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Re: Job Keeper - Sole Trader - Response from ATO saying ineligible

Enthusiast

Replies 1

There’s a complaint hotline - 1800 199 010. Select option 2 - Business related.
I’d encourage anyone to complain about this. The more people do the likely the issue at large will be reviewed.

Enthusiast

Replies 0

thank you very much.

Devotee

Replies 4

This doesn't sound right they usually couldn't give you a determination on your eligibilty if your request is still under review. Do you know when the review will be finalised? If you don't have prior financial statements to demonstrate the loss in turn over it will take longer than usual but doesn't mean you're ineligible. Have you heard anything further?

Enthusiast

Replies 3

@Fluxpavillion 

I got a response saying that I am ineligible as I commenced business after the 01 Jan 2020 (even though it was operational January through to now), so it rules out our eligibility. Also, apparently the alternative test can be applied to only businesses (except for a sole trader) that commenced after  01 Jan 2020, not a sole trader type of business. 

 

I still can't understand why not a sole trader, as that, is a business too. But not much, we can do.

Enthusiast

Replies 2

Hmmm that is BS as quite clearly under the Sole traders section on the job keeper page of the ATO website they clearly outline the alternate test - why would they do that if it doesn’t apply?
I’ve now been told that I’m ineligible due to not registering for GST... even though I wasn’t predicting my income to be over the threshold. If that is the case then I am being discriminated against. My latest advice is to object to the ruling.

Initiate

Replies 1

Hi @DeeDee13, did they say that any entity not registered for GST is ineligible for JobKeeper?! That doesn't seem right, the ATO website makes mention of entities that are not registered for GST..!

https://www.ato.gov.au/general/jobkeeper-payment/employers/eligible-employers/

Calculating turnover
The turnover calculation is based on GST turnover. This applies even if an entity is not registered for GST.

Enthusiast

Replies 0

Yes! The person I spoke to actually said that!
It just proves that this scheme is a mess and ambiguous!

Most helpful response

Community Manager

Replies 4

Hi all,

 

I can imagine this would be a very distressing. If you've received a letter saying that you're ineligible we'd recommend you gather any evidence of eligibility so that we can work with you to ensure that we make the right determination.

 

 

Enthusiast

Replies 2

I think the problem here is there are no clear outlines of what makes you ‘eligible’ and everything I have come across has been contradictory. I can provide evidence absolutely, but this is not being considered as I can’t even pass the eligibility test even though I passed it initially.

Initiate

Replies 1


@DeeDee13 wrote:
I think the problem here is there are no clear outlines of what makes you ‘eligible’ and everything I have come across has been contradictory. I can provide evidence absolutely, but this is not being considered as I can’t even pass the eligibility test even though I passed it initially.

I found this article yesterday which could help us: 

https://www.accountantsdaily.com.au/tax-compliance/14534-ato-jobkeeper-termination-letters-set-to-de...

 

"A joint submission by nine accounting and bookkeeping associations has now urged the government to reconsider the ineligibility of new businesses and start-ups for JobKeeper and cash-flow boost payments."

 

“They have called for the notice requirement to be amended by importing an assumption that either a monthly or quarterly tax period applies, and to allow the commissioner to use evidence of “making a taxable supply” in those notional tax periods up to 12 March 2020, in order to allow businesses to satisfy eligibility requirements."