JOBKEEPER - FREQUENTLY ASKED QUESTIONS - CHARTERED ACCOUNTANTS
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JobKeeper – Frequently Asked Questions
Below is a quick reference guide to where you can find more detail on frequently asked questions. This
should not be relied upon for advice. It is current as at 15 April 2020. Due to the fast-moving
environment and limited resources, this will not be updated in real time.
Members are required under APES110 Code of ethics to act with professional competence and due care,
so you should not take on an engagement where you are not competent to perform it.
Turnover
Information regarding:
• how and when turnover is calculated,
• Whether turnover is calculated at a group, entity or business level;
• what and when the decline in turnover must occur;
• whether a future decline in turnover will qualify;
• how previous fast-growing businesses could qualify;
• how businesses that were affected by natural disasters, such as the Townsville flood, one year ago
could qualify;
• how start-up businesses could qualify.
can be found at:
• Coronavirus Economic Response Package (Payments and Benefits) Rules 2020 – section 8
• Explanatory Statement for the rules; and the
• Treasury Fact sheet
• ATO web page
As at 15 April 2020, information regarding when and how the Commissioner of Taxation could exercise
this discretion regarding the turnover test has not been released. Thus, there is still uncertainty around
the treatment of start-ups, fast growing businesses, businesses affected by natural disasters and personal
service trusts.
Employees
Information regarding:
• What employees qualify;
• Must the employee be on the books at 1 March 2020?
• Whether an employee can qualify if they start after 1 March 2020?
• Whether an employee who has changed employers within a group of can qualify;
• Whether employees in a business where ownership has changed can qualify;
• Whether leave such as paternity/maternity leave, defence force leave, or worker compensation leave
affects an ability for an employee to qualify;
• What visa requirements are needed to qualify?
• Do you need to offer JobKeeper to all employees?
Information and links are current as at 15 April 2020JobKeeper – Frequently Asked Questions
Can be found at:
• Coronavirus Economic Response Package (Payments and Benefits) Rules 2020 – section 9
• Explanatory Statement for the rules; and the
• Treasury Fact sheet
• ATO web page
Employment law questions
Common questions regarding JobKeeper and employment law include:
• Can an employee’s wage or hours be reduced?
• Can an employee be forced to take leave (either paid or unpaid)?
• Do employee entitlements continue to accrue if the employee was stood down and is now only
receiving the $1500 JobKeeper payment?
• Are employees required to work if being paid the JobKeeper payment?
• Are employers entitled to make employees return to work if they had previously been stood down
under this payment?
• Can an employer make staff who normally work for less than $750 per week, work the extra hours?
• Can employees be placed on unpaid leave till the first payment is due?
As a starting point, basic information can be found on the Fair Work web site. Schedule one of
Coronavirus Economic Response Package Omnibus (Measures No. 2) Bill 2020 and chapter one of its
associated Explanatory memorandum also provide details. A summary of these provisions can be found
in a CA ANZ presentation dated 9 April 2020.
JobKeeper is greater than an employee’s usual wage
Information regarding:
• Does superannuation have to be paid on the excess amount?
• Should Pay as you go withholding tax be paid on the excess amount?
• Do I need to pay the employee $1,500 a fortnight before receiving JobKeeper?
can be found at:
• Coronavirus Economic Response Package (Payments and Benefits) Rules 2020
• Explanatory Statement for the rules; and the
• Treasury Fact sheet
• ATO web site and this ATO web site
Cash flow
Information regarding:
• Must wages be paid before obtaining JobKeeper?
• When will JobKeeper be paid?
• Must JobKeeper be passed through to the employee?
Information and links are current as at 15 April 2020JobKeeper – Frequently Asked Questions
• What are the special payment rules for the first two JobKeeper payments?
can be found at:
• Coronavirus Economic Response Package (Payments and Benefits) Rules 2020 – section 10, 14 and 15
• Explanatory Statement for the rules; and the
• Treasury Fact sheet
• ATO web site
Self-employed –sole traders, companies, partnerships, and trusts
Information regarding:
• A trust has always paid business participants through trust distributions rather than wages, can the
beneficiaries access JobKeeper?
• A partnership rewards partners through partnership distributions rather than wages can the partners
access JobKeeper?
• A company has always paid business participants through dividend distributions rather than wages,
can the shareholders access JobKeeper?
• A company has always paid business participants through director fees rather than wages, can the
directors’ access JobKeeper?
• Can a director and a shareholder both claim JobKeeper?
• If I run several businesses through different companies, can I get JobKeeker multiple times?
• How many people can claim JobKeeper per a business structure?
can be found at:
• Coronavirus Economic Response Package (Payments and Benefits) Rules 2020 – sections 11 & 12
• Explanatory Statement for the rules; and the
• Treasury Fact sheet
Integrity measures
Members may be under pressure from clients to backdate documents or take economic, rather than
legalistic, approaches to access COVID19 initiatives. Warnings have been issued by government entities.
For further information refer to:
• Joint media release by the ATO and the Tax Practitioners Board
• Treasury integrity fact sheet
How does JobKeeper interact with other COVID19 initiatives?
For information regarding the interaction with the:
• 50% wage subsidy for apprentices and
• JobSeeker
Refer to the Treasury Fact sheet
Information and links are current as at 15 April 2020JobKeeper – Frequently Asked Questions State laws Information regarding: • Does payroll tax apply to JobKeeper? Can be found at: • State tax updates can be found at the CA ANZ State COVID19 web site. Administration Administrative issues are still currently being developed. For information on how to apply refer to this ATO web page. Disclaimer This Guide has been prepared for use by members of Chartered Accountants Australia and New Zealand (CA ANZ) in Australia only. It is not intended for use by any person who is not a CA ANZ member and/or does not have appropriate expertise in the Guide's subject matter. This Guide is intended to provide general information and is not intended to provide or substitute legal or professional advice on a specific matter. Laws, practices and regulations may have changed since publication of this Guide. You should make your own inquiries as to the currency of relevant laws, practices and regulations. No warranty is given as to the correctness of the information contained in this Guide, or of its suitability for use by you. To the fullest extent permitted by law, CA ANZ is not liable for any statement or opinion, or for any error or omission contained in this Guide and disclaims all warranties with regard to the information contained in it, including, without limitation, all implied warranties of merchantability and fitness for a particular purpose. CA ANZ is not liable for any direct, indirect, special or consequential losses or damages of any kind, or loss of profit, loss or corruption of data, business interruption or indirect costs, arising out of or in connection with the use of this publication or the information contained in it, whether such loss or damage arises in contract, negligence, tort, under statute, or otherwise. Information and links are current as at 15 April 2020
JobKeeper – Frequently Asked Questions Information and links are current as at 15 April 2020
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