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ATO doesn’t consider the JobKeeper payments as a part of aggregated turnover

ATO doesn’t consider the JobKeeper payments as a part of aggregated turnover

JobKeeper payments have been considered as assessable income. But there are certain concerns regarding the status of JobKeeper payments as whether they fall under ordinary income or statutory income.

For those who don’t know about it, under this scheme, the business which has been affected the most due to the outbreak of Corona COVID-19 will get money from the government (in the form of subsidy). This assistance is being given to all such businesses so that the employees of all such businesses will get the wages.

As per s328-120, if the JobKeeper payments would become a part of the aggregated turnover, it would decide whether some entity is eligible for different concessions and other measures, instant asset write-offs, base rate entity tax rate, and the refundable R&D tax offset.

Now ATO has made it very clear that the JobKeeper payments are ordinary income but are not derived in the ordinary course of business. So, they are not included in aggregated turnover.

There were certain confusions about whether the JobKeeper payments fall under the category of ordinary income or not in order to calculate the aggregated turnover as said by Tracey Dunn. When asked about this situation, she said the following, “After including the JobKeeper payments in aggregates turnover, there would be some major consequences. Things like CGT concessions of small businesses, the income tax concessions of small businesses, other R&D involvements can push many businesses to threshold after this decision.”

Here are some changes that have taken place in this scheme:

  1. The JobKeeper scheme has been extended until March 28, 2021.
  2. A detailed test of the turnover of the applicant’s firm will determine his eligibility.

Some of the factors that determine the eligibility for this scheme include:

  1. For the businesses having a turnover of at least $1 billion or more and the latest turnover has been reduced by no less than 50%.
  2. The businesses which have turnover less than $1 billion then their turnover of this period should be reduced by 30% or more.

To get the benefits of this scheme, the businesses should apply to the concerned department of the government along with the documents showing a downfall in the turnover. They also have to show the total number of employees working in their firm. But the name of the employees should be mentioned in the book of that business from March and that employee must be active in the same business at present.

It was known to the RSM and they asked about it to the experts. “The ATO has responded very quickly and they modified this information. So, it is clear that they consider JobKeeper payments as an ordinary one and assessable to the employer. But it can’t be included while calculating the aggregated turnover.”

Importance of LinkedIn for International Students

In this age of the internet, there are a lot of social media platforms. But all those have been designed for the purpose of fun except for one. It is called LinkedIn. LinkedIn is a completely career-oriented platform where the posts and interactions are related to the works. It is a great platform for all of the working class people irrespective of their background whether they have completed accounting training, tax training, or any other training, this is the best platform for you.

Why you should be using it before you start your graduation:

Even if you are not a graduate at this time, you should start using LinkedIn. It is only because we are living in such a time when most of the works around the world are being done online. So, it will provide you with ample opportunities to make ready for industries in the future. There are several employers who look at the social media presence of the employee to check the taste and preferences of that employee. And LinkedIn is a place that can give you the best knowledge about what goes on inside the industries.

A basic user guide for LinkedIn:

Like all the other platforms, you should start using it by making your profile first. The profile making is not so simple as it requires several skills and other preferences. Once you are done with these details, find the groups where professionals are engaged in chats. Once you start following those groups, always keep an eye on the tab that provides news about those groups. It will keep you updated about the present situation in the industries.

The ideal profile for students:

This is the part where most of the students fail because they don’t have much experience and want to appear unique among others. You should take care of the finer details that you have to fill in. At first, your profile picture should look professional. If you are trying to mention the experience that is primarily concerned with work, it is not possible because you don’t have that. You should be mentioning the skills relevant to the jobs that you want to do in the future.

If you have made some connection with someone, you should prefer sending them personalized messages. Only this way you can make important connections and you will be able to catch the attention of the employers.

What is there for international students:

There are some additional tips for international students. If you are studying abroad, you should keep these points in your mind while making your profile non LinkedIn:

  • Don’t forget to write about your background in the profile. Your skills may be unique enough to grab the attention of the employers.
  • Every activity of yours should seem professional to others. It helps a lot in making a good impression of yours in the minds of your employers.
  • At least one recommendation is mandatory in your profile.

If you are living in Melbourne, there are various institutions that provide the best accounting training in Melbourne, tax training in Melbourne. You would get a lot of help in getting a job in the future after the completion of such courses.

