On Monday, 2 August 2021, the Queensland Government announced it will provide $5,000 payments to small and medium businesses across Queensland affected by the current COVID-19 lockdown and lockdowns in other states.
Treasurer Cameron Dick said the $260 million 2021 COVID-19 Business Support Grant program would help small businesses through the current lockdown, particularly as it is the second lockdown within a month.
The 2021 COVID-19 Business Support Grants of $5,000 will be available across the state to eligible small and medium businesses, from all industries.
Support payments will also be provided to eligible impacted large businesses in the hospitality and tourism sector in the 11 local government areas (LGAs) currently locked down.
Further details and guidelines for the making of applications are set to become available in the coming days. For the time being, the following is apparent:
- The $5,000 grant provides support to employing small and medium businesses across Queensland impacted by the South East Queensland (SEQ) lockdown that commenced on 31 July 2021.
- Small and medium businesses are defined as having:
- a turnover of more than $75,000; and
- an annual payroll in Queensland of up to $10 million.
- A business doesn't have to be located in one of the 11 SEQ LGAs but must have experienced at least a 30% reduction in turnover as a result of the lockdown.
- Applications will need to be made online with supporting evidence. Grants will be processed in the order received, by the Queensland Rural and Industry Development Authority (QRIDA).
- Applications for grants will open from mid-August.
- Grant funds will be paid within two weeks of the application being approved.
- More information, including guidelines and details of how to apply, will be available here in the coming days.
- This grant program may be declared as eligible for treatment as non-assessable non-exempt (NANE) income for income tax purposes, as other State grant programs provided in response to COVID-19 have been.
For more information regarding lockdown support for Queensland businesses please contact our Taxation team.