With the current state-wide lockdown in effect we wanted to remind everyone of the Government assistance available.
One grant available is the 2021 Covid-19 Business Grant which is available to businesses who have a turnover above $75,000 who meet the eligibility criteria below.
If you’re a business, sole trader or not-for-profit organisation in NSW and you’ve been impacted by the recent COVID-19 restrictions, you may be eligible for a one-off grant of $7,500, $10,500 or $15,000.
The 2021 COVID-19 business grant provides support for businesses that experienced reduced demand or had to close due to the public health orders. It will provide businesses with cash flow support for the first 3 weeks of the Greater Sydney lockdown (26 June to 17 July 2021).
Eligible applicants across NSW can use the grant for business costs incurred from 1 June 2021 to 17 July 2021, including:
- salaries and wages
- utilities and rent
- financial, legal or other advice
- marketing and communications
- perishable goods
- other business costs.
A qualified accountant, registered tax agent or registered BAS agent may apply for the grant on behalf of your business.
Your accountant will need to provide a letter of authority from you to show that they are authorised to act on behalf of your business if they are not listed as an associate on the Australian Business Register.
Applications will close after 11:59pm on 13 September 2021.
Use our guide to compare the 2021 COVID-19 support grants and work out which one suits your situation.
To be eligible for the grant, you must:
- have an active Australian Business Number (ABN)
- demonstrate your business was operating in NSW on 1 June 2021
- have had total annual Australian wages of $10 million or less on 1 July 2020
- have had an aggregated annual turnover between $75,000 and $50 million (inclusive) for the year ended 30 June 2020
- have business costs for which there is no other government support available
- have experienced a decline in turnover of 30% or more due to the public health order over a minimum 2-week period from 26 June 2021 to 17 July 2021 compared to:
- the same period in 2019, or
- the same period in 2020, or
- the 2-week period immediately before the Greater Sydney lockdown began (12 June to 25 June 2021)
- for employing businesses, maintain your employee headcount from 13 July 2021 while receiving payments from this grant. See the guidelines for definitions.
- for non-employing businesses, have your primary income source come from this business. If you have more than one non-employing business, you can only claim payments for one business.
Three different grant amounts will be available depending on the decline in turnover:
- $7,500 for a decline of 30% or more
- $10,500 for a decline of 50% or more
- $15,000 for a decline of 70% or more.
Businesses and not-for-profit organisations on the NSW border with Victoria impacted by the Victorian Stay at Home Directions that began on 27 May 2021 may use a different comparison period to demonstrate a decline in turnover. For each of the 3 grant amounts, these businesses must demonstrate the relevant decline in turnover over a minimum 2-week period from 27 May 2021 to 17 July 2021 compared to:
- the same period in 2019 or
- the same period in 2020, or
- the 2-week period immediately before the Victorian Stay at Home Directions began (13 May to 26 May 2021)
Non-employing businesses are not eligible to apply for this grant if individuals associated with and deriving income from the business received a Commonwealth COVID-19 Disaster Payment between 26 June and 17 July.
Certain entities, including those earning passive income (such as rents, interest or dividends), government agencies, local governments, banks and universities, are not eligible for this grant. See the full list of ineligible businesses in Attachment B of the guidelines.
What you need
- a MyServiceNSW Account
- your proof of identity
- your valid ABN/ACN number
- your business banking details for payment
- Australian income tax return
- qualified accountant, registered tax agent or registered BAS agent details.
Evidence to support eligibility
If your business is on the highly impacted industries list, you’ll be required to:
- declare that you meet the eligibility criteria
- provide details of your qualified accountant, registered tax agent or registered BAS agent
- submit an Australian income tax return or other documentation that shows your business’ aggregated annual turnover was between $75,000 and $50 million (inclusive) for the year ended 30 June 2020 (you can choose to redact your tax file number)
- lodge other supporting documents as required to demonstrate you meet the eligibility criteria.
If your business is not on the highly impacted industries list, in addition to the above, you must also submit evidence that you experienced the relevant decline in turnover due to the public health order in the specified period through a:
- letter from a qualified accountant, registered tax agent or registered BAS agent, using the template provided, or
- previously submitted letter from your qualified accountant, registered tax agent or registered BAS agent to Service NSW that verifies your business’ decline in turnover.
Non-employing accounting businesses (for example, sole traders) must submit a letter from a qualified accountant, registered tax agent or registered BAS agent that is not an employee or director of the business, an associated entity of the business, or a director or employee of an associated entity of the business.
For southern border businesses, the turnover period is from 27 May 2021 to 17 July 2021 compared to the same period in 2019, or the same period in 2020, or the 2-week period immediately before the Victorian Stay at Home Directions began (13 May to 26 May 2021).
If you’re not able to provide a letter from an accredited accountant or tax professional to verify your decline in turnover, call us on 13 77 88.
If your business does not meet all of the eligibility criteria, you may be able to apply for the grant if you can provide evidence to support the alternative circumstances outlined in the guidelines.
Successful applications may be subject to an audit. Service NSW can request a combination of the following documents to support its determination of eligibility and use of funds in accordance with this grant’s Terms and Conditions:
- accountant’s letter
- prior BAS statements
- income tax declarations
- audited profit and loss statements
- receipts and invoices from purchases.
You’ll need to keep all documentary evidence relied upon in your application for a minimum of 5 years.
Proof of identity
Two proof of identity documents are required. They may include:
- Australian driver licence
- Medicare card
- Australian passport
- Australian birth certificate
- Australian travel visa
- Australian citizenship certificate
- Australian certificate of registration by descent
- Australian ImmiCard.
How to apply
- Check you meet the eligibility criteria.
- Have your documentation and evidence ready for uploading.
- Select the ‘Apply online’ button.
Note: You cannot save and resume your application once you’ve started.
- Log in, or create your MyServiceNSW Account.
- Select and verify your identity documents.
- When your identity is verified, select ‘Continue’.
- Confirm your personal details.
- Enter your business details and answer the eligibility questions, then select ‘Next’.
- Provide information about your decline in turnover and upload your supporting documentation, then select ‘Next’.
- Enter your bank details, then select ‘Next’.
- Review your application.
- Check the declaration boxes.
- Select ‘Submit’ to complete your application.
When you submit your application, you’ll receive a confirmation email with your application reference number. If you do not receive this email within 5 minutes after completing your application, please check your junk mail folder, and then call 13 77 88 if you’re still unable to locate the email.
After your application is received, it will be reviewed by Service NSW. We’ll contact you if we need additional information to support your application. If your application is approved, we’ll transfer funds to your specified bank account within 5 to 7 business days from the approval date.
If you’re not able to complete your application online, please call us on 13 77 88.
- Only one grant application can be submitted for a single ABN.
- Only one application is permitted where there are multiple businesses under a single ABN.
- The 2021 COVID-19 business grant cannot be used to cover expenses for which other government support is available, such as government fees and charges that would be covered by the small business fees and charges rebate.
- If you received previous COVID-19 business grants, such as the 2020 small business COVID-19 support and small business recovery grants, you can still apply for this new grant if you meet the eligibility criteria.
If you feel your business is eligible for this grant please contact our office to assist with your application. If you are unsure if you are eligible it is recommended you contact our office so we can review your file and check if you are eligible or not.
Stay safe everyone.