Conclusion:

If you are unable to find good guidance on the internet, Accounts NextGen is the best place where you should be. We are determined to provide the most relevant information that matters to you.

What can you do to be unique after Graduation

The number of students who graduate every year is in millions. But a study suggests that only 3 percent of those graduates are good enough to get a job. In this blog, we will talk about some key points that would make you suitable enough for getting a job. Certain things are lacking in most of the aspirants. Go through this blog carefully to get an idea about that.

So, any student studying at some graduation college will want to become one of those 3 percent who makes it to the job. As per the report of the Australian Association of Graduate Employers, there are about 33 applications for one job after graduation.

Most of the people know that the majority of the employers see academics at first and then they will look for qualities like leadership and others. But there are some other things as well which matter. Take a look at the list below:

          1. Communication skills:

  • About 90% of employers think it is the most important skill of an employee. The communication skill comprises of elements like transfer of feedback to and from someone, ability to listen, and understand what someone is saying, skill to present some idea. But one thing you should keep in mind that communication skills alone can’t help you get a job.

    2. Ability to work in a team:

  • Having good team-work abilities is very crucial for working in an organization. To be good at it, you need to have better communication skills, able to avoid conflicts and if conflicts arise, you should be able to resolve them quickly, the ability to decide a goal and make a roadmap to achieve it, etc. This quality is usually found in most of the candidates but you should always try to be good at it day by day. You should care about it even if you are going for an internship like accounting training, tax training etc.

    3. Prior knowledge of the organization where you have applied for the job:

  • There are many companies that prefer employees who have better information before getting a job there. This quality is necessary because the employers believe that having good knowledge about the industry before getting a job will make you more suitable for that job and you will need less time to adapt to that working environment. Here are some ways you can know more about your employers:
  • Go to the official website of that company and read carefully about everything that you find there.
  • Try to get some information about the projects completed by that company.
  • Take a look at the challenges that your company is facing right now.

    4. Emotional skills:

  • It is also regarded as one of the important skills for getting a job. Having better emotional skills means that you have control over your emotion which eventually will lead you to control the emotions of those who are working around you. Any employer wants their employees to be good psychologically for better performance that is why emotional skills play a role in getting you a good job.

    5. Your awareness about commerce:

  • One thing you should always make sure that any firm runs for-profit and that profit is measured in terms of money. Commercial awareness plays an important role in understanding the financial situation of your company and those who are associated with it. This will make you able to assist your company in taking strategic decisions.

After all these, you should keep in mind that certain qualities can make you stand apart from others no matter where you are. Patience plays a very important role in getting you out of trouble in most of cases. In the same way, if you are resilient, you will get well after some failure very quickly. The most important thing in your life is to keep your mind in a stable state all the time. You can very easily do it if you are resilient.

Conclusion:

If you are living in Melbourne, there is no need to worry much about getting a good job because this city is full of opportunities. There are several institutes that are well- known for providing the best accounting training in Melbourne, best tax training in Melbourne, etc.

Whenever you think you are in a situation where the road ahead is not visible, Accounts NextGen is there for your help. Our main motto is to provide the customers with authentic and most relevant information. Visit our official site for more information.

How to design a unique cover letter

As you all know what a cover letter is? In case you are not fully aware of it, it is a cover letter composed to apply for a job. The standard format of a cover letter is very simple. In the beginning, the person should mention his objectives for going to a particular company. And some other relevant things are mentioned later on.

As there are a lot of freshers in the market who have a little knowledge about designing their CV, Cover Letters, etc. And there are those persons who are trying for many years and that has made them better as compared to the freshers.

Here is a list of things to help you make your cover letter unique:

        1. Start with very careful sentences:

  • No matter whether you are applying for a job, tax training, or accounting training, you should always start with some sentence that seems unique to the reader. If you start in a traditional way, there is a chance that the employer will not read the whole cover letter. In the beginning, you should mention some of your most significant achievements. Keep in mind that the achievement is relevant to the job post you are applying for. This is enough to grab the attention of the employer.

    2. Try to look professional and be genuine
    :
  • Almost everyone is looking for an employee who will fit in the work culture of that company and the employee should think out of the box. Your sentences should be filled with a little bit of humor. This way you will avoid making sentences that include too many technical words. Your cover letter should be full of the things that you consider most important and you will consider speaking those things in your interview.

