Over 2 days, the Victorian Government has announced two new support packages delivering over $3 billion in “cash grants, tax relief and cashflow support.”
There are almost no details on the packages as yet – just the announcements. We will bring you more as soon as they are released. And, some of the $3 billion appears to be in the form of deferrals (not waivers) and includes past initiatives.
Here is what we know so far:
Grants
Cash grants for SMEs “most affected by coronavirus restrictions”
$822 million for a third round of Business Support Fund Grants of $10,000, $15,000 or $20,000 to businesses with payrolls of up to $10 million (depending on size). No details are available as yet and it is unclear what the eligibility criteria will be to meet the description of “most affected by coronavirus restrictions”.
Grants are not open as yet. See Third Round of Business Support Fund Grants.
$100 million Melbourne city recovery fund
In partnership with the Melbourne City Council, grants will be available for businesses to move their activities outdoors to fund COVID-19 safe infrastructure and events. The Melbourne City Recovery Fund includes:
- $30 million for small to medium sized businesses to rapidly adapt their operations to be more COVID Safe and comply with health directions
- $30 million for COVID Safe events and cultural activities to attract visitors back to the central city
- $40 million on infrastructure works to support the return of people to the central city through making the city more safe, accessible and sustainable.
$3k grants for sole traders
$3k grants will be available to sole traders who will continue to be affected by restrictions – tenants or licensees in a commercial premises or location who will be closed, heavily restricted, or restricted – under the second step of the recovery roadmap. Sole traders who operate from a home office or are able to reopen on 28 September 2020 are unlikely to qualify.
Approximately 33,000 sole traders are expected to qualify for grants generally in accommodation and tourism, non-permitted retail, media and film production, gyms, creative studios, outdoor entertainment, private museums and galleries, etc.
Creation of a Licensed Venue Fund
Grants of between $10,000 and $30,000 for licensed venues. And, liquor license fees for 2021 will be waived. Once again, the details on these initiatives are unclear.
$100 million Melbourne city recovery fund
In partnership with the Melbourne City Council, grants will be available for businesses to move their activities outdoors to fund COVID-19 safe infrastructure and events as Australia heads into the summer months. The Melbourne City Recovery Fund includes:
- $30 million for small to medium sized businesses to rapidly adapt their operations to be more COVID Safe and comply with health directions
- $30 million for COVID Safe events and cultural activities to attract visitors back to the central city
- $40 million on infrastructure works to support the return of people to the central city through making the city more safe, accessible and sustainable.
Outdoor Eating and Entertainment Package
- Grants of $5k will be available to help take the café culture outdoors. The grants will be available to licensed and unlicensed cafés, restaurants, takeaway food businesses, pubs, taverns, bars and clubs with a payroll of less than $3 million.
- $29.5k will go to local councils to support the implementation of swift and streamlined permit, enforcement and monitoring processes – $500k for city and $250k for rural councils.
Support for Alpine resorts
Grants of up to $20,000 to help businesses cover their resort fees.
Payroll tax
Payroll tax will be deferred (not waived) for businesses with payrolls up to $10 million for the full 2020-21 financial year. Originally the deferral applied to the first half of 2020-21.
Businesses with payrolls of $10m or over can defer payroll tax for the first quarter of 2020-21 under previously announced initiatives.
Fees and charges
The 50% stamp duty discount for commercial and industrial property across all of regional Victoria brought forward to 1 January 2021 and the Vacant Residential Land Tax waived for properties that are vacant in 2020.
General
Grants of up to $20,000 for chambers of commerce to support members. Plus, funding for a return post COVID-19 including $44 million for business workshops to assist with digital transformation and investment in products such as Shopify and Squareonline.
And, $8.5m in additional funding for the Click for Vic website promoting Victorian businesses.
More information can be found on the Business Victoria website over here.
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This article was written by a third party.
