On Thursday, 26th March the South Australian Government unveiled a $650 million stimulus package. The major ticket items for the state’s businesses were payroll tax concessions and waiving of liquor licensing fees. Below is a summary of the state package from the SA Treasury:

As part of the Jobs Rescue Package, the Government is also providing the following support to businesses and households:

Payroll tax relief

  • Business groups with annual Australian wages of up to $4 million will receive a six month payroll tax waiver. Eligible business groups will not be required to pay any payroll tax in the months of April to September 2020.
  • The payroll tax waiver is expected to provide maximum assistance of $84,150 over the six months to an estimated 2,400 business groups.
  • Business groups with annual Australian wages above $4 million that can demonstrate they have been significantly impacted by COVID-19 will, upon application, be able to defer payroll tax payments for the six months from April to September 2020.
  • For these eligible business groups, payroll tax payments that were due to be paid from April to September will now be due from October 2020.
  • Further information is available at https://www.revenuesa.sa.gov.au/grants-and-concessions/covid19-relief

Land tax package

  • Under the new measures, businesses and individuals paying land tax quarterly in 2019-20 will be able to defer payment of their remaining 2019-20 land tax payments for six months.
  • In addition, the Government will increase the existing land tax transition fund relief included in the land tax reforms due to begin from July.
  • It was previously announced that transitional relief equivalent to 50% of the increase in a 2020-21 land tax assessment would be available to eligible taxpayers whose land tax bill had increased as a result of the changes in aggregation of land commencing from 1 July 2020.
  • This relief will be increased to 100% of the increase in an eligible taxpayer’s 2020-21 land tax assessment, subject to the existing criteria – saving some investors up to an additional $50,000.
  • Further information is available at https://www.revenuesa.sa.gov.au/grants-and-concessions/covid19-relief

Job Accelerator Grants

  • The Government is relaxing the existing Job Accelerator Grant (JAG) criteria requiring an employer to have maintained their overall employment levels to be eligible for their second JAG payment.
  • The Government understands that due to the impact of COVID-19, some employers may not be able to meet this criteria.
  • Applications for the second JAG payment from 1 February to 30 June 2020 will be assessed on staffing levels as at 31 January 2020 rather than the relevant anniversary date.
  • Further information is available at https://www.revenuesa.sa.gov.au/grants-and-concessions/covid19-relief

Liquor licensing fees

  • The Government will provide a waiver of annual liquor licencing fees for 2020-21 for the following liquor licence categories:
    • On Premises
    • Residential
    • Restaurant & Catering
    • Club
    • Liquor Production & Sales
    • Small Venue
  • Holders of a General and Hotel licence who have a bottle shop will receive reduced fees, or a full waiver if they do not have a bottle shop.
  • Packaged Liquor Sales licence fee will not be reduced or waived. Licensees who believe that they should receive a discount may still apply for a fee reduction through the CBS website from 1 June.
  • For further information please visit https://www.cbs.sa.gov.au/liquor-licence-holders-and-covid-19#

Cost of living concession

  • The Government will also provide a once off boost of $500 and bring forward the 2020-21 Cost of Living Concession for households who are receiving the Centrelink JobSeeker Payment, assisting those who are unemployed or lose their jobs as a result of the coronavirus restrictions.
  • For eligible homeowners, their 2020-21 payment of $215.10 will now become $715.10. Eligible tenants will receive $607.60.
  • For further information available at https://www.sa.gov.au/topics/care-and-support/concessions-and-grants/concessions

We are here to help. Please contact your HLB Mann Judd representative should you wish to learn more.