    3. Choose the templates properly:

  • These are the things that make your cover letter different from others. You should choose the templates that make your cover letter more precise to the point. There should not be extra designs that may annoy the employer. The design of fonts should be uniform all over the cover letter. You don’t need to think much about it because a lot of online platforms are available to design your cover letter.

    4. The Cover letter should be free from any mistake:

  • Most people care a lot about the other things and at the last moment, they prepare their cover letter or resume. At that point in time, it is very likely to have some spelling mistakes and other errors. These things are enough to ruin all your efforts. Even if you have missed a comma, that may also become a matter of concern. You should get your cover letter verified by someone who is better than you in checking these things.

    5. You can try to make a video for this purpose:

  • This step we don’t regard as compulsory but you can try if you are willing to do so. Videos play a very important role in telling a lot of things in less amount of time. But you should make a video which has good quality audio and video. Your employer should clearly hear what you are saying. Be in a completely normal state while shooting the video. If you complete this step carefully, there is a chance that your cover letter would be considered as unique among others.

Conclusion:

If you are unable to find a good source of information that may educate you about getting a good job or preparing for the job, Accounts NextGen is there to help you. We provide you the authentic information to help you get a good job. If you are living in Melbourne, you can choose from many accounting training in Melbourne or tax training in Melbourne. Courses related to finance are very helpful in getting a job in this environment.

The way to get jobs for the future accountants in the changing environment of COVID-19

The lifestyles of people around the world have changed a lot due to the spread of Corona COVID-19. There are various things that have changed or you can say almost every sector has experienced some changes in this period of time.

Some experts of recruiting people from Hay surveyed about this situation and came up a few things that matter if you are an accountant and planning to get a job. It is always advised to have a certificate of accounting internship for getting a good job.

There were around 1100 employees in this survey and about 51% of those people insisted that 3 things matter the most in getting a job in this diverse environment. Those are:

  1. Industrial experience
  2. Cultural fit
  3. Well-designed CV

Nick Deligiannis (managing director of Hays in Australia and New Zealand) said, “In such a state where their companies have suffered severe losses, the employers are in no mood to take any risk. SO, they are looking for the best quality employees. So the aspirants need to have all the essential information highlighted in their CV.”

The type of experience you will have depends a lot on your accounting training and the organizations where you have worked in the past.

Any employer wants you to prove that you can do a job better than others. So, if you present an accounting internship program, it will add a lot to your abilities. You have to prove your competence at this point. One way you can do it is by showing your capabilities for the growth of the organization and relevant facts in your CV to fit in that job.

Here cultural fit means your compatibility with the work culture of an industry. You need to be fully aware of the working environment in the organization you are going to work. If you do proper research on this topic before your interview, your answers will be more aligned to the expectations of the employer. And that would be a fantastic characteristic of yours.

While making your CV, you have to make sure that you should include the facts/things in your CV that are easily quantifiable. Start by mentioning the tasks that you have completed in your accounting internship. Quantifiable things are very important in proving your abilities for a specific job. And one thing you have to keep in mind that your CV should have an acceptable format.

Most of the aspirants fail to quantify the things mentioned in the CV because they have no idea about how to make it. Here are some tips about that:

Mentioning only the growth of the organization that you were working in is not enough. You have to mention the percentage of growth. The number of team members that you have managed in a project is also an important thing to mention. When given a time frame, what is the quantity of work that you can deliver is a very relevant point to mention in your experience. This is the way you should design your CV for the maximum chance of getting a job.

Soft skills are also very important for being shortlisted for interview in an organization.

As the work culture has suddenly changed due to the spread of Corona COVID-19, there are a lot of individuals who have no idea about how to make their CV more suitable for a job. This is only because the demands of the employers have also got changed.

The final result of this survey revealed that 39% of the persons who are seeking a job are completely unaware of the ways of getting to an interview, 33% of the aspirants are a little bit aware of this situation while there are 28% jobseekers who know about how to land a job in this changed scenario.

Conclusion:

If you are unable to find a true source for getting information about what is going on in the financial sector around you, Accounts NextGen is the best option for you.

How the accountants should advise the SMEs in providing loan

The spread of the Coronavirus has impacted the world so much that a large number of small and medium scale industries are under a state of pressure because they are on the lowest state of cash flow in history.

