In addition to the Federal Government response to the Coronavirus, the Victorian State Government has established a $1.7 billion Economic Survival Package: The Victorian Business Support Fund.
Previously, we had advised clients of the Payroll Tax relief offered by the State Revenue Office, but please find additional relief that Victorian taxpayers can also access:
Business Support Fund
Funding of $10,000 per eligible business is available to taxpayers who may not have been eligible for a payroll tax refund due to their size.
Small businesses are eligible if they:
- employ staff; and
- have been subject to closure or are highly impacted by Victoria’s ‘Non-Essential Activity Directions’ issued by the Deputy Chief Health Officer to-date; and
- have a turnover of more than $75,000; and
- have payroll of less than $650,000; and
- hold an Australian Business Number (ABN) and held that ABN at 16 March 2020; and
- has been actively engaged in carrying on a business in Victoria on 16 March 2020.
Evidence and compliance
- Applicants must certify in writing that they meet the eligibility criteria.
- Applicants will be subject to audit by the Victorian Government and will be required to produce evidence such as payroll and profit and loss reports to demonstrate impact. The records must be made available for a period of up to four years after the grant has been approved.
- If any information in the application is found to be false or misleading the grant will be repayable on demand.
Intention of how the funds will be utilised will be required and can include the following:
- Meeting business costs, including utilities, salaries or rent
- Seeking financial, legal or other advice to support business continuity planning
- Developing the business through marketing and communications activities
- Other supporting activities related to the operation of the business.
Applicants should ensure they have their most recent Business Activity Statement ready for the application process. Please contact us if you require a copy.
Furthermore, applicants should have ready the number of employees and the Full time equivalent (FTE) hours that this represents. An FTE is based on a 35 hour or more work hours per week (e.g. 2 full-time staff working more than 35 hours and 2 part-time staff working 18 hours is 3 FTE).
Please contact us if you require assistance in the application process.
Land Tax deferral
Eligible landowners have the option of deferring their 2020 land tax payment until after 31 December 2020. Landowners must have at least one non-residential property and the total taxable landholdings must be below $1 million.
The State Revenue Office will contact all taxpayers who are eligible for this deferral.
Should you have any queries in respect to the above please do not hesitate to contact either our office on 03 96291433 to discuss.