Important Notice: Director Identification Number Regime

Based on the recent ATO announcement, the Australian Business Registry Services (ABRS) will be introducing and maintaining the Director Identification Number as of 1 November 2021.

What is a Director Identification Number?

The Director Identification Number (Director ID) is a 15 digit unique identifier that will help prevent the use of false or fraudulent director identities with the new registry services of the ABRS. This will make it easier to trace director relationships across companies and help identify and eliminate involvement in illegal activity such as illegal phoenix activity.

What you need to do as of 1 November 2021?

Individuals who are currently a director or will be acting as a director in the future must apply for a Director ID based on the transitional arrangements specified in the table below:

 

How do individuals apply online for a Director ID?

1. Go to the ABRS website to access the ABRS Director ID service and learn about the Director ID requirements
2. Verify your identity using your myGovID credentials or create a myGovID using your smartphone and Australian identity documents. For more information visit How to set up myGovID.
3. Conduct a proof of record ownership by answering two questions about the individual’s ATO record. See below for further information.
4. Complete a Director ID application on the ABRS platform to receive the Director ID instantly.

If you have any questions in relation to this please contact your client manager on (02) 8543 6800 or email them directly.

Jobsaver, Disaster Payments & Micro-Business Grant to be phased out

As vaccination targets are being met across NSW, the Government has announced the procedure for phasing out the stimulus currently in place, as follows:

JobSaver and Micro-business grant

At 70% Double Vaccination Rate (16 years and older)

 JobSaver:

• Payments will reduce from 40% to 30% of weekly payroll
• Minimum weekly payment will be $1,125
• Maximum weekly payment will be $75,000, and
• Weekly non-employing business payment amount will reduce to $750

The Micro-Business Grant will not change

At 80% Double Vaccination Rate (16 years and older)

JobSaver

• Payments will reduce from 30% to 15% of weekly payroll
• Minimum weekly payment will be $562.50
• Maximum weekly payment will be $37,500, and
• Weekly non-employing business payment amount will reduce to $375.

Micro-business Grant

• Fortnightly amount will half to $750

There are also changes to the Covid-19 disaster payment and weekly eligibility is required.  Payments will also be reduced from the 70% vaccination milestone.

On 30 November 2021 the JobSaver and the Micro-business grant programs end.

If you have any questions in relation to this please contact your client manager on (02) 8543 6800 or email them directly.

Following on from our newsletter last week, we can now confirm that fortnightly confirmations will be required in order to continue to receive JobSaver payments.

Businesses will be required to confirm the following fortnightly:

1. That the business continued to experience a decline in turnover of 30% or more for that fortnight compared to a prior comparison period.

1. That the business maintained its employee headcount stated in the initial application if it’s an employing business.

The Accounting Profession is currently liaising with Service NSW on the timing of the first confirmations and we will update you as soon as this is clarified.

For HYD clients who we have recently assisted with the JobSaver engagement, you will receive a specific update from your client partner or manager by 12pm Wednesday 22^nd September.

If you have any questions in relation to this please contact your client manager on (02) 8543 6800 or email them directly.

From Friday the 10th of September, you will need to reconfirm your business still meets the eligibility criteria every fortnight to continue to receive your ongoing support payments.

That is, you need to confirm with ServiceNSW that you have maintained your employee headcount and that you continue to experience a decline in turnover of more than 30%.

In order to be eligible for the JobSaver payment for the most recent fortnight, the business must have experienced a decline in turnover of at least 30% from the 30th of August to the 11th of September 2021 compared to either the same period in 2019, OR the same period in 2020, OR the 2 week period immediately before any NSW restrictions (12 to 25 June 2021 inclusive). However, you must choose the same year for your comparison period as in your initial application.

The Next Steps:
To reconfirm your eligibility, you must log into the MyServiceNSW account that was used to submit the application and navigate your business profile.

To ensure you are ready to test if you have experienced a decline in turnover, we suggest reconciling your bookkeeping files as soon as possible up to the 11th of September.

We note that the decline in turnover will be measured based on the GST turnover. As such, if you report GST turnover on your BAS to the ATO on an accrual basis, you should use this method. If you report GST turnover on your BAS to the ATO on a cash basis, you should use this method.

There is currently no need to submit any supporting evidence or accountants letter.

If you are unsure of your eligibility, please contact HYD Advisory on (02) 8543 6800 or email your client manager directly so that we can arrange for an accountant to assist you with your turnover check.

Our team are currently working remotely and are available to assist you with lockdown support for your business. We want to reassure clients that we’ll be on hand to talk with you about your business issues and give you the confidence you need to make good decisions to keep your business alive in these difficult times.