EXTENDED EMPLOYMENT DATE

Effective from the fortnight beginning 3^rd August 2020, the JobKeeper rules have recently been extended to allow additional employees to qualify. The updated rules now include employees employed from the 1^st July 2020 (previously 1^st March 2020). This means that some additional employees may become eligible for JobKeeper who were previously ineligible.  This includes:

• A full time or part time employee on 1^st July 2020 or
• A long term casual employee (employed on a regular and systematic basis for at least 12 months) as at 1^st July 2020 and not a permanent employee of any other employer.

NEW EMPLOYER

Another key change to the JobKeeper rules is that employees or eligible business participants who were previously nominated for JobKeeper with another entity can potentially be nominated for JobKeeper with a new entity if certain conditions are met.
 
The individual must have ceased to be employed or actively engaged in the business (as a business participant) of the original entity before 1^st July 2020 (and therefore ceased receiving JobKeeper payments), and commenced their employment with the new entity by 1^st July 2020.

NEW ELIGIBLE EMPLOYEES

To be eligible as a new Employee/Business participant, individuals must be:

• Employed as at 1^st July, 2020
• Not in receipt of the following during the JobKeeper fortnight:
• Willing to be nominated (and completed Nomination Form)
• 18 years or older
• An Australian Resident
• Employed on a full-time, part-time, fixed term or long term casual basis

The eligibility status of employees that met the requirements as at 1^st March 2020 is preserved, meaning they do not need to re-test eligibility at 1^st July 2020.

IMPORTANT ACTION PLAN ITEMS

1. Identify any new eligible employees engaged at 1^st July 2020 to commence JobKeeper from 3^rd August 2020.
2. Have new eligible employees complete the required nomination form by the 21^st August 2020 for them to agree to be nominated.
3. Make any top up payments for eligible employees.The ATO have extended the deadline for making payments to new eligible employees for the JobKeeper fortnights commencing 3^rd August 2020 and 17^th August 2020 to be paid by 31^st August 2020.
4. Ensure that your employees are flagged as receiving JobKeeper through Single Touch Payroll.
5. Include these employees in your monthly JobKeeper declaration for the month of August (available at the start of September).

We at MGR are here to provide you with professional advice and assistance relating to all COVID-19 economic measures and stimulus support. Our expert team of accountants can help guide you through this process so you are confident you are doing everything right for your business and employees.
 
Call us today on (03) 5443 8888 or email us at mgr@mgr.com.au