Get up to speed on the Government Assistance for Businesses hit by Coronavirus
Your accountant should have been in touch with what these incentives mean for you, however many accountants are being overwhelmed with owners who have businesses that are required to shut down.
Financial Support from the Australian Government for NDIS Providers
Providers may be eligible to apply for Australian Government support for business in response to COVID-19.
National Financial Assistance for Providers
The Department of Treasury website contains information about how the Australian Government is supporting Australian businesses to manage cash flow challenges and retain employees.
Assistance includes cash flow support to businesses and temporary measures to provide relief for financially distressed businesses.
- JobKeeper payment
- ** Cash flow support for small and medium businesses
- Temporary relief for financially distressed businesses
- Increasing the instant asset write-off
- Backing business investment
- Supporting apprentices and trainees
- Not-for-profit organisations
- Support for sole traders
State Assistance for Providers
Each state in Australia has its own COVID-19 response Website which contains info about resources, training, financial support.
** NOTE: This is one assistance package that NDIS providers need to focus on:
The Government is providing up to $100,000 to eligible small and medium-sized businesses, and not-for-profits (including charities) that employ people. There is a minimum payment of $20,000.
Financial Support from the NDIS for Registered NDIS Providers
To help NDIS registered providers to continue to deliver supports to participants through this time, the NDIA is introducing a number of changes, including:
- An advance payment to registered providers (registered for this by 31 March)
- A temporary 10 % increase to the price limit of some Core and Capacity Building supports (for 6 months)
- Changes to the cancellation terms for provision of services
The NDIA will temporarily increase price limits by 10% for the following critical supports, effective 25 March 2020:
- Assistance with Daily Life (not including Supported Independent Living)
- Assistance with Social and Community Participation
- Improved Health and Wellbeing (not including personal training)
- Improved Daily Living Skills
Note: The latest support catalogue (price list) identifies by the addition of “(Includes COVID Loading.)”
These changes will be in place for six months. The NDIA will review this change in 3 months to assess if the changes continue to be appropriate.
The NDIA has increased the flexibility of the cancellation claiming policy:
From 30 March 2020, providers are now able to claim 100% (instead of 90%) of the agreed support price for a cancellation at short notice
The definition of ‘short notice cancellation’ has been broadened to 10 business days notice an applies if the participant:
- does not show up for a scheduled support within a reasonable time, or is not present at the agreed place and within a reasonable time when the provider is travelling to deliver the support; or
- has given less than ten (10) clear business days notice.
Providers can only claim for a cancellation if they have not found alternative billable work for the relevant worker and are required to pay the worker for the time that would have been spent providing the support.