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Re: JobKeeper 2.0 Eligiblity - Fixed periods?

Newbie

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Replies 3

Hello

 

Scenario:

For sole trader who had high income received in July, but income dropped in the following months (July was more than August/September combined). In total, the Jul-Sep quarter does not show a 30% drop in income.

However, fast forward a month, when looking at August - October, there is a clear drop over 30% (when not including the High July). Is this person eligible to apply after October? Or are the periods fixed? Must wait 2 months to apply for the JobKeeper Extension 2 and miss out on the rest of JobKeeper Extension 1?

 

Second Scenario:

If a business has irregular turnover AND the sole proprietor was sick and did not work for 2 months of the year (meaning the monthly average calculated under irregular turnover, would be understated by 2 months), is this person stuck with assessing against this lower average?

Considering the alternative test method for ilness allows the month before sickness, times by three, to work out the alternative comparable quarterly period- is it allowable to combine the two methods for a fairer average representing 12 months, not 10 months and 2 months sick?

 

Thank you

 

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Accepted Solutions

Most helpful response

ATO Community Support

Replies 1

Hello @misterpringles,

 

I'll deal with your scenarios separately as you have laid them out. The first one, is a fairly short answer. It is the whole quarter. If there isn't a drop in income in the whole quarter, they are ineligible. That being said, they may become eligible again in the December quarter and be able to claim for 04/1 - 28/03.

 

With the second scenario, you can only apply one of the alternate tests. So you would need to go with the one that best matches your situation. I understand it may not be ideal for this situation, unfortunately, if you are not eligible under either, you would not be able to claim.

3 REPLIES 3

Most helpful response

ATO Community Support

Replies 1

Hello @misterpringles,

 

I'll deal with your scenarios separately as you have laid them out. The first one, is a fairly short answer. It is the whole quarter. If there isn't a drop in income in the whole quarter, they are ineligible. That being said, they may become eligible again in the December quarter and be able to claim for 04/1 - 28/03.

 

With the second scenario, you can only apply one of the alternate tests. So you would need to go with the one that best matches your situation. I understand it may not be ideal for this situation, unfortunately, if you are not eligible under either, you would not be able to claim.

Newbie

Replies 0

StephATO, sincerely, thank you for clarifying!

 

Looks like I am on my own until 2021, which is fine. I just hope there isn't another lockdown by then.

Doing it in quarterly blocks is very rigid in qualifying applicants, considering in Victoria, we just experienced 2 months lockdown over August and September, this is very difficult for businesses to just expect to pause and restart without hiccups.

 

My criticism for the first JobKeeper was that we had a lockdown in from March, but payments didnt happen until April/May. Why does the help always come months after it is needed?

 

JobKeeper program estimated cost 70 Billion.

NBN blowout costs are over 60 Billion just to revert back to the original NBN full-fibre plan.

Doesn't add up at all.

To our wise leaders, thanks for the support during a global pandemic /End rant Smiley Happy

Initiate

Replies 0

Also re scenario 1, I suggest looking at the alternative tests, in particular irregular turnover (so long as it is not seasonal or cyclical work), to see if this applies to that situation. All the best.