NSW Northern Beaches COVID-19 Hardship Grants

Posted on 9 February 2021 | by Allan Hall

Small businesses that experienced hardship as a result of the COVID-19 restrictions on the Northern Beaches will have access to grants designed to help cover unavoidable expenses.

Over Christmas, the Northern Beaches community commendably helped control the spread of the virus by adhering to a 3-week lockdown.

However, doing so materially impacted many businesses as this coincided with what is normally the busiest period associated with Christmas and New Year festivities.

As a result, many businesses – particularly in the hospitality, lifestyle and retail sectors – were placed under added pressure and started 2021 behind the rest of the state.

Minister for Finance and Small Business, Damien Tudehope, said a new funding program would provide for the roll out of $3,000 and $5,000 hardship grants to eligible Northern Beaches businesses that were most impacted.

The grants are intended to cover unavoidable costs for which no other government support is available such as utilities, rent, financial or legal advice and other activities that support business operation.

A tiered approach is being taken to prioritising cases

Tier 1: $3,000 is for small businesses that have suffered a minimum 30 per cent decline in turnover due to the Northern Beaches lockdown

Tier 2: $5,000 is for small businesses that have suffered a minimum 50 per cent decline in turnover

In addition to the $3,000 and $5,000 grants, the Government will implement a range of other measures that include industry-specific information on public health restrictions, better access to existing support and promoting the region as a tourist destination.

Eligibility guidelines

Tier One: $3,000 grant
Small businesses and not-for-profits that were subject to the Public Health (COVID-19 Northern Beaches) Order 2020 (‘the Northern Beaches Public Health Order’) will be eligible for a one-off $3,000 Northern Beaches Hardship Grant if you:

Are a non-employing business or a business with fewer than 20 full-time equivalent staff
Have an Australian Business Number registered in, or can demonstrate you are physically located and primarily operating in the Northern Beaches Local Government Area
Experienced a decline in turnover of at least 30 per cent due to the Northern Beaches Public Health Order over a minimum two-week period from 19 December 2020 to 10 February 2021 compared to the same time last year
Have total Australian wages below the NSW Government 2020-21 payroll tax threshold of $1,200,000 as at 1 July 2020
Have annual turnover of more than $75,000 as at 1 March 2020, and
Had unavoidable business costs during the Northern Beaches lockdown (e.g. rent) for which there is no other government support available.

Tier Two: $5,000 grant
Small businesses and not-for-profits that were subject to the Public Health (COVID-19 Northern Beaches) Order 2020 (‘the Northern Beaches Public Health Order’) will be eligible for a one-off $5,000 Northern Beaches Hardship Grant if you meet all the eligibility criteria for the $3,000 (tier one) grant above, except you must have experienced a decline in turnover of at least 50 per cent due to the Northern Beaches Public Health Order over a minimum two-week period from 19 December 2020 to 10 February 2021 compared to the same time last year.

Need help?

More information on these grants and how to apply will be made available in coming weeks.

In the meantime, to discuss your potential eligibility for grant funding, or for preparation of an application, please contact your Allan Hall Advisor on 02 9981 2300.

The NSW Budget 2020 – 2021

Posted on 23 November 2020 | by Allan Hall

Ground-breaking support to help NSW businesses grow and create jobs

From $1,500 digital vouchers for smaller enterprises to cover government fees and charges, to relief from payroll tax, and a 3-year extension of the Business Connect program, NSW businesses are set to benefit from tax relief and other support measures designed to improve cash flow and help hire more staff as the State Government moves forward with its COVID-19 stimulus and economic recovery plan outlined in the 2020-21 NSW Budget.

Small businesses make up 97.5% of businesses in NSW and are a prime focus of the NSW Government’s 2020-21 Budget. If businesses are supported in post-COVID-19 recovery, they are more likely to stay in business, keep people in jobs and create new jobs as part of the State’s economic recovery.

With numerous businesses impacted by drought, bushfire and COVID-19, this year it is important that support is available at this critical time.

Key Measures

Key NSW Budget business and employment support measures include:

2-year payroll tax rate cut from 5.45% to 4.85%. More information on the payroll tax changes will be made available on the Revenue NSW website.
Permanent increase in payroll tax threshold from $1 million to $1.2 million. These tax cuts, worth $2.8 billion, will provide an average saving of around $34,000 a year for the next two years for businesses liable for payroll tax.
$500 million Out & About program providing NSW residents with $100 of digital vouchers to redeem on dining out and entertainment activities to boost businesses and encourage spending locally. For information on the Out & About scheme, visit nsw.gov.au. Information on the digital vouchers will become available on the Service NSW website in coming weeks.
$472 million for new digital vouchers worth $1,500 which can be used by small businesses under the payroll tax threshold towards the cost of government fees and charges.
More than $39 million funding boost for the Business Connect program, extended for three more years to support small businesses in accessing business advice.
$5 million for the NSW Small Business Commission to establish a new tendering support service under a 4-year program, assisting small business to prepare and submit Government tenders.
$2 million to continue the Small business rebate program, providing up to $500 to support small business owners and sole traders who buy and install safety equipment; and
Temporary extension to 28 March 2021 of the National Cabinet Mandatory Code of Conduct – SME Commercial Leasing Principles for retail tenants only with an annual turnover of less than $5 million. Landlords who provide rent reductions between 1 January 2021 to 28 March 2021 to eligible retail tenants experiencing financial distress due to the COVID-19 pandemic can apply for land tax relief of up to 25% on the land leased for the 2021 land tax year.
As a longer-term tax reform objective, the NSW property tax system has been flagged for reform around its inefficiencies and barriers to homeownership. The next step will invite public feedback on a possible transition away from the current transfer duty (stamp duty) and land tax system and move instead to a property tax system to boost long-term economic growth.

Need help?

If you would like more detailed information, you can read the full NSW Budget 2020 – 2021 Overview and the NSW Treasurer’s Speech.

For further assistance to interpret these changes and how they may affect your individual circumstances or your business, please contact your Allan Hall Advisor on 02 9981 2300.