• Turnover of more than $75,000 pa; and
• An annual Australian wages bill below $10m as of 1 July 2020.

Extension of Dine & Discover to takeaway
Dine & Discover vouchers can now be used for takeaway from eligible and registered Dine businesses during the restriction period but you will need to deliver to the customer’s home or have them pick up the order and check-in with a QR code – vouchers cannot be redeemed for takeaway using third party delivery platforms.

The expiry of Dine & Discover vouchers has also been extended until 31 August 2021.

Payroll and Gaming Machine Tax Deferral Options

Businesses can apply to defer payroll tax payments due in July 2021, as well as hotel gaming machine tax obligations for the June quarter. Deferred payments will be managed via tailored repayment programs offered by State Revenue NSW.

This measure provides vital short-term relief for businesses managing major cashflow disruptions.

How and Where to Apply
Full eligibility guidelines were still pending as of 8 July 2021, but applications for grants are expected to open by mid-July.

Applications for all 2021 government assistance programs will be handled online through the Service NSW website.

We recommend preparing your turnover data and financial records now to streamline the application process once programs officially open.

Your pdf copy: Gov Assistance