Boosting Cash Flow for Employers

Did you know that legislation has passed to provide temporary cash flow support to small and medium businesses and not-for-profit organisations that:
– employ staff and
– have been affected by the economic downturn associated with COVID-19 (novel coronavirus).

 

Eligible businesses and not-for-profit (NFP) organisations will receive between $20,000 to $100,000 in cash flow boost amounts by lodging all their activity statements up to the month or quarter of September 2020.

The cash flow boosts will be delivered as credits in the activity statement system from 28 April 2020.

The amounts will generally be equivalent to the amount withheld from wages paid to employees in the March to June 2020 periods.

In practice, this means, as an employer, you keep the amounts you have withheld from payments for these periods, however, there are some exceptions.

An additional cash flow boost will be applied when activity statements are lodged for June to September 2020.

These credits are equal to the total boosts credited for March to June 2020.

They will be paid out in either two or four instalments depending on your reporting cycle.

 

You must lodge your activity statement to receive the cash flow boosts.

 

Click Here for more information from the ATO on the Employer Cash Flow Boosts:
– Eligibility
– Delivery of the cash flow boosts
– Accessing the cash flow boosts
– What you will receive
– Tax consequences

 

Or even better, to discuss your business or personal finances with an informed and expert accountant contact one of our team today.

Just one conversation with STS Accounting Group may change your financial future.

Now is the time to call:

Torquay (03) 5261 2262

Winchelsea (03) 5267 2673