Aug 25, 2021 Matthew Hung
Victorian Covid Relief Payments Declared Tax Free
Earlier this month, the Federal Government passed legislation to enable the Treasurer to decide which state and territory business support programs would be eligible for tax-free status, known as non-assessable non-exempt (NANE) income.
In light of this, Federal Treasurer Josh Frydenberg has declared amounts received from the following five Victorian business support programs as NANE:
- the Alpine Resorts Support Program (Streams 1, 2 and 3);
- the Business Continuity Fund;
- the Business Costs Assistance Program Round Two – July Extension;
- the Licenced Hospitality Venue Fund 2021 – July Extension; and
- the Small Business COVID Hardship Fund.
The legislation passed earlier in the month also provides individuals receiving COVID-19 Disaster Payments with tax-free payments. Under this program workers who lose 20 or more hours of work a week will receive the full $750 a week, while those who lose between 8 and 20 hours will receive $450.
Our office is currently assisting clients with applications for Victorian and NSW business support grants. How can we help you?