COVID-19: A guide to NSW business support grants and government assistance
This article has been written based on the current restrictions, and government assistance and support packages, available to business customers in NSW.
As the country continues to battle the highly contagious Delta strain of COVID-19 and fluctuating rates of community transmission, the length of the current lockdown remains unknown. Together, the Federal and NSW State governments have produced a support package for households and businesses in NSW, designed to ensure the economy can bounce back once the outbreak is under control.
When extended lockdowns occur, they come quickly with little time for businesses and individuals to prepare. Support packages are intended to offer immediate help to ensure businesses can keep their staff and sole traders can support themselves and their families during these difficult times.
There are various levels of support available for small and medium businesses.
The small to medium business support payment is available to non-employing and employing entities in NSW if they meet the following criteria.
The support payment will end when lockdown restrictions are eased or when the area is no longer considered to be a Commonwealth hotspot.
Businesses can register their interest from 14 July 2021 at Service NSW and apply from 21 July. Your business will need a MyServiceNSW Account and business profile, so you’ll need to set this up if you don’t already have one.
If you’re a business, sole trader or not-for-profit organisation, with annual Australian wages up to $10 million, you may be able to apply for a business support grant of up to $15,000 from 19 July 2021. This can be used to cover business expenses such as rent, utilities and wages, where no other government support is available.
There are three business support grant amounts, based on your level of decline in turnover.
Look out for full eligibility criteria on the Service NSW website.
If you’re a micro business (small business or sole trader with annual turnover of more than $30,000 and under $75,000), you may be eligible to apply for a $1,500 fortnightly payment from late July 2021.
More detail will be available on the Service NSW website.
To further help small and medium businesses, there is additional government assistance through the tax system.
The NSW government is offering incentives for residential landlords to reduce rent for affected tenants, alongside a 60-day eviction moratorium for those who fail to pay their rent after losing at least 25% of their income due to COVID-19.
Residential and commercial landlords will also receive Land Tax relief of up to 100% of the land tax liability if they reduce rents for their tenants.
The existing COVID-19 Disaster Payment has been expanded and is accessible if you’re locked down for more than seven days.
Where a lockdown occurs as the result of a Commonwealth Government declared hotspot and your working hours are reduced, you may be eligible for the COVID-19 Disaster Payment.
Information about how to apply for the COVID-19 Disaster Payment is available on the Services Australia website.
The Government recognises that support is not just a financial need and has introduced a $17.35 million mental health support package.
This increased support for businesses and individuals experiencing extended lockdowns is part of the Government’s plan to secure Australia’s ongoing recovery from the COVID-19 pandemic.
We welcome the new support measures with the positive focus on business and household cash flow and keeping people employed. Our priority is to support the Government in its efforts to keep all Australians safe. We're staying close to our customers and encourage you to call us early if you're under any financial pressures. We're here to help.
This information does not take into account your personal circumstances and is general. It is an overview only and should not be considered a comprehensive statement on any matter or relied upon. Consider obtaining personalised advice from a professional financial adviser and your accountant before making any financial decisions in relation to the matters discussed in this article, including when considering tax and finance options for your business.