Update – Registrations are now open for JobMaker Hiring Credit scheme
Once registered, eligible employers can claim the JobMaker Hiring Credit payment for each JobMaker period from 1 February 2021, with payments made in arrears.
To complete registration, employers must provide through either the ATO online services or the Business Portal, their:
For information on eligibility, visit the ATO website here: https://www.ato.gov.au/General/JobMaker-Hiring-Credit/Employers/Eligible-employers/.
For more information on the JobMaker Hiring Credit scheme, please visit the ATO website here: https://www.ato.gov.au/general/JobMaker-Hiring-Credit/In-detail/JobMaker-Hiring-Credit-guide/
JobMaker Hiring Credit – the scheme
The JobMaker Hiring Credit will be available to eligible employers for up to 12 months from employment start date for each additional eligible employee aged 16 to 35 years hired from 7 October 2020 to 6 October 2021.
Eligible employers who can demonstrate that the new employee will increase overall employee headcount and payroll will receive $200 per week if they hire an eligible employee aged 16 to 29 years, or $100 per week if they hire an eligible employee aged 30 to 35 years.
To be eligible, the employee will need to have worked for a minimum of 20 hours per week, averaged over a quarter, and received the JobSeeker Payment, Youth Allowance (other) or Parenting Payment for at least one month out of the three months prior to when they are hired.
The JobMaker Hiring Credit will be available for up to 12 months from the date of employment of the eligible employee, with a maximum amount of $10,400 per additional new position created.
A business cannot receive the JobKeeper Payment and the JobMaker Hiring Credit at the same time.
The Budget includes the previously announced extension to the JobKeeper Payment from 28 September 2020 through to 28 March 2021. This extension includes a tapering of the level of JobKeeper Payment and a two-tiered payment rate. More details on the JobKeeper Payment extension can be found on our JobKeeper 2.0 webpage.
The Victorian Government’s business support grants for small and medium business will be non-assessable, non-exempt (NANE) for income for tax purposes. This treatment will be limited to grants announced on or after 13 September 2020 and for payments made between 13 September 2020 and 30 June 2021.
The Commonwealth will extend this arrangement to all States and Territories on an application basis for similar future small and medium business grant programs.
From 5 October 2020 to 30 September 2021, businesses of any size can claim a new “Boosting Apprentices Wage Subsidy” for apprentices or trainees who commence during this period.
Eligible businesses will be reimbursed up to 50 per cent of an apprentice or trainee’s wages, up to $7,000 per quarter. The subsidy is capped at 100,000 apprentice or trainee places.
The commencement of the previously announced “Incentives for Australian Apprenticeships Program” will be further delayed from 1 January 2021 to 1 July 2021. However, the Government will continue the existing “Australian Apprenticeships Incentives Program”.
From 25 September 2020 to 31 December 2020, existing and new recipients of the JobSeeker payment will receive a further non-income tested support payment of $250 per fortnight (the “Coronavirus Supplement”). This Coronavirus Supplement will also be available to recipients of other social security payments including Youth Allowance and Austudy amongst others.
Due to the impacts of COVID-19, the Government has also temporarily relaxed the partner income test for JobSeeker Payments.
From 27 April 2020 to 24 September 2020, the partner income test taper rate was reduced from 60 cents in the dollar to 25 cents in the dollar above the partner income free area of $996 per fortnight.
From 25 September 2020 to 31 December 2020, the partner income test taper rate will be further revised to 27 cents in the dollar above the income free area of $1,165 per fortnight.
However, individuals are still required to satisfy the personal income test to be eligible for the JobSeeker payment.
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