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Re: Jobkeeper

Newbie

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Replies 7

HI i am just wanting to check that I have appraised my eligabiltiy for job keeper part 1 correctly. 

I statered business as a sole trader in Janruary but only opened doors (ie commenced business) at the end of Februday. 

 

Given my first full month or trade was March, I have claimed from April with March as my comparison month. 

- March GST income - 2560 

- April GST income - 180 (so meet the greater than 30% reduciton)

 

Their are some worked examples in which they have included March in the calucaiton and so think that I have done this correctly, can anyone confirm for me?

 

(For the record I was open for the last Friday of Feb and did one sale of 100 - which when multiplying by the 29 days of Feb gives a similar result, but it seems a bit stupid to compare to one day??)

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Most helpful response

ATO Community Support

Replies 3

Hi @Bear37,

 

You are right in that you fall under the alternative test 1. I know testing for one day in Feb seems a little silly, but that's the category your business falls under.

 

Regardless of that, either way based on the information you have provided, you meet the turnover test.

7 REPLIES 7

Most helpful response

ATO Community Support

Replies 3

Hi @Bear37,

 

You are right in that you fall under the alternative test 1. I know testing for one day in Feb seems a little silly, but that's the category your business falls under.

 

Regardless of that, either way based on the information you have provided, you meet the turnover test.

Newbie

Replies 2

Hi @StephATO

 

Thanks for the quick reply.

To confirm if the February revenure were not present, I would stll be eligable based on the reduciton of turnover from March to April? 

 

Thanks, 

 

ATO Community Support

Replies 1

Hi @Bear37,

 

Exactly! You meet that criteria, either way.

Newbie

Replies 0

HI, 

 

I just wanted to followup with regrd to this enquiry 

For the period of April to October I have used March as my reference month and claimed my reduciton in trade compared to March. 

 

With the new "Actual Decline In Turnover Test" am I still able to use March income x3, as the comparison for July, August, September to calculate the reduciton in this manner (given I was not in business for the comparison period last year). 

 

Thanks, 

Bear 

ATO Community Support

Replies 2

Hi @Bear37,

 

There have some been some updates to the alternative tests for the actual decline in turnover tests. You would still be using

the test for a business that started after the comparison period started but before 1 March 2020 it would still be alternative test 1 in this category, but it's worked out a little differently.

 

If your business started in February 2020:

  • to determine if your GST turnover has fallen by at least 15%, 30% or 50%, compare your average monthly current GST turnover for February 2020 with your applicable current GST turnover for the September or December 2020 quarter
  • your average monthly GST turnover for February 2020 is your total current GST turnover for the days your business was in operation in February 2020 divided by the number of days you were in business in February 2020 and then multiplied by 29 (the number of days in February 2020).

 

So, your one $100, transaction, would be divided by one, because you were only open on the 29th, then multiplied by 29. The amount of days in the month. So you have $2900. You then multiply that by three. So your figure to compare your September quarter to is $8,700.

Newbie

Replies 1

Thanks for the reply. 

Since my first post I realised that the "feb" transaciton was in fact in March (my books were pretty scrappy being the first days in business). I have amended this but means that I have not Feb transactions. March was my first month of trade (despite doing setup, rental contracts etc in Feb). 

 

Does this mean I am ineligable for October - December Jobkeeper.

Sorry to hammer the point but I have submitted for Jobkeeper 2.0 and now think I may not meet criteria and want to ensure that I dont get money I am not entitled to. 


Thanks,

Michael 

ATO Community Support

Replies 0

Hi @Bear37,

 

In order to be an eligible employer as a sole trader for JobKeeper, you must meet all eligibility criteria.

 

There's two points you're not going to be able meet regarding your eligibility:

  • on 1 March 2020, you carried on a business in Australia, and
  • you had lodged, on or before 12 March 2020, either your 2019 tax return showing business income, or an activity statement with GST for a period between 1 July 2018 and 31 December 2019 showing you made a sale.

Due to this, you won't be eligible for JobKeeper.

 

You'll need to contact us to let us know and to discuss your options going forward. You may want to chat to Services Australia about your eligibility for any of their payments.