Following the lodgement of March’s activity statements, companies will now start to receive tax free cash flow boosts delivered through the Australian Tax Office (ATO) as credits in the activity statement system. For many small and medium sized businesses, this will be a lifeline while they battle to keep afloat due to the economic impact of Covid-19. These cash boosts will be between $20,000 and $100,000 to eligible businesses. The amount will generally equate to the amount withheld from wages paid employees from March to June (monthly or quarterly). A second cash flow boost will be delivered when activity statements are lodged for the period of June to September. These credits will be equal to the total boost credits from March to June 2020. It is automatically calculated by the ATO, so it will be credited to your account when you lodge your activity statement. The key eligibility requirement is that businesses must have been an active employer from 12 March 2020. This includes having an Australian Business Number (ABN), and the business has lodged on or before 12 March 2020 at least one [...]

Can I claim the JobKeeper payment as a sole trader if I am receiving salary and wages from an employer who is not claiming the JobKeeper payment as their business has not been affected by the downturn?  No. In this case you would not be eligible for the JobKeeper payment because the taxpayer is an employee of another entity. This conclusion would be the same whether the taxpayer's employer qualifies for JobKeeper payments or not. As a sole trader, you may be eligible for JobKeeper as an eligible business participant. You can easily check your eligibility online – see JobKeeper Payment – Sole traders and other entities. To help you navigate the new legislation and how it applies to you, Taxpro Australia has appointed a dedicated accountant to answer your enquiries. You can contact Bruno direct by calling him on 0414 800 171 or email: bruno@taxproaustralia.com.au.