As the coronavirus pandemic forced the shutdown of large parts of Australia – and its economy – this year, the Federal Government was quick to step in with JobKeeper, Cashflow Boost and a host of other support for businesses.
Australia is now officially going through a recession. It’s the first time our country has been in a recession since 1991, with the economy shrinking 7 per cent from April to June thanks to Covid-19.
As a result, the government has been doing all they can to further stimulate the economy, support the population and our businesses.
In addition to measures like JobKeeper and Cashflow Boost, the Victorian Government recently announced a $3 billion support program to help businesses impacted by ongoing restrictions on 13 September 2020.
The program includes cash grants, cash flow support and tax relief, providing additional financial support to businesses impacted by restrictions in Victoria.
Please see below key highlights of the new $3 billion package announced:
Business Support
– Grants up to $20,000 to Support Businesses through Restrictions
The third round of the Business Support Fund will provide up to $20,000 for business with a payroll of up to $10 million.
Eligible businesses will receive:
• $10,000 if its annual payroll is less than $650,000.• $15,000 if its annual payroll is between $650,000 and $3 million.• $20,000 if its payroll is between $3 million and $10 million.
A full list of the eligibility criteria will be published when the applications open on Friday, 18 September 2020. For more information, click here. For FAQs, click here.
– Sole Trader Support Fund
Grants of up to $3,000 to over 30,000 for eligible sole traders who operate from a commercial premises or location to which the sole operator is the tenant or licensee.
Additional Support
• Licensed Hospitality Business. Grants of up to $30,000 for licensed pubs, clubs, hotels, bars, restaurants and reception centres, based on their venue capacity and location. $5,000 grants for hospitality businesses to cover outdoor dining equipment, such as umbrellas, furniture and screens. For more information, click here.• Business Chambers and Trader Groups. A competitive grants program to support metropolitan and regional business chambers and trader groups.• Alpine businesses. Grants of up to $20,000 to help alpine businesses pay a service charge to Alpine Resort Management Boards.
Business Adaptation
• $20 million voucher program to assist sole traders and small businesses in building their digital capability.• $15.7 million package to help Victorian exporters get their products to market and establish new trade channels.• $8.5 million expansion to the ‘Click for Vic’ campaign to encourage more Victorians to support local businesses.
Waivers & Deferrals
• $1.7 billion in payroll tax deferrals (for businesses with payrolls up to $10 million) for the full 2020-21 financial year.• $41 million to bring forward the 50% stamp duty discount for commercial and industrial property for all of Regional Victoria.• $33 million to defer the planned increase in the landfill levy for six months.• $30 million to waive 25% of the Congestion Levy this year, with the outstanding balance deferred.• $27 million in liquor license fee waivers for 2021.• $6 million to waive Vacant Residential Land Tax for vacancies in 2020.
Click on the link below for more information on the new $3 billion package announced for businesses:
