Boosting Cash Flow for Employers (Coronavirus Economic Response Package) Act 2020
First boosts
7(1)
If an entity is entitled to a cash flow boost for a period covered by subsection 5(2) , the amount of the entity ' s cash flow boost for the period is:
(a) if the period is the first period for which the entity is entitled to a cash flow boost - the greater of $10,000 and the entity ' s withholding period total for the period; or
(b) otherwise - the entity ' s withholding period total for the period.
Caps on amount of first boosts
7(2)
The amount worked out under subsection (1) must be reduced to the extent (if any) necessary to ensure that the sum of the entity ' s cash flow boost for the period, and its cash flow boost for any previous periods:
(a) does not exceed $50,000; and
(b) if paragraph (1)(b) applies - does not exceed the sum of the entity ' s withholding period totals for those periods.
Note:
This may result in that amount being reduced to nil.
7(3)
For the purposes of subsections (1) and (2), treat an entity ' s withholding period total for a period that is the month of March 2020 as being 3 times the actual amount of that withholding period total.
Second boosts
7(4)
If an entity is entitled to a cash flow boost for a period covered by subsection 6(2) , the amount of the entity ' s cash flow boost for the period is:
(a) if the period is a month - 25% of the total of the amounts of cash flow boosts to which the entity is entitled for periods covered by subsection 5(2) ; or
(b) if the period is a quarter - 50% of that total.
7(5)
Subsection (6) applies if:
(a) both of the following requirements are satisfied:
(i) the period of the month of June 2020 applies to the entity under subsection 6(3) ;
(ii) the period of the quarter ending on 30 September 2020 applies to the entity under subsection 6(3) ; or
(b) both of the following requirements are satisfied:
(i) the period of the quarter ending on 30 June 2020 applies to the entity under subsection 6(3) ;
(ii) the period of the month of July 2020 applies to the entity under subsection 6(3) .
7(6)
Despite subsection (4), the Commissioner may adjust the amount of the entity ' s cash flow boost for a period worked out under that subsection to ensure that:
(a) the total of the amounts of cash flow boosts to which the entity is entitled for periods covered by subsection 6(2) equals the total of the amounts of cash flow boosts to which the entity is entitled for periods covered by subsection 5(2) ; or
(b) the total of the amounts of cash flow boosts to which the entity is entitled for periods covered by subsection 6(2) does not exceed the total of the amounts of cash flow boosts to which the entity is entitled for periods covered by subsection 5(2) .
Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited
CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.
The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.
