Applications Now Open: 2021 COVID-19 Business Support Grant

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The Queensland Government has recently announced the eligibility criteria and details on how to apply for the $5,000 2021 COVID-19 Business Support Grant. Applications for the 2021 COVID-19 Business Support Grants open at 12pm (midday), 16 August 2021 and will close after three months on 16 November 2021.

Completed applications will be processed in the order they are received and will be paid within 2 weeks of being notified that your application has been approved.

In addition, the Commonwealth and Queensland Governments have reached a 50/50 funding agreement that will see the value of the Queensland COVID-19 Business Support Grants rise from $260 million to $600 million. As part of the package additional support for businesses that have had a decline in turnover of more than 30 per cent will include:

  • A $1,000 one-off grant to non-employing sole traders across Queensland
  • Tiered payments based on payroll size for all businesses across Queensland:
    • A $5,000 one-off, top-up grant to small business with payroll of less than $1.3 million (bringing total grant available to $10,000)
    • A $10,000 one-off, top-up grant to medium sized business with payroll between $1.3 million and $10 million (bringing total grant available to $15,000)
    • A $25,000 one-off, top-up grant to large sized tourism and hospitality focused businesses with payroll of greater than $10 million (bringing total grant to $30,000).

Arrangements for providing these increased grant amounts are currently being finalised and will be provided shortly.

Applications for non-employing sole traders are not currently open. This application process is currently being finalised and details of how to apply will be released in the coming days. Clients can Register their interest here.

Who Can Apply

To be eligible, your business or not for profit organisation must:

  • Employ staff (employees must be on your payroll and does not include any business owners)
  • Have an Australian Business Number (ABN) continuously held from 30 June 2021
  • Be registered for GST
  • Have a Queensland headquarters (i.e. your principal place of business is located in Queensland) and have been trading in Queensland on 31 July 2021
  • Not be insolvent, or have owners or directors that are insolvent or an undischarged bankrupt
  • Have an annual payroll of not more than $10 million (except for large businesses and not for profit organisations operating in an identified tourism and hospitality sector) during any of the 2018–19, 2019–20 or 2020–21 financial years
  • Have an annual turnover of over $75,000 during any of the 2018–19, 2019–20 or 2020–21 financial years
    • Note: Businesses that have recently started can provide financial records to show they will reasonably meet this turnover requirement in the 2021–22 financial year
  • Demonstrate the business or not for profit organisation was directly or indirectly impacted by a lockdown event
  • Demonstrate or declare a reduction in turnover of 30% or more during a nominated 7-day period
    • this must include at least 1 full day of a lockdown event when comparing against turnover achieved during the same 7-day period in July or August 2019

or

    • if the 2019 period does not indicate a typical weekly turnover (e.g. for a recently started small business or business that has experienced structural changes), include another comparable period (e.g. the same period in July/August 2020).

Large tourism and hospitality businesses and not for profit organisations must ensure they are undertaking business activities in any of the identified tourism and hospitality ANZSIC (Australian and New Zealand Standard Industrial Classification) code industry areas and meet all eligibility criteria (although you can have an annual payroll greater than $10 million).

Lockdown Events

Lockdown events include the following:

  • South East Queensland lockdown commencing 31 July 2021;
  • Cairns and Yarrabah lockdown commencing 8 August 2021; or
  • any other lockdown in Queensland in August 2021.

How to Apply

You will need to apply online with supporting evidence through the Queensland Rural and Industry Development Authority (QRIDA) portal.

Supporting Evidence Requirements

Supporting evidence requirements for the applications are as follows:

  • Reduction in turnover of 30% or more – you must demonstrate or declare you have experienced a reduction in turnover of 30% or more over a nominated 7-day period (including at least 1 full day of a lockdown event) compared against the same 7-day period in July/August 2019. If the 2019 period doesn’t indicate a typical weekly turnover, include another nominated 7-day period (e.g. the same period in July/August 2020). Provide the following evidence to demonstrate:
    • direct impact: – complete a declaration in your application
    • indirect impact:
      • submit sales turnover information from your business records for the relevant periods; or
      • rely on a dated letter on letterhead issued by a member of CPA Australia, Chartered Accountants Australia & New Zealand, Institute of Public Accountants, registered tax agent or registered BAS agent.
  • Employ staff – you must demonstrate you employ staff (in addition to the business owners and be employed on the business’s payroll). Evidence may include:
    • business financial statements, business payroll records, payroll tax return information; or
    • a dated letter on letterhead issued by a member of CPA Australia, Chartered Accountants Australia & New Zealand, Institute of Public Accountants, registered tax agent or registered BAS agent.
  • Annual payroll up to $10 million – you must demonstrate an annual payroll up to $10 million during any of the 2018-19, 2019-20 or 2020-21 financial years (except for large tourism and hospitality businesses and not for profit organisations operating in an identified tourism and hospitality sector). Evidence may include:
    • business payroll records, payroll tax return information; or
    • a dated letter on letterhead issued by a member of CPA Australia, Chartered Accountants Australia & New Zealand, Institute of Public Accountants, registered tax agent or registered BAS agent.
  • Annual turnover of over $75,000 – you must demonstrate annual turnover of over $75,000 during any of the 2018-19, 2019-20 or 2020-21 financial years. Evidence may include:
    • BAS statements or Australian Taxation Office records; or
    • a dated accountant letter on letterhead from a member of CPA Australia, Chartered Accountants Australia & New Zealand, Institute of Public Accountants, registered tax agent or registered BAS agent.
  • Trading location – to verify your trading location, you may provide:
    • publicly available web information to identify your business operations (e.g. website or social media pages); or
    • utility bills for the business location.

 

If you think you may be eligible for the 2021 COVID-19 Business Support Grant or require assistance in applying for it, please contact your advisor at Hall Chadwick QLD.

Further details on the grant can be found via accessing the following link: https://www.business.qld.gov.au/starting-business/advice-support/grants/covid19-support-grants

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