With the onset of the Omicron variant, we’ve seen a huge spike in Covid-19 cases in South Australia and across Australia and the world. There have been some more relief packages released by the South Australian Government, which are designed to assist individuals that are having to isolate, along with businesses that are struggling due to Covid-19 restrictions. Restrictions were put into place on 27th December 2021 to reduce the speed at which cases would rise due to Omicron.
The grants recognise that the tourism, hospitality and gym industries have been hit extremely hard. They also recognised that due to a reduction in CBD foot traffic, due to a work from home recommendation, that CBD businesses have been hit even harder.
The following grants were introduced to reduce the impact of those restrictions.
South Australian Business Grants
Details can be found at https://www.treasury.sa.gov.au/Growing-South-Australia/COVID-19
There are multiple grants available for different types of businesses.
Tourism hospitality and gym grants
Automatic Payment – An automatic payment of $3000 for employing businesses, $1000 for non employing businesses should occur. An additional $1000 would be added for CBD businesses. For tourism and hospitality businesses with a turnover above $2 million, there is an additional $7000 payment.
Turnover Base Payment – An additional payment for the same amounts is available for those businesses that have seen a 30% drop between 27th December 2021 to 9th January 2022 compared to the same two weeks in 2019/2020, or a comparable period in 2019/2020 for those businesses that weren’t trading during 2019/2020. This payment does not require the automatic payment to be paid, and is applicable for businesses which fall within a number of eligible ANZSIC codes as shown on the treasury website that are required to trade under the 1 person per 7 square metre density restriction. These include restaurants, pubs, accommodation, transport operators, performing arts, gyms and others. Businesses will be required to declare a reduction in turnover due to restricted trading conditions. Other eligibility requirements include being registered for GST.
Business Hardship Grant – December 2021
For other businesses experiencing a 50% downturn of turnover due to COVID-19 restrictions there is a $2000 payment for non employing businesses or $6000 payment for employing businesses. The period for comparison is between 27th December 2021 to 9th January 2022 compared to the same two weeks in 2019/2020, or a comparable period in 2019/2020 for those businesses that weren’t trading during 2019/2020. An additional $2000 is available to businesses that operate in the CBD. This grant is not available to businesses that were paid a grant under the Tourism, Hospitality and Gym grants or the major events support grants.
Major Event Grant – December 2021
Operators of eligible events with expected attendance of more than 1,000 will be provided with a once-off grant of up to $25,000, or $100,000 for events with expected attendance greater than 10,000 people. Events must have a Covid safe plan in place to be eligible.
Applications are to be released shortly according to the treasury website.
Liquor License Fee Relief
The Government provided a waiver of annual liquor licencing fees for 2020-21 for the following liquor licence categories:
- On Premises
- Restaurant & Catering
- Liquor Production & Sales
- Small Venue
In recognition of the current health restrictions introduced from 27 December 2021, liquor licence fees paid/payable by those same venues that met the JobKeeper criteria for the remaining six month period in 2021-22 will be waived/refunded.
Payroll Tax Deferral
Tourism, hospitality, gyms and other eligible businesses impacted by the trading restrictions in place from 27 December 2021 may apply to RevenueSA for a deferral of payroll tax due over the period from January 2022 to March 2022, with these deferred payments due from April 2022.
Supporting documentation is required for all except the automatic tourism, hospitality and gym grants. It is not required at the time of application, but must be made available to the South Australian Government audit process for the following 2 years after grant approval.
If any information in applications is found to be false or misleading, the grant will be repayable on demand.
Information suspected to be fraudulent may be referred to the South Australian Police for investigation.
Applications will now be extended to businesses commencing prior to 30 November 2021. For businesses that commenced trading after December 2020, the comparison period will be the average fortnightly trading activity between when the business commenced and 30 November 2021.
Applications close midnight 31 March 2022.
There is an application portal for each grant available online.
The online application must be completed by an Authorised Officer, being:
- In the case of a business that is a sole trader that employs, the sole trader.
- In the case of a business that is a partnership that employs, a partner.
- In the case of a business that is a body corporate that employs, a director, secretary, public officer or equivalent.
Note: It is permissible for an agent such as an accountant or lawyer to submit the application on behalf of business provided they have been instructed to do so by the above Authorised Officer.