AHA|SA MEMBER INFORMATION
JobKeeper 2.0 Extension Period 2 - Are You Eligible? OWEN WEBB, AHA|SA WORKPLACE RELATIONS MANAGER
The extension of the JobKeeper Scheme (JobKeeper 2.0) runs from 28 September 2020 until 28 March 2021. The extension incorporates two separate periods with extension period 1 running from 28 September 2020 to 3 January 2021 and extension period 2 from 4 January 2021 to 28 March 2021. Businesses can still be eligible for JobKeeper extension period 2 even if they were not eligible for JobKeeper extension period 1. As we move towards the end of the first extension period, we look at what criteria applies to businesses to determine their eligibility for extension period 2 of the JobKeeper Scheme and if the business is eligible how should they prepare.
WHAT IS THE ACTUAL DECLINE IN TURNOVER REQUIRED TO QUALIFY FOR EXTENSION PERIOD 2? The JobKeeper extension period 2 runs from 4 January 2021 to 28 March 2021. To qualify for extension period 2 businesses must satisfy the actual decline in turnover test for the December 2020 quarter. The actual decline in turnover test is satisfied for JobKeeper extension period 2 when the businesses actual GST turnover for the quarter ending 31 December 2020 (October, November and December) has declined by the specified shortfall percentage (30% for those with an aggregated turnover of $1 billion or less) relative to a comparable period (e.g. quarter ending 31 December 2019). For further information on the actual decline in turnover test visit the ATO website by clicking on: Decline in Turnover Test
WHAT HAPPENS IF THE BUSINESS DOES NOT SATISFY THE ACTUAL DECLINE IN TURNOVER TEST? If the business does not satisfy the actual decline in turnover test for JobKeeper extension period 2, the business cannot claim 28 | Hotel SA | W W W . A H A S A . A S N . A U
JobKeeper payments for the fortnights in the relevant extension period. If you were eligible for JobKeeper extension period 1 and in receipt of JobKeeper payments from the ATO, you should notify your eligible employees that you are no longer able to claim JobKeeper payments for them. You should also advise them that you are no longer obligated to pay them an amount that is at least equal to the JobKeeper payment in those fortnights. Your eligible employees will not be able to be nominated for JobKeeper by any other entity.
WHAT ALTERNATIVE TURNOVER TESTS APPLY? There may have been certain events that occurred to your business in the December quarter 2019 which make it inappropriate to compare the December quarter 2020 with the December quarter 2019. As a result, alternative tests for determining actual decline in turnover may be available in some circumstances. These will apply in a similar way to the alternative tests for the original decline in turnover test. However, they must be applied on the basis that the turnover test period is a quarter. For further information on the alternative tests for determining actual decline in turnover visit the ATO website by clicking on: Alternative Decline in Turnover Test
WHAT ARE THE JOBKEEPER PAYMENT RATES UNDER EXTENSION PERIOD 2? The rate of the JobKeeper payment will depend on the number of hours: • An eligible employee works, or • An eligible business participant is actively engaged in the business. Back to Contents
