JobKeeper – Next Steps

Businesses Need To Take Action To Register For JobKeeper Payments

On the 20th of April 2020, the ATO released the next steps required in the enrolment process for the JobKeeper Payments for Businesses. If you would like to learn more about the eligibility for JobKeeper payments, please refer to our past newsletters by clicking here: www.suntax.com.au/news/

Before we provide instructions on how to register for JobKeeper Payments, there have been some important updates all businesses need to know when assessing their eligibility for JobKeeper Payments as a business.

  1. To be eligible for the JobKeeper Payment from the start (30th of March 2020), the business must:
    a. Have had a 30% or more reduction in turnover in March 2020 compared to March 2019
    b. Expect to have a 30% reduction or more in turnover for the month of April 2020 compared to April 2019
    OR
    c. Expect to have a 30% or more reduction in turnover for the June 2020 Quarter compared to the June 2019 Quarter

If these declines are not reflective of your current business operations, but your turnover declines by more than 30% after these dates, you will still be able to apply for the JobKeeper Payment but the start date will be delayed until that time.

  1. The ATO will allow any business to compare their reduction in turnover based on either monthly or quarterly turnover from the previous year.
    The business can choose.
  2. If the business reports on a cash basis for GST on their BAS, they also have the option to compare their turnover on either a cash or accruals
    invoicing basis.
  3. If estimating your decline in turnover, it is advisable to have written reasoning for your estimates.  Reasons could include:

While we initially had concerns as to how the ATO were going to assess the reduction in turnover, we now feel they have taken a more compassionate approach by allowing businesses to choose how their turnover will be assessed.

Instructions For Businesses To Register For JobKeeper Payments

There are 4 steps businesses need to take:-

Step 1: Register for MyGovID & RAM

(If not already connected to the ATO Online Services for Business)

Before you start the JobKeeper registration process, your business must be registered for the ‘ATO Online Services For Business Portal’ using MyGovID & RAM. If you are not already registered for Online Services you can follow the instructions in this link to register: ATO Instructions to set up MyGovID & RAM
Please note: If you have a trust with a company acting as trustee, you will need to contact the ATO to connect the directors to the trust before proceeding. The best number to call them on is 1300 287 539. When you speak to them let them know that you are trying to connect your trust to your MyGovID and you have a ‘trust with a corporate trustee’ and they will know exactly what to do.

If you do not have the time or ability to complete your Online Services Registration at the moment, Suntax is able to skip this step and process the JobKeeper enrolment for you. See details in the ‘How can Suntax Help You’ section of this email.

Step 2: Enrol For JobKeeper

Once registered for the ‘ATO Online Services For Businesses Portal’, you will need to:-

 

Step 3: Complete & Issue the ‘ATO JobKeeper Employee Nomination Form Notice’ to all eligible JobKeeper Employees

Each eligible employee you are applying the JobKeeper Payment to, must complete, sign and return their ‘JobKeeper Employee Nomination Notice’. This form does not need to be sent to the ATO, but you must keep it with your employment records. To access the form, please click this link: JobKeeper employee nomination notice

Step 4: You Need To Elect Which Employees Are Eligible Employees For the JobKeeper Payment In Your Payroll Software

The ATO will use the ‘Single Touch Payroll’ (STP) data from your payroll system to confirm that the employees have been paid their minimum entitlement of $1,500 per fortnight.

In order for the ATO to receive the necessary information, you will need to enter additional information in your payroll software to individually nominate each eligible employee for the JobKeeper Payment.

Each software system will be different, but as more than 90% of our clients are on Xero, we have attached the Xero instructions here: Xero Instructions to enrol employees for JobKeeper payments

 

How can Suntax Help you with this process? 

Suntax Offer 1: Let Suntax Process The JobKeeper Enrolment For You

If you do not have the time (or inclination) to set up the connection of your MyGovID, RAM and Registration for the ATO Online Services For Businesses, our team can register you for the JobKeeper Payment on your behalf.

The cost for Suntax to register your business is $220 including GST.  To enable us to do this for you please complete the details required by clicking the link below.


Suntax Offer 2: Let Suntax Process Your Employee Nomination and Payroll Items in Xero

If you are short on time and would like Suntax to look after the Nomination of Eligible Employees and setup the payroll and chart of accounts for the JobKeeper Payment in Xero, we can also do this for you.

The cost of Suntax nominating employees in Xero is $110 setup plus $11 per employee (including GST). This will also include the setup of all of the new JobKeeper Chart of Accounts and payroll earnings lines needed.

To enable us to do this for you please complete the details required by clicking this link: JobKeeper Registration Request For Suntax To Process

The team at Suntax have been working extremely hard to ensure all of our businesses make it through this uncertain time. We congratulate the Australian public on their great efforts of self isolation and social distancing and would like to thank those front-line doctors, nurses, carers and pharmacists who risk their own (and their families) health to help Australia through this pandemic. We also tip our hat to those businesses and essential workers who are keeping our economy and households running.

In the meantime, your Suntax crew are working from home and are here to help you if you need support or guidance.

 

Your Suntax Team

Sunbury Essendon