JobMaker hiring credit scheme

COVID-19 measures: how your business might be affected

Don’t overlook the JobMaker Hiring Credit scheme (JobMaker) which was discussed in previous articles. Just to remind you, under JobMaker, the Government may pay your business up to $200 per week if it hires a new employee aged 16 to 29 and up to $100 a week if it hires a new employee aged 30 to 35. The new employee must commence employment between 7 October 2020 and 6 October 2021.

Your business must register with the ATO by 30 April 2021 if it wants to make a claim for the first JobMaker period (1 February to 30 April 2021).

To qualify, the employee headcount and payroll must genuinely increase. Your business cannot claim JobMaker if it merely replaces an employee aged over 35 with one aged between 16 and 35.

JobMaker cannot be claimed for certain new employees, including:

  • relatives, partners if your business is operated through a partnership;
  • directors and shareholders if your business is operated through a company; and
  • certain contractors and subcontractors your business engaged at any time between 6 April 2020 and 6 October 2020.

Tip! The JobMaker scheme is complicated. Contact your tax adviser if you think your business may qualify for JobMaker or if your business is thinking of hiring one or more new employees.

This link that you may find helpful is to the Budget fact sheet – budget.gov.au

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