The Victorian government on 13th September announced a $3 billion support program for businesses that were affected by the extended COVID-19 lockdown by the state in a major way. This is to enable the economy to restart in few months. Disclosed by Premier Daniel Andrews, the new round of stimulus from the state government is twice the dollar value of funding given to businesses on the course of the pandemic, now at $6 billion.
Generally, the current package is divided into four parts:
1.The Victorian Export recovery package, which includes a $15.7 million export recovery package to cater for logistics and supply chain issues caused by COVID-19, and starts new export channels.
2.Business survival grants which include $1.08 billion in funding to assist business get out the rest of stage four.
3.Business adaptation support, which includes $44.2 million to help SMEs to get back on track at the start of the pandemic; and
4.Waivers and tax deferrals of about $1.8 billion to reduce the burden on companies trying to recover from 2020 to 2021.
In this post you will learn what you need to know, giving details of each aspect and how to get to the fund.
Victorian Export Recovery Package
Businesses will be linked to international markets via virtual trade missions and help to use their export strategies to attend to the fast-changing global market. The following are the initiatives as contained in the Export Recovery Package:
Global Gateway Program
This program will back up established exporters in Victoria to assist them in stabilizing their business and take after their export strategies in response to the issues caused by the COVID-19 pandemic. You can now access grant applications and will close at 11:59 pm on Sunday, 17th January 2021.
How to access:
You can submit your application to the Global Gateway program that is opened till 11:59 pm on 17th January 2021. Notification of application will be sent to each applicant through email, and successful applicants will get a letter of offer.
Successful applicants must sign a grant agreement with the Department of Job, Precincts, and Regions (DJPR) stating the commitments and obligations under the grant, including the whole funding terms and conditions.
If you are still unsure if you are eligible or need more details about the program, call the Business Victoria Hotline on 13 22 15 to be in touch with a Global Victoria representative.
– Virtual Trade Missions
Global Victoria will deliver a variety of Virtual Trade Missions (VTMs) in 2020/21 to link businesses to international opportunities and assist them in conducting their global business all across digital platforms.
– eCommerce Program
This program will give Victorian’s businesses chances to increase their exportation by using an eCommerce platform within a certain international market and via other eCommerce channels.
Business Resilience Package
Under Business Resilience Package, you will enjoy the following:
– Business Support Fund – 3rd rounds
Grants of $10,000, $15,000 or $20,000 (based on the size of the business) will be provided to about 75,000 eligible businesses with payrolls of about $10 million by the Business Support Fund’s third round. Many sectors will be closed, locked down, or highly restricted as metropolitan Melbourne and Victorian regions reopen.
Grants provided by this program will help businesses in these sectors come out of the extended lockdown trading period. This program is a continuation of the first round of the Business Support Fund, which ended on 1st June, as well as the Business Support Fund – Expansion, which ended on 14th September.
Access: Applications are now open for the third round from 23rd November until funds are exhausted.
– Sole Trader Support Fund
Grants of about $3,000 will be provided by the $100 million Sole Trader Support Fund to individual traders working in the parts of the economy that will still be affected by the lockdown, such as media and film production, outdoor entertainment, creative studios, gym owners, private museums as well as galleries.
Sole traders are required (for eligibility sake) to be a tenant or licensee in a commercial environment or location and work in a restricted sector of the economy, highly restricted or not opening under another step of the road map.
Access: The application will be closed on 23rd November or until funds are exhausted, depends on which is earlier.
– Licensed Hospitality Venue Fund
About $251 million is dedicated to this program. It supports hospitality businesses that are eligible with grants of about $30,000 depending on their location and highest patron capacity. Businesses that have submitted applications for support under the Business Support Fund’s Third round and this program will only be available to the highest amount under both programs.
Eligible businesses will be sent an invitation to apply for Business Victoria with the email address connected to their liquor portal account.
Access: The application will be closed on 23rd November or until funds are exhausted, depends on which is earlier.
– Support specifically for Business Chambers as well as Trader Groups
About $3 million grant is designated to business chambers and trader groups in Victoria for initiatives that will help members as we get into recovery and COVID Normal. Eligible groups will be given grants of $10,000, $20,000, or $50,000 through a highly competitive process.
Access: Business chambers and trader groups in Victoria that are interested in the grant were invited to submit an expression of interest on or before 12th October 2020 (might have closed now). An invitation will be passed across to eligible groups to give a breakdown project proposal for more assessment.
– Support for Alpine Businesses
The state government has announced support for alpine businesses with grants of about $20,000 to be provided to assist in covering their resort fees, saving them a total of $4.3 million. This will be added to the Regional Tourism Accommodation Support program, which ended on 14th September and gives accommodation providers in the Victoria region affected by cancellations caused by the city lockdown with direct support financially.