This situation can’t be eradicated so easily as the businesses across Australia are not completely aware if the plans that the government has made available for assisting the businesses across the country.

The Certified Practicing Accountant (CPA) in Australia has helped and still helping in a lot of such troubles. To make such a large group of people aware of this situation more and more people are needed by the government having completed at least an accounting internship. Then only they will be able to transfer the authentic information in simple words. They are removing all the obstacles that an employer would face. CPA has worked very effectively in making the business owners aware of the way to get funds from JobKeeper if the business is eligible for that.

As per the statement of CPA, the banks of Australia have played a major role in making the SMEs aware of this situation. Having a large number of people with accounting training in an organization is necessary for coping with such situations. A large number of SMEs have cleared their doubts regarding bank loans with the help of banks. But if you take a look at this situation broadly, it has been found that there is a large number of people who are not getting any help from anywhere. The simple reason behind it is they don’t know where to go for the help that they are seeking.

As per Ana Marinkovic from National Australian Bank, this situation has become so challenging only because most of the businessmen are reducing their expenses and they are also trying shift to the online platforms for sales. After we get the virus under control, there are some doubts about the way consumers start spending their money. It is uncertain how much time it would take for the common people to get back to their old habits of spending money.

“In the later phase when we all will get rid of this virus there are major roles that accountants will play in reshaping the business of our country (especially the small and medium-sized businesses)” said Joe Formichella (Head of Small Businesses at Bendigo Bank).

According to Joe Formichella, most of the problems of the businesses that have been affected so far can be resolved if the business owners consult the concerned accountants very early. It will give the business owners enough time to think and know about how much money they are going to get and where to go for the fund. Other things like the time required to repay that money and other things can also be made clear very easily. The demand of the time at present is to fund the small business owners until the time when the situation becomes normal.

The National Australian Bank has launched a new program called the Small Business Hub. It will primarily focus on supporting the small and middle-sized businesses that have been affected by this pandemic. It will help in the process of digitizing, and making the businesses able to sustain the loss that they have suffered so far. No matter which kind of business you have, if you have someone who has completed even a basic accounting internship program, you can easily project the situation of your business for the upcoming 6-7 months. And that would solve a lot of your problems.

The Basis for providing financial support:

There are some factors that decide whether the lender would fund some business or not. At first place, the lender needs to know about the history of that business. The cash flow statements, balance sheets, profit and loss statements like things tell a lot about the potential of the business.

Based on this information, the lender will know about the ability of the customer and the expected time that the customer would take to repay the amount. These are the foremost essentials that matter the most for providing loans to someone.

After analyzing all these things, the lenders will see the complete forecast/projection of the business for the upcoming 12 months.

After gathering all the information mentioned above, people at the banks try to figure out whether the business owners have a genuine reason to get support or not.

Threatening situation of cash flow in the future:

According to Formichella, there are about 30% of owners of SME who are preferring not to pay their loans in the upcoming 6 months. This is only because nobody wants to take any risk and the situation that they are in has not been caused by them.

Most of such people are in a state of panic as they are seeing that most of the schemes run by the government will last till the end of September.

After we get through all these situations, there is a fear of whether the small and middle scale industries will meet the requirements of cash flow in the future.

Conclusion:

If you are having difficulties in finding a good source of information regarding these matters, Accounts NextGen is the perfect spot for you. We are in this business for a long time to provide you authentic information about finance.

How the businesses can adapt to the new normal

The spread of the Coronavirus around the world has caused so many troubles that a lot of businesses whether big or small had to change their business model to sustain the changing demands.

There were several businesses that failed terribly in this everyday changing environment while there are others who made it through this hard time only because they modified their business model. In such a hard time the importance of people who have completed even an accounting internship has increased significantly.

Many companies have shifted their production plans a little bit. Some car manufacturers were seen making ventilators, and many other small scale industries are making sanitizers, masks, and other things that they have never done in the past. They did it because the things mentioned above are in high demand right now. Even the small businesses which have some employee who has good accounting training, they can take such strategic decisions.

And other institutions like gymnasium and dance classes moved to online platforms using the latest applications like Zoom and Google Meet. These cloud-based platforms have helped them a lot in staying connected to their potential customers.

