Second COVID-19 stimulus cash boost due with June activity statements

cashflow boost

Businesses receiving the Morrison government’s COVID-19 PAYG withholding credits are reminded they’re eligible for an additional cash flow boost after filing their June activity statements.

Announced in March, businesses with turnover below $50 million were handed credits based on tax they withheld for employee salaries, with varying amounts from $10,000 to $50,000 handed to eligible employers based on the number of staff they had in March.

Businesses which received the initial cashflow boost are now eligible for additional support, worth as much as the initial payment, but split evenly across lodgements between June and September.

The cash flow boosts will be processed automatically upon business activity statement (BAS) lodgements, but how much is paid for each period will depend on whether a participant lodges monthly or quarterly.

Businesses which haven’t made payments to employees subject to withholding from June onwards have been advised by the ATO to report zero on their activity statements to ensure they still receive their payments.

“It’s important you don’t cancel your PAYG withholding registration until you have received the additional cash flow boost,” the ATO said on its website.

NOW READ: A $25,000 cash booster: The government’s $17.6 billion coronavirus stimulus package explained

NOW READ: Peter Strong: Small business tax concessions for coronavirus are needed now

You can help us (and help yourself)

Small and medium businesses and startups have never needed credible, independent journalism and information more than now.

That’s our job at SmartCompany: to keep you informed with the news, interviews and analysis you need to manage your way through this unprecedented crisis.

Now, there’s a way you can help us keep doing this: by becoming a SmartCompany supporter.

Even a small contribution will help us to keep doing the journalism that keeps Australia’s entrepreneurs informed.

Trending