NSW Business Grants Announced After COVID-19 Lockdown
NSW small business grants have been announced after the recent COVID-19 lockdown. Eligible business may receive grants of up to $10,000.
The latest COVID-19 outbreak saw major parts of NSW go into lockdown on 26 June 2021. On 29 June 2021, the NSW Government responded directly to the new lockdown by announcing a new set of COVID-19 small business lockdown grants and packages. These new support packages include small business grants from $5,000 – $10,000, Dine & Discover program changes and payroll tax deferrals for employers.
New Major Packages for Small Businesses
The NSW Government has announced new COVID-19 small business grants available to aid with cashflow constraints caused by recent lockdown restrictions. The NSW Government has provided financial relief to many Australians in the past. Presently, these new NSW lockdown restrictions have caused many business to cease operating, whilst business expenses continue to accumulate. These grants will cover business expenses such as rent, other utilities and employee wages.
Small Business Grants Available
There are three different grant amounts available to aid small businesses, these include:
- $10,000 grant for a 70 per cent decline,
- $7,000 grant for a 50 per cent decline and,
- $5,000 grant for a 30 per cent decline.
Who is Eligible for these Grants?
The grant amount received by businesses depends on the loss the business has incurred during this COVID-19 lockdown period. The loss or decline must have occurred for a minimum two-week period after the lockdown period commencing on 26 June 2021.
There are two streams of grants available, including:
(1) Small business COVID-19 Support Grant or
(2) Hospitality and Tourism COVID-19 Support Grant.
(1): Small Business COVID-19 Support Grant
Small business support grants will be available to small business owners, sole traders and non-for-profit organisations in NSW that:
- Can demonstrate a turnover exceeding $75,000 per annum, yet less than the current payroll tax threshold of $1,200,0000 per annum,
- Have less than 20 full-time equivalent employees,
- Hold an Australian Business Number (ABN) registered in NSW or demonstrate they are a business physically located and primarily operating in NSW.
(2): Hospitality and Tourism COVID-19 Support Grant
Hospitality or tourism business support grants will be available to business that:
- Can demonstrate a turnover exceeding $75,000 per annum and an annual Australian wages bill not exceeding $10 million as at 1 July 2020,
- Hold an Australian Business Number (ABN) registered in NSW or demonstrate that are a business physically located and primarily operating in NSW.
When can Businesses apply for these Grants?
All small business will be eligible to apply for the grants later in July, as per NSW Government updates. Applications are to be made through the Service NSW website.
Changes to Dine & Discover Voucher Program
The following changes to Dine & Discover vouchers include:
- Extension on expiration date of Dine & Discover vouchers until 31 August 2021,
- Dine & Discover vouchers will now be redeemable for takeaway ordering from eligible and registered businesses. Takeaway order will include both in-store pick up takeaway and delivery takeaway orders. However, delivery orders cannot include the use of a third party delivery entity.
Other Government Support
Further support will be given to employers as they can apply for an optional deferral on payroll tax payments. Furthermore, support will be given for a deferral of the hotel June quarter gaming machine tax, with the Chief Commissioner of State Revenue provided for repayment arrangements on a case by case basis.
Additional information regarding COVID-19 business support packages will be made available in the coming days and weeks through the Service NSW website. It is important to keep a look out for new Government announcements, eligibility requirements or updated support grants and packages to ensure you are protecting yourself and your business.
Mai is a Digital Marketing Coordinator at Lawpath, working as part of the Content Team. She is in her final year of a Bachelor of Laws degree at the University of Wollongong. She is interested in Business Law and Employment Law.