An extraordinary step:

Porter Davis is a big name in the home building industry of Australia. After the lockdown was imposed in Australia, his business shifted to an online model overnight. Using applications like Zoom and other technologies, he provided a 3-D virtual tour of the home to be sold, and then the customers would choose whether to buy it or not.

These types of businesses are done with clients sitting face-to-face. But Davis managed to change it in one night. Shawn Patterson (the general manager at marketing and sales of this company) said that what the people are seeing right now is an effect of a long-term vision. This company has invested millions of money in digitizing the day to day tasks four years ago.

Davis has performed more than 40,000 virtual tours and a large number of contracts have been signed based on those tours. All these efforts were made possible because Davis was successful in promoting his business using digital media.

In an interview, Davis has made it very clear that even the lockdown is eased, his business will never return to a complete offline mode like the earlier days.

Importance of Digital Media in this time of pandemic:

According to PwC (PricewaterhouseCoopers) said in 2018 that the private sector output can be enhanced by an additional amount of 49.2 billion Australian dollars if they shift to digital media for the day to day transactions.

But nobody was caring about it till the lockdown was imposed due to COVID-19.

Sean Leong (an expert in Digital transformations) says that most of the businesses had no idea about what to do for starting the digitization of their product, but the pandemic has forced them to do so.

There is an education design company based in New Zealand which has also moved to a completely digital model in a short span of time. They created a team to make this effort successful and developed a model that has a full production studio. By doing so, they were able to see a growth of 52 percent by having their subscribers in about 75 countries of which customers from 69 countries were new customers. Nanogirl has also reduced the cost of 1 lesson and they are also providing. For each new subscriber, they are also giving these chapters for free to someone who can’t afford it.

According to Leong, any businessman who is running his business successfully, it is not recommended to stick to the traditional model. Instead, they should always try to find some new ways that may help them evolve their business plan.

As you can see in the case of Nanogirl, they tried to go online for sustaining the change in the market but the result that they got was more than they expected from this decision.

New working model for restaurant and other such businesses:

A popular family company in Australia called Winning Appliances has also shifted to an online model to cope with this situation and they have been successful in doing so. All they did was to start video conferencing that enables their customers to choose their products online. The online support and assistance via telephone were enhanced to make the process of virtual cooking very easy.

COO of the winning group has said that they have used modern technology for making their business even better. This positive effect of this decision is very much visible as the number of deliveries in the month of April was 69000.

The case with a restaurant called Italian and Sons is almost the same. During the lockdown when all the restaurants were shut down, the owners of this restaurant started a pick-up and delivery system for the materials that they are engaged in selling. The customers can place an order using an application and the restaurant will deliver that product to your location.

The turnover at the end has not improved so far but the business owners have been benefitted from these decisions so much that they are thinking in implement this online model even when the lockdown is lifted.

If you have employees in your company who have completed some basic accounting internship program, the chances of your company to land in a stressful situation like this is very low.

Evolution of the medical facilities around the world:

There are many doctors who have moved to online platforms for checking up the situation of their patients. Many journals and reports have mentioned that there were some physicians in China and some other countries who were checking up to 100 hundreds of patients daily.

The way to make your business secure for the future:

There are many ways that would help you to make the future of your business secure if something like this happens in the future. These are some crucial points that you should consider:

  • Try to understand where exactly the human work is needed. If anything is not so typical, you can make it automated.
  • Always provide training for your employees to make them able to adapt to the changing environment.
  • Consider the importance of Digital media. Don’t always rely on physical media.
  • Make the processes simple and clear which are performed on a daily basis.
  • While taking any decision, you should focus on the fact that whether your decision is based on some personal interest or the demands of your customers.

Some admirable evolutions of the business models around the world:

There are several examples that will make you believe that it is not that hard to cope with situations like Corona COVID-19 if you understand the problems clearly. Take a look at these companies who made most out of this situation:

  • com is a Chinese company that was selling its products online using the college forums and chat groups on social media. They were doing so because they were completely unprepared for this situation. But now they have become one of the largest ones in this field.
  • Deliveroo is a UK based firm that delivers the essentials like cereals and other tinned goods. Now the Australian customers of this company can get the products on their doorsteps by ordering the products online.

