Each Australian State and Territory has implemented COVID-19 response measures.
A summary of some of the measures is provided below which include payroll taxes, loan funding, land tax relief and a framework for landlord/tenant rent arrangements. It is important to note there is additional detail (in some cases, significant), so please seek appropriate advice.
New South Wales
- A waiver of payroll tax for three-months for businesses with payrolls up to $10m.
- The next round of NSW payroll tax cuts will be brought forward by raising the threshold limit to $1m in 2020-21.
- A deferral of payroll tax payments for all businesses for six months.
- Businesses with payrolls of $10m or less are eligible for 25% reduction in annual liabilities for 2019-20 when completing their annual reconciliation.
- Landlords that provide tenants impacted by coronavirus with rent relief will be eligible for a reduction in land tax. This reduction will be the lesser of the amount of rent reduction provided to a tenant for any period between 1 April, 2020, and 30 September, 2020, or 25% of the land tax otherwise payable.
- A six-month payroll tax deferral will be extended to all businesses across the state, and refund of two months’ worth of payroll tax.
- Landlords may be eligible for a land tax rebate, reducing land tax liabilities by 25% for eligible properties for the 2019-20 assessment year.
- A three-month deferral of land tax liabilities for the 2020-21 assessment year.
- A waiver of the 2% land tax foreign surcharge for foreign entities for the 2019-20 assessment year.
- A waiver of State land rent for six months.
- If a landlord provides tenants impacted by COVID-19 with rent relief, they will be eligible for a 25% discount on their land tax, while any remaining land tax can be deferred until March 2021.
- Businesses with annual taxable wages up to $3m will have their payroll tax for the 2019-20 financial year waived.
- Small businesses that pay payroll tax will receive a one-off grant of $17,500.
- The $1m payroll tax threshold brought forward six months to July 1 2020.
- Payroll tax payments to be deferred until 21 July, 2020, for COVID-19 impacted businesses.
- Land tax relief grant of 25% for the 2019-20 bill for commercial landlords that provide rent relief to small businesses that have suffered a 30% reduction in turnover due to COVID-19.
- 25% reduction on 2019-20 land tax liability that is only eligible for landlords who pass on the reduction as rent reduction to their tenants.
- Deferral of the third and fourth instalment for 2019-20 land tax liabilities.
- 6-month payroll tax waiver if Australian grouped wages <$4m.
- A 6-month payroll tax deferral if Australian grouped wages >$4m.
- Small and medium businesses with an annual payroll of up to $5m in Australian wages can apply for a waiver of payroll tax payments for the three months up to June 30 2020.
- A one-year payroll tax rebate for new employees under 24, employed between April 1 and December 31.
- One-off $5,000 grants for businesses that hire an apprentice or trainee.
- Heavy vehicles over 4.5 tonnes will have the registration and road component of motor tax waived for 12 months.