COVID-19 - Latest Jobkeeper update 27 April 2020

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Employee Eligibility Change for under 18 year olds 

Late on Friday night, the Treasurer released some changes to the JobKeeper program. (Nothing like keeping accountants and bookkeepers on their toes!).  The biggest news is the change to eligibility to 16 and 17 year old employees. This change means that all employees aged under 18 will need to be re-tested to confirm if they are still eligible to receive JobKeeper. 

There are some other changes and clarifications which you can read via the link below.   

"Full time students aged 16 and 17 years old: As noted in the explanatory statement to the existing rules, the benefit of the JobKeeper payment to workers over the age of 16 is justified for those who are financially independent and who require the security provided by participation in the JobKeeper scheme and the maintenance of the working relationship that it affords. The rules will provide that full time students who are 17 years old and younger, and who are not financially independent, are not eligible for the JobKeeper Payment. This clarification will apply prospectively, which would mean an eligible employer that has already met the wage condition of paying such an employee $1,500 for a fortnight could be entitled to a JobKeeper Payment in arrears for that fortnight." 

Other points to note: 

• Over 400,000 businesses have enrolled covering around 2.4 million employees to date – enrolment period to cover April has been extended until 30 May 2020. 
  
• Charities (excluding schools and universities) can choose to exclude government revenue from the JobKeeper turnover test. 
  
• ‘One in, all in’ principle – Once an employer decides to participate in the JobKeeper scheme and their eligible employees have agreed to be nominated by the employer, the employer must ensure that all of these eligible employees are covered by their participation in the scheme.  
  

Treasury’s Link:  https://ministers.treasury.gov.au/ministers/josh-frydenberg-2018/media-releases/jobkeeper-update 

Please contact us if you need any clarification on the above or you would like us to answer any questions regarding your individual circumstances.  At Aegis Business Services we are dedicated to assisting you & your business in this time and look forward to speaking with you.