The NSW and Federal announced yesterday that they are providing further financial assistance in response to the COVID-19 outbreak in the Greater Sydney area. This support is intended to assist businesses in keeping their workers employed during lockdown as well as provide cash flow support.
COVID-19 Business Grant
Businesses, including sole traders and not-for-profit organisations, impacted by the current Greater Sydney COVID-19 restrictions, may be eligible to apply for a grant of up to $15,000 from 19 July 2021. The grant can be used for business expenses such as rent, utilities and wages, for which no other government support, is available.
Three different grant amounts will be available depending on the decline in turnover experienced during the restrictions:
- $7,500 for a decline of 30% or more
- $10,500 for a decline of 50% or more
- $15,000 for a decline of 70% or more.
Micro Business Grant
A grant of up to $1,500 will be available for eligible small businesses and sole traders with an annual turnover between $30,000 and $75,000 from late July.
New Business Support Payment
A further grant of between $1,500 and $10,000 per week will also be available for businesses based on their payroll numbers as of 13th of July 2021. These businesses must have an annual turnover of between $75,000 and $50 million who can demonstrate a 30% decrease in turnover as a result of COVID lockdown restrictions and must have maintained their employees during this time.
For non-employing businesses, such as sole traders, the payment will be set at $1,000 per week.
Applications for this grant are expected to open through Service NSW from 19th of July.
The Government has also expanded its existing support on a number of assistance measures including:
- Payroll tax waivers of 25% for entities with wage expenses between $1.2 million and $10 million that have experienced a 30% drop in turnover
- Grants of up to $1,500 for residential landlords who are not liable for land tax and reduce rent to tenants.
- Land Tax relief of up to 100% for commercial, retail and residential landlords to compensate for any rent reductions for their financially distressed tenants.
- COVID-19 Disaster Payment will increase from $500 to $600 each week if a person has lost 20 hours or more of work a week, or $325 to $375 each week if a person has lost between 8 and 20 hours of work and will be available to NSW residents outside of Greater Sydney.
Further eligibility criteria is expected to be published on the Service NSW website later this month however you can register now for expressions of interest and to keep up to date with any developments.
We also recommend that you check your ABR details are up to date and that you are registered as an authorised contact for your business. Please also ensure that your personal contact and business details are accurate in your MyServiceNSW Accounts.
Please contact our office for further information or if you require any assistance with the above.