Business Adaptation Package
You will enjoy the following package under Business Adaptation Package:
– Melbourne City Recovery Fund
Knowing that Melbourne’s CBD has experienced a setback under lockdowns to reduce coronavirus spread, a $100 million fund has been announced by the Victorian Government to reshape the state’s CBD in partnership with the city of Melbourne. The application will be opened to small and medium businesses to apply for grants worth $30 million to assist them in moving outdoors along with COVIDSafe events.
COVIDSafe events as well as cultural activities will receive support with the $30 million to entice customers back to the CBD when safe. Another $40 million will be provided against the provision of physical improvements to the CBD streetscape.
Access: Applications have closed for grants up to $10,000, and announcements of recipients are now being announced.
– Outdoor Eating and Entertainment Package
About $87.5 million will be provided by the Victorian Government to councils and businesses outside the CBD of Melbourne to support various outdoor eating. Council will be able to access about $500,000 for the city and regional councils, or $250,000 for rural councils to deliver lesser or waived permit fees or purchase new infrastructure and equipment to support outdoor eating and entertainment.
About $58 million is also available for grants of about $5,000 for hospitality businesses with a yearly payroll not up to $3 million to help them get used to outdoor eating.
Access: Applicants can submit applications until 11th December or until funds are exhausted, depends on which is earlier.
– Small Business Digital Adaptation Program
This program provides $20 million, enabling eligible businesses to try and get access to digital products, tools, and training to develop digital capability in their everyday operations.
Immediately businesses have bought a product, they can apply for a $1,200 rebate to use the product for 12 months. The program also gives digital adaptation training and workshops for free to assist registered businesses in implementing online tools in their respective businesses.
Access: Application for digital products and workshops will not be stopped until funds are exhausted or until 28th or February 2021, whichever is earlier.
Rebate purchase applications will remain open until 31st March, 2021, or until funds are exhausted.
Waivers and Deferrals
– Payroll Tax
There will be a waiver of 2019-20 payroll tax for businesses that have annual taxable wages of about $3 million, giving back the business $550 million as needed. Businesses payrolls around $10 million can now extend their payroll tax for the full 2020-2021 financial year until the 2021-2022 financial year, giving businesses a $1.7 billion boost in their cash flow.
Exemption of payroll tax for extra payments made under the JobKeeper program
Employers that are participating in JobKeeper, the Commonwealth Government’s program, will have the additional payments they make to workers exempted from payroll tax. Exemption of the entire $1,500 per fortnight will be observed on payments to workers that have been stood down. The additional payments are also exempted for the aim of calculating WorkCover Premiums.
– Liquor License Fees
There will be a waiver on 2020’s renewable liquor license fees. Reimbursement will be done for businesses who have paid this before. There will also be a waiver of 2021 liquor license fees, saving $27 million for businesses.
Stamp duty discount is given to a commercial and industrial property in regional Victoria
The 50% stamp duty discount offered for commercial and industrial property all over regional Victoria will be extended to 1st January 2021.
– Landfill Levy
About $33 million will be assigned to twenty-five percent of the Congestion Levy this year, with the remaining balance deferred.
– Land Tax
Landowners who have a minimum of one non-residential property and total taxable landholdings under $1 million can choose to defer their 2020 land tax payment until 31st March 2021. Homeowners who provide rent relief to tenants affected by COVID-19 may be qualified for a 50% waiver on the 2020 land tax of the property.
Commercial property owners and occupiers can get a 25% waiver of the 2020 land tax of the property. The remaining tax payment can be deferred to 31st March 2021 if their business fulfils the eligibility requirements.
What are the Requirements to Be Eligible for this Programs?
Only small businesses, sole traders, and micro-businesses are eligible for the Small Business Digital Adaptation Program. Applicant must fulfil the following to be eligible for the program:
- Must operate a business physically located in Victoria
- Must possess an Australian Business Number (ABN)
- Must have been using that ABN on 13th September 2019
- Must be properly registered for Goods and Services Tax (GST) on 13th September 2020.
How to register for Trials and Workshops?
You will need to fill out the online registration form by answering some short questions. You may be required to verify the information provided after registration and make sure you are eligible for the program.
If you are sure of your eligibility for any of these grant and you discovered that you are not eligible, you can get a review of your application by contacting professionals.
At Trusted Aged Care Cleaning, we are not only doing cleaning, we are also committed to help our clients have access to much-needed information about anything going in the state while they stay healthy.