SOUTH AUSTRALIAN GOVERNMENT ASSISTANCE
The SA government has announced details of its second economic stimulus package – which includes significant payroll and land tax relief for thousands of businesses across the state as well as the waiving of liquor licence fees for hard-hit hotels, restaurants, cafes and clubs – as part of its strong plan to save local jobs and industry in the wake of the coronavirus crisis.
The emergency $650m Jobs Rescue Package – which brings the state’s total economic response to $1 billion – also includes the establishment of two new funds (the $300m Business and Jobs Support Fund and the $250m Community and Jobs Support Fund).
$300 million Business and Jobs Support Fund
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Small businesses and not-for-profit entities that employ South Australians who have been adversely affected by the COVID-19 pandemic may be eligible to receive a $10,000 grant to support the operation of their business.
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To check you are eligible and register, please visit the SA Treasury website.
1) Payroll tax relief (Up to $60 million of savings to business)
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6-month waiver for all businesses with an annual payroll (grouped) up to $4 million
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Eligible businesses won’t have to pay any payroll tax from April to September
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This measure is expected to assist up to 2,400 businesses and save them up to $84,000 over the six months (average saving $25,000)
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Employers with grouped annual wages above $4 million able to defer payroll tax payments for 6 months on demonstration of significant impacts on cash flow of coronavirus
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Around 4,300 businesses will be able to access this payroll deferral and is expected to increase overall cash flow by around $580 million.
2) Land tax relief (Up to $13 million in additional savings)
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From July, the government’s significant land tax reforms will kick in, delivering $189m in savings to investors and landlords over the next three years.
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Under the new measures, individuals and businesses with outstanding quarterly bills for 2019-20 able to defer payments for 6 months (up to 28,000 private land tax ownerships will benefit)
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For 2020-21 Land Tax Transition Fund relief will be increased from 50% to 100% based on existing relief criteria guidelines – saving some investors up to $50,000
3) Fees and Charges
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Waiver of liquor licence fees for 2020-21 for those hotels, restaurants, cafes and clubs forced to close as a result of new social distancing restrictions
4) 300 million Business and Jobs Support Fund
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A fund to support individual businesses and industry sectors directly affected by coronavirus, and face potential collapse – and the loss of thousands of jobs – as a result
5) $250 million Community and Jobs Fund
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A fund to support community organisations, sporting, arts and recreational bodies, non-profit organisations as well as some industry sectors whose operations have been impacted by the coronavirus
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Will also help with training of South Australians seeking new skills and employment and to assist organisations meet increased demand for services including emergency relief.
6) Rent Relief
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The government will provide rent relief for business tenants that have been significantly impacted by the COVID-19 restrictions. State Government agencies will provide full rent relief for tenants of commercial, retail, industrial and other non-residential sites that have been forced to close or are significantly impacted as a result of COVID-19. The rent relief will provide relief to impacted tenants from the date they were forced to close their business or were significantly impacted to 30 June 2020.
For more information about these packages visit the relevant websites below:
Australian Government | Australian Tax Office | Banks - Small Business Relief Package:
NSW | VIC | QLD | SA | TAS | ACT | NT | WA