Hot Issues
spacer
September update of latest COVID-19 initiatives.
spacer
ATO JobKeeper 2.0 guidance surfaces
spacer
Expats Return to Australia – Travel Expenses
spacer
Profession to be relied on for post-JobKeeper turnover certificates
spacer
Update of Superannuation contribution rules from July 1, 2020
spacer
Expats & COVID-19 Impacts on tax residency
spacer
Economic recovery could be slower than anticipated: RBA
spacer
High Court rules in favour of employers on personal leave accruals
spacer
JobKeeper Phase 2 - Latest Update
spacer
Payroll Tax 2020 concessions and JobKeeper
spacer
High alert issued over myGov tax time scam
spacer
Extended director penalty regime to catch out ‘zombie companies’
spacer
SG amnesty deadline - 7 September
spacer
‘Hundreds’ to be contacted in ATO early super compliance blitz
spacer
90,000 SMEs to benefit from new JobTrainer program
spacer
Work Related expenses – 2020
spacer
‘Everyone is now on notice’: ATO acquires COVID-19 data on 3m Aussies
spacer
Extra Tools & Resources for our clients.
spacer
Year End Tax Deductions – “equipment”
spacer
Home Office Claims 2020
spacer
Early release of super sees ‘high take-up’
spacer
Tax time 2020: ATO homes in on rental deduction claims
spacer
ATO announces Div 7A COVID-19 assistance
spacer
‘HomeBuilder’ grants now available.
Article archive
spacer
Quarter 2 April - June 2020
spacer
Quarter 1 January - March 2020
spacer
Quarter 4 October - December 2019
spacer
Quarter 3 July - September 2019
spacer
Quarter 2 April - June 2019
spacer
Quarter 1 January - March 2019
spacer
Quarter 4 October - December 2018
spacer
Quarter 3 July - September 2018
spacer
Quarter 2 April - June 2018
spacer
Quarter 1 January - March 2018
spacer
Quarter 4 October - December 2017
spacer
Quarter 3 July - September 2017
spacer
Quarter 2 April - June 2017
spacer
Quarter 1 January - March 2017
spacer
Quarter 4 October - December 2016
spacer
Quarter 3 July - September 2016
spacer
Quarter 2 April - June 2016
spacer
Quarter 1 January - March 2016
spacer
Quarter 4 October - December 2015
spacer
Quarter 3 July - September 2015
spacer
Quarter 2 April - June 2015
spacer
Quarter 1 January - March 2015
spacer
Quarter 4 October - December 2014
ATO extends initial JobKeeper payment deadline

Employers looking to enrol for the first two JobKeeper fortnights have now been granted a further extension of time to enrol and pay employees.

       

The ATO has now announced an extension of time for employers who wish to enrol for the first two JobKeeper fortnights to 31 May, an extension from 30 April.     

Crucially, for the first two fortnights that run from 30 March to 12 April, and 13 April to 26 April, the ATO will now accept the late payments of the minimum $1,500 per fortnight as long as they are paid by 8 May.

“This means that you can make two fortnightly payments of at least $1,500 per fortnight by 8 May, or a combined payment of at least $3,000,” said the ATO in an update on Monday.

Speaking to Accountants Daily, the Institute of Public Accountants general manager of technical policy Tony Greco said the payment extension was particularly welcome, considering how the previous deadline of 30 April was hard for employers to meet.

“The onus was on the employer to make the payment and then hope the employee is eligible, so they are taking a leap of faith and if they didn’t make the payment, they wouldn’t get the reimbursement,” Mr Greco said.

“If this date is not met, then the employer will lose the JobKeeper reimbursement and, more importantly, their employees may also be denied the benefit of the first two fortnight payments which will be an unnecessary loss assuming both the employer and employee are eligible.”

The extension in time to meet the wage condition comes after the ATO registered the alternative tests late last week and the Treasurer revealing that further changes would be made to the JobKeeper rules.

Assistant Treasurer Michael Sukkar said the extension would help the 500,000 businesses that have now enrolled for the JobKeeper scheme pay more than 3 million employees in time.

“This extension allows businesses further time to consider their circumstances and remove any cash-flow pressures arising from financing arrangements that have not been finalised,” Mr Sukkar said.

“Importantly, this extension does not negate the obligation on businesses to ensure they continue to pay eligible employees $1,500 in each JobKeeper fortnight.

“Businesses have until 31 May 2020 to formally enrol to claim JobKeeper payments. However, the sooner an employer pays their staff for April and enrols, the sooner the ATO can reimburse them the JobKeeper payments.”

With the major banks now stepping up with dedicated JobKeeper hotlines to provide bridging finance to businesses ahead of the ATO’s reimbursement, Mr Greco said it was pleasing to see the Tax Office adopt a flexible approach to give employers more time to meet the first payment date.

“There are a lot of dates flying around and this could be lost in translation,” he said.

“It is a very simple message, but I think everyone is working at a rate of knots that simple messages have just been lost.”

The ATO’s updated guidance on enrolment date and payment date can be viewed here.

 

 

Jotham Lian 
27 April 2020 
accountantsdaily.com.au