SA Government Covid Grants for businesses for the period 27 December 2021 - 9 January 2022

In response to the recent Omicron Variant breakout, the South Australian Government has announced a support package for employing and non-employing businesses impacted by the restrictions that were put in place on 27th December 2021.

Tourism, Hospitality and Gym Grant – (Automatic Payment)
Businesses in the Tourism, Hospitality and Gym sectors that previously received the COVID-19 Tourism and Hospitality Support Grants will receive an automatic payment of:

  • $3,000 for employing businesses with turnover less than $2 million in 2019-20 or 2020-21

  • $10,000 for employing businesses with turnover of greater than $2 million in 2019-20 or 2020-21 (tourism and hospitality sectors only)

  • $1,000 for non-employing businesses

  • Additional grant for businesses operating in CBD (employing and non-employing): $1,000

If your business fell in this category, no application was required.

These payments were to be made in the week starting 4 January 2022.


Tourism, Hospitality and Gym Grant – (Turnover Based Payment)
This grant is available to both employing and non-employing businesses in the Tourism, Hospitality and Gym sectors or those who were required to operate under the 1 person per 7 Square metre density restriction and meet the following criteria as of 27 December 2021.

  • Be located in South Australia;

  • Have a valid and active ABN and be registered for GST; and

  • Not be engaged in illegal activities.

For the employing business grant:

  • Employ people within South Australia; and

  • Have payroll of less than $10 million in the 2020 or 2021 financial year.

Businesses must also meet the applicable decline in turnover period.

You will need to declare that your business has experienced at least a 30% reduction in turnover due to the restrictions put in place for a period of two weeks from 27 December 2021 to 9 January 2022 compared to:

If your business commenced trading prior to the 2019/20 financial year (before 30/6/19):

  • the turnover test period is the two weeks from 27 December 2019 to 9 January 2020 for businesses actively trading in 2019-20.

If your business commenced trading after the 2019/20 or 2020/21 financial year (after 30/6/19, but before 1/12/20):

  • the turnover test period is the two weeks from 27 December 2019 to 9 January 2020 or 27 December 2020 – 9 January 2021.

If your business commenced trading on or after 1/12/20:

• you must declare and retain evidence to support a 30% reduction in turnover for the same 27 December 2021 to 9 January 2022 period compared to The average fortnightly turnover from when the business commenced operations to 30 November 2021.

Grant Amounts

Whilst you are not required to provide supporting information that you have had a reduction in turnover at the time of the application, you will be required to have this information readily available should it be requested from you. Acceptable supporting information could be:

  • Turnover comparison data for the relevant assessment periods;

  • Emails or texts to or from clients or suppliers detailing cancelled orders or appointments;

  • Receipts for refunds provided;

  • Invoices or delivery dockets.

Your business does not need to have received the Tourism, hospitality and gym grant – automatic payment (as mentioned above) to be eligible for this new grant, however, to receive this grant a business MUST submit an application.

Applications must be submitted online at https://www.revenuesaonline.sa.gov.au/?a=e&m=sbg11&d=Application

Applications will close on 31 March 2022.


Business Hardship Grant
This hardship grant was introduced to help businesses impacted by health restrictions put in place from 27 December 2021, but are not eligible for the tourism, hospitality and gym grants.

To be eligible for this grant, your business must meet the following eligibility criteria as of 27 December 2021.

  • Be located and operating in South Australia;

  • Not be engaged in illegal activities; and

  • Have a valid and active ABN and be registered for GST.

For employing businesses:

  • Employ people in South Australia; and

  • Have payroll of less than $10 million in the 2020 or 2021 financial year.

Your business will also need to declare and have supporting evidence that you experienced at least a 50% reduction in turnover due to the restrictions put in place for a period of two weeks from 27 December 2021 to 9 January 2022 compared to:

If your business commenced trading prior to the 2019/20 financial year (before 30/6/19):

  • the turnover test period is the two weeks from 27 December 2019 to 9 January 2020 for businesses actively trading in 2019-20.

If your business commenced trading after the 2019/20 or 2020/21 financial year (after 30/6/19, but before 1/12/20):

  • the turnover test period is the two weeks from 27 December 2019 to 9 January 2020 or 27 December 2020 – 9 January 2021.

If your business commenced trading on or after 1/12/20:

  • you must declare and retain evidence to support a 50% reduction in turnover for the same 27 December 2021 to 9 January 2022 period compared to The average fortnightly turnover from when the business commenced operations to 30 November 2021.

Whilst you are not required to provide supporting information that you have had a reduction in turnover at the time of the application, you will be required to have this information should it be requested from you.

Grant Amounts

Applications must be submitted online at https://www.revenuesaonline.sa.gov.au/?a=e&m=sbg12&d=Application

No supporting evidence is required at the time of the application however, you must keep these records for 2 years from the date the grant was approved. Applications may be subject to audit.

Applications will close on 31 March 2022.

Sources:
https://www.treasury.sa.gov.au/Growing-South-Australia/COVID-19/december-2021/tourism,-hospitality-and-gym-grant/guidelines

https://www.treasury.sa.gov.au/Growing-South-Australia/COVID-19

Milanese & Co Accountants