COVID NSW Financial Support

Below is some information on financial support for micro businesses (those with a turnover of less than $75,000pa). Some of our member businesses may fall in to this category. I have myself applied for, and received, both my first fortnightly business grant and a small business fees and charges rebate for rates and tip fees, so the system does work! The only glitch I encountered was that when I entered my ABN in the field that required either ABN or Business Name, it brought up the correct business name, but then kept requiring me to enter something in the field. However when I entered my business name, it brought up the (same) ABN and was happy!

I’m happy to help if anyone needs it.

Cheers

Pat Powell
Secretary KVCTC
[email protected]

Covid19 Financial Support During Lockdown.

The following is some information of financial support being provided by the Federal and State Governments during the current lockdown. This is provided just to point you in the right direction. Please contact your accountant or the relevant Government department for further information.

1 – If you are a “Micro Business” (with usual turnover of between $30,000 – $75,000 per annum), you may be eligible to apply for a fortnightly payment of $1,500 to cover business expenses for the duration of the Greater Sydney lockdown.

The 2021 COVID-19 micro-business grant provides cash flow support for micro-businesses in New South Wales who have had their work impacted by the restrictions while continuing to incur business costs.

Eligible applicants can use the grant for business costs incurred from 1 June 2021 and for which no other government support is available, including:

salaries and wages
utilities and rent
financial, legal or other advice
marketing and communications
perishable goods
other business costs.

Applications will close at 11:59pm on 18 October 2021.

Eligibility

To be eligible for the grant, you must:

have an active Australian Business Number (ABN) registered in, or demonstrate your business was primarily operating in, NSW as at 1 June 2021
have had aggregated annual turnover between $30,000 and $75,000 for the year ended 30 June 2020
have experienced a decline in turnover of 30% or more due to the public health orders over a minimum 2-week period within the Greater Sydney lockdown (commenced 26 June 2021 and due to end August 2021), compared to the same period in 2019
have business costs for which no other government support is available
have not applied for either the 2021 COVID-19 business grant or the JobSaver payment
maintain your employee headcount as at 13 July 2021 while receiving payments from this grant, if you’re an employing business
have this business as your primary income source, if you’re a non-employing business such as a sole trader.

Certain entities, including those primarily earning passive income (such as rents, interest or dividends) or those with an ABN registered after 1 June 2021, are not eligible for this grant.

Non-employing businesses are not eligible to apply for this grant if anyone associated with the business or who derives income from it has received the Commonwealth COVID-19 disaster payment.

For employing businesses, your employees can receive Commonwealth COVID-19 disaster payments if you receive this grant.

Businesses that received the $1,500 small business fees and charges rebate can apply for this grant.

What you need

a MyServiceNSW Account
your proof of identity
your valid ABN/ACN number
your business banking details for payment
Evidence to support eligibility

Evidence to support eligibility

When applying for this grant, you must:

declare that you meet the eligibility criteria

submit evidence of:
- your business’ decline in turnover of 30% or more over a minimum 2-week period within the Greater Sydney lockdown
- an aggregated annual turnover between $30,000 and $75,000 for the year ended 30 June 2020.
lodge other supporting documents, as required, to demonstrate you meet the eligibility criteria.

Where required, evidence must be in the form of a:

letter from a qualified accountant, registered tax agent or registered BAS agent using the template provided, or
business bank account statement, or
business activity statement (BAS), or
Australian income tax return or Notice of Assessment.

Businesses that cannot provide sufficient evidence are ineligible for the grant.

Alternative circumstances

If your micro-business does not meet all the eligibility criteria, you may still be able to apply for the grant. See the alternative circumstances outlined in the guidelines.

Auditing requirements

Successful applications may be subject to an audit. Service NSW can request a combination of the following documents to support its determination of eligibility and use of funds under this grant’s Terms and Conditions:

accountant’s letter
prior business activity statements
Australian tax returns (or Notice of Assessment)
profit and loss statements prepared by a qualified accountant
receipts and invoices from sales
business bank account statements.

You’ll need to keep all documentary evidence used for your application for a minimum of 5 years.

Proof of identity

Two proof of identity documents are required. They may include:

Australian driver licence
Medicare card
Australian passport
Australian birth certificate
Australian travel visa
Australian citizenship certificate
Australian certificate of registration by descent
Australian ImmiCard.

How to apply

Check you meet the eligibility criteria.
Have your documentation and evidence ready for uploading.
Select the ‘Apply online’ button.
Note: You cannot save and resume your application once you’ve started.
Log in, or create your MyServiceNSW Account.
Select and verify your identity documents.
When your identity is verified, select ‘Continue’.
Confirm your personal details.
Enter your business details and answer the eligibility questions, then select ‘Next’.
Provide information about your decline in turnover and upload your supporting documents, then select ‘Next’.
Enter your bank details, then select ‘Next’.
Review your application.
Check the declaration boxes.
Select ‘Submit’ to complete your application.

