On 21 July 2020, the Government announced that the JobKeeper payment would be extended until 28 March 2021.
As a result, JobKeeper payments are now being made over two seperate extension periods, being:
Extension Period 1 – which commenced on 28 September 2020 and will end on 3 January 2021; and
Extension Period 2 – which covers the six new JobKeeper fortnights that commence on 4 January 2021 and end on 28 March 2021.
To qualify for the JobKeeper payments in the two new extension periods, businesses will now have to demonstrate that their actual GST turnovers have decreased by 30% in the previous quarter.
You may be eligible for Extension 2 even if you were ineligible for Extension Period 1. The scheme is open to new participants, provided they meet the eligibility requirements for the relevant period.
The rate of payments depends on the number of hours an eligible employee works, or an eligible business participant is actively engaged in the business. It will be split into two rates:
Tier 1. This rate applies to:
- all eligible employees or business participants who worked for 80 hours or more in the four weeks of pay periods before either 1 March 2020 or 1 July 2020; and
Tier 2. This rate applies to:
- any other eligible employees and eligible business participants.
From 4 January 2021 the JobKeeper payment rates will further decrease from $1,200 to $1,000 per fortnight for Tier 1 participants and from $750 to $650 for Tier 2 participants.
Participants are required to lodge their monthly business declarations by the 14th day of each month, however the ATO has extended the lodgement date for the December 2020 application until 31st January 2021.