EXTENDED EMPLOYMENT DATE
Effective from the fortnight beginning 3rd August 2020, the JobKeeper rules have recently been extended to allow additional employees to qualify. The updated rules now include employees employed from the 1st July 2020 (previously 1st March 2020). This means that some additional employees may become eligible for JobKeeper who were previously ineligible. This includes:
- A full time or part time employee on 1st July 2020 or
- A long term casual employee (employed on a regular and systematic basis for at least 12 months) as at 1st July 2020 and not a permanent employee of any other employer.
Another key change to the JobKeeper rules is that employees or eligible business participants who were previously nominated for JobKeeper
with another entity can potentially be nominated for JobKeeper with a new entity if certain conditions are met.
The individual must have ceased to be employed or actively engaged in the business (as a business participant) of the original entity before 1st July 2020 (and therefore ceased receiving JobKeeper payments), and commenced their employment with the new entity by 1st July 2020.
NEW ELIGIBLE EMPLOYEES
To be eligible as a new Employee/Business participant, individuals must be:
- Employed as at 1st July, 2020
- Not in receipt of the following during the JobKeeper fortnight:
- Willing to be nominated (and completed Nomination Form)
- 18 years or older
- An Australian Resident
- Employed on a full-time, part-time, fixed term or long term casual basis
The eligibility status of employees that met the requirements as at 1st March 2020 is preserved, meaning they do not need to
re-test eligibility at 1st July 2020.
IMPORTANT ACTION PLAN ITEMS
- Identify any new eligible employees engaged at 1st July 2020 to commence JobKeeper from 3rd August 2020.
- Have new eligible employees complete the required nomination form by the 21st August 2020 for them to agree to be nominated.
- Make any top up payments for eligible employees.The ATO have extended the deadline for making payments to new eligible employees for the JobKeeper fortnights commencing 3rd August 2020 and 17th August 2020 to be paid by 31st August 2020.
- Ensure that your employees are flagged as receiving JobKeeper through Single Touch Payroll.
- Include these employees in your monthly JobKeeper declaration for the month of August (available at the start of September).
We at MGR are here to provide you with professional advice and assistance relating to all COVID-19 economic measures and stimulus support.
Our expert team of accountants can help guide you through this process so you are confident you are doing everything right for your business
Call us today on (03) 5443 8888 or email us at email@example.com