When you submit your application, you’ll receive a confirmation email with your application reference number. If you do not receive this email within 5 minutes after completing your application, please check your junk mail folder, and then call 13 77 88 if you’re still unable to locate the email.

After your application is received, it will be reviewed by Service NSW. We’ll contact you if we need additional information to support your application. If your application is approved, we’ll transfer funds to your specified bank account within 5 to 10 business days from the approval date.

If you’re not able to complete your application online, please call us on 13 77 88.

More information

Only one application can be submitted for a single ABN.
Only one application is permitted where there are multiple businesses under a single ABN.
Payments will be made in arrears with the first payment backdated to 26 June 2021.
The 2021 COVID-19 micro-business grant cannot be used to cover expenses for which other government support is available, such as government fees and charges that would be covered by the small business fees and charges rebate.
The relevant COVID-19 restrictions are:
- Public Health (COVID-19 Temporary Movement and Gathering Restrictions) Order 2021 issued on 26 June 2021
- stay-at-home order issued on 25 June 2021
- stay-at-home order issued on 27 May 2021.

Documents

2021 COVID-19 micro-business grant accountant letter template – DOCX

Other Information Sources

Other possible grants

Apply for the small business fees and charges rebate

If you are a small business with a turnover of more than $75,000

The 2021 COVID-19 business grant provides support for businesses that experienced reduced demand or had to close due to the public health orders. It will support businesses with cash flow for the first 3 weeks of the Greater Sydney lockdown which started on 26 June 2021.

Eligible applicants across NSW can use the grant for business costs incurred from 1 June 2021, including:

utilities, wages and rent
financial, legal or other advice to support business continuity planning
marketing and communications activities to develop the business
the cost of perishable goods that can no longer be used
other activities to support the operation of the business.

Applications will close at 11:59pm on 13 September 2021.

Eligibility

To be eligible for the grant, you must:

have an active Australian Business Number (ABN)
demonstrate your business was operating in NSW as at 1 June 2021
have had total annual Australian wages of $10 million or less as at 1 July 2020
have had an aggregated annual turnover between $75,000 and $50 million (inclusive) for the year ended 30 June 2020
have business costs for which there is no other government support available
maintain your employee headcount as at 13 July 2021. See the guidelines for definitions.

Three different grant amounts will be available depending on the decline in turnover experienced over a minimum 2-week period from 26 June 2021 to 17 July 2021, compared to the same period in 2019:

$7,500 for a decline of 30% or more
$10,500 for a decline of 50% or more
$15,000 for a decline of 70% or more.

Businesses and not-for-profit organisations on the NSW border with Victoria impacted by the stay-at-home orders that began on 27 May 2021 may use a different comparison period to demonstrate a decline in turnover. For each of the 3 grant amounts, these businesses must demonstrate a decline in turnover over a minimum 2-week period from 27 May 2021 to 17 July 2021.

What you need

a MyServiceNSW Account
your proof of identity
your valid ABN/ACN number
your business banking details for payment
Australian income tax return or Notice of Assessment
qualified accountant, registered tax agent or registered BAS agent details.

Evidence to support eligibility

If your business is on the highly impacted industries list, you’ll be required to:

declare that you meet the eligibility criteria
provide details of your qualified accountant, registered tax agent or registered BAS agent
submit an Australian income tax return, Notice of Assessment or other documentation demonstrating the business had an aggregated annual turnover between $75,000 and $50 million (inclusive) for the year ended 30 June 2020
lodge other supporting documents as required to demonstrate you meet the eligibility criteria.

If you’re eligible for the $15,000 grant, to receive the full amount, you must submit evidence that you experienced the relevant decline in turnover in the specified period. See the guidelines for more information.

If your business is not on the highly impacted industries list, you must:

declare that you meet the eligibility criteria
submit evidence that you experienced the relevant decline in turnover in the specified period
submit an Australian income tax return, Notice of Assessment or other documentation demonstrating the business had an aggregated annual turnover between $75,000 and $50 million (inclusive) for the year ended 30 June 2020
lodge other supporting documents as required to demonstrate you meet the eligibility criteria.

To show evidence of this decline in turnover, you’ll need to submit a letter from a qualified accountant, registered tax agent or registered BAS agent, using the template provided.

Alternative circumstances

If your business does not meet all of the eligibility criteria, you may be able to apply for the grant if you can provide evidence to support the alternative circumstances outlined in the guidelines.