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Re: JobKeeper for employee of sole trader

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Devotee

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Replies 4

A sole trader is not eligible to receve a JobKeeper payment if he is an employee, elsewhere, of another entity. That part I understand. However, how do you enrol for JobKeeper where the sole trader has one employee but the sole trader himself is not eligible?

 

When I enrolled this morning I answered NO to the question about myself, the sole trader, enrolling. The system then said I was not eligible to receive JobKeeper for my employee. So I answered YES to get past this question, to the next question on the screen about the number of employees (viz. one).

 

Have I done the right thing?

 

In other words, how does a sole trader enrol so that he can received the JobKeeper payemnt for his one employee, when the business owner HIMSELF is not eligible to receive one, as he's not an "eligible business recipient." I've read the Coronavirus Economic Response Package (Payment and Benefits) Rules 2020 of 17 pages, and then the Explanatory Statement of 33 pages, and nowhere does it say that a sole trader cannot receive a JobKeeper payment for his one employee, when he himself is not elgible. It seems to me that the registration/enrolment procedure I encounteed this morning doens't comply with the law.

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Best answer

Devotee

Replies 2

I know they;ve been having a few issues with the form but you;re right it sounds like your employee would be eligible. If you havne't already contacted them I would just to correct the form and avoid anything happening down the track https://www.ato.gov.au/about-ato/contact-us/

4 REPLIES 4
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Enthusiast

Replies 0

I have the exact same issue for a client.  Hopefully the ATO can fix the issue soon!!!

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Best answer

Devotee

Replies 2

I know they;ve been having a few issues with the form but you;re right it sounds like your employee would be eligible. If you havne't already contacted them I would just to correct the form and avoid anything happening down the track https://www.ato.gov.au/about-ato/contact-us/

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Devotee

Replies 1

We were told to wait until the second step opened on Monday 4th May. It's now open (a day early). We can edit the number of employees, but there is no edit button to remove myself . So the screen today reads two JK payments, one for me (which is wrong) and one for the employee. I can't fix the error!

 

It seems to me one half of the ATO is not tallking to the other half, and/or the ATO is simply swamped and cannot keep up. Two weeks have gone by and we've still got repeat errors in the coding. There's no point ringing Contact Us phone number as that help line can't handle the volume of calls, so what do I do ... hit the submit button and let it ride so that the employee collects her $19,000 and, when this is all over at the end of September, pay back the $19,000 paid to me in error?

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Community Support

Replies 0

Hi All

 

Sorry for the delayed response. If you still needed information, enrolment forms can be amended by us you will need to contact us to access your records.

 

There has been an issue with the form where sole traders who meet the eligible employer criteria have not been able to register for the JobKeeper payment for their eligible employees. You will need to contact us for assistance to enrol.

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Thanks, Ari