Conclusion:

There are many sources that provide you the information about many things. But for the amateurs, it becomes quite hard to decide the authentic source. Accounts NextGen is in this business for a long time. Feel free to visit our official site for more information like this.

IRS urged to stop sending notices for unpaid taxes until it catches up on mail backlog

Rep. Richard Neal, D-Massachusetts, who performs a significant role in tax-writing House Ways and Means Committee, has recently urged the internal revenue service to stop sending notices on unpaid taxes to the taxpayers.

However, this was happening at the agency because of the Mail Backlog that turned out as the consequence of the global pandemic, COVID-19.

Owing to this problem, many taxpayers were still receiving ‘balance-due notices’ that perhaps have created a tense situation for most people among you.

The officers have stated the reason behind it. After the global pandemic, most of the mails have remained unopened, even taxpayers filled their online tax return to the IRS a month ago, but still, it was happening. Similarly, after the employees returned to work, the entire process began to deal with all these unopened emails. But, this wasn’t the instant solution as the number of mails was in millions.

Therefore, to manage the situation, the IRS decided not to address the payment’s final processed date and only post the receiving date payment. And taxpayers also don’t require to cancel their checks sent to IRS, as they’ll slowly review the mail to ensure taxpayers don’t get any penalties or interest.

But Neal suggested the IRS that in addition to sending lots of notice, IRS can set up an online portal for taxpayers to understand their tax return smoothly.

In the context of this suggestion, Neal says that taxpayers can quickly provide information to the IRS about their previous mails. However, Neal also requested IRS to assure taxpayers that no penalties or charge has knocked their doors, as because of the pandemic, the agency was delaying in processing their payments.

According to IRS official reports- already IRS has piled up a massive backlog of unopened mails.

Therefore on Wednesday, Neal wrote a letter to the commissioner of the IRS (Charles Rettig) and defined all the problems that taxpayers are facing right now. Neal urged the IRS to stop sending out the entire notices that are introducing lots of unnecessary stress on taxpayers.

Because of these emails, taxpayers are daily contacting their tax return agent as this problem is coming at that time when only a limited staff is coming for duty, and no telephone assistance is available to answer them.

Neal also wrote ” to not to make backlog problem a taxpayer problem” indeed, IRS should carefully review each mail and ensure everything before sending, so that a taxpayer doesn’t get penalized unnecessarily. Otherwise, the IRS should leave sending the notices to the taxpayers.

Therefore, last week, the IRS updated its web page with new information that is clearing the taxpayers’ entire doubts. But due to COVID-19, most of the mails may still be unopened. Thus, to avoid penalties while filing the individual tax return, taxpayers must remember that they don’t cancel their checks as IRS will continue to process them to ensure that the fund is available or check isn’t bounced.

Currently, the IRS provides relief from bad checks to provide equitable and fair treatment to the taxpayers. But in most instances, interest and charges may still apply.

Congratulations on Bharathi’s full-time Assistant Accountant position in BAE Systems Australia!

Hi Accounts NextGen team,

I would like to first thank you all, especially my trainers who have guided me through my training and whose insights have greatly helped me in securing a job in my field of choice i.e accounting.

I had prior experience in accounting in my native country. Even though I did have an overseas qualification that matches up to the required Australian qualifications, I was unable to secure an accounting job. Therefore, I had to take up a different job not related to my experience.

After a break due to my maternity leave, I decided to check the opportunities to get an accounting job. It was at this point that I got to know about Accounts NextGen Internships through a friend. I enrolled for Xero Assistant Accountant Programme. I did not know about this software earlier, but the expert guidance of the trainers and the course modules helped me to develop a good understanding. The exposure through internship was of great value, something that I did not get an opportunity during my University studies, with the real-time scenarios enhancing my learning.

Being a full-time mother, the online sessions were very flexible, and I did not feel any compromise in the quality of instructions and learning. The internship was an added benefit on my resume and my understanding which did have a positive impact during my interview process. I got the opportunity for the interview through referral and the positive reference provided by Accounts NextGen did boost my chances.

The overall experience with Accounts NextGen has been a fulfilling one and provided me with the extra edge to gain a job in the current competitive environment. I would favorably refer their training programs to others and do hope many would continue to benefit like me.

Business Update – August 2020

Now the period of unlocking is going to start to bring the economy back on the track. COVID-19 has hurt the business economy all over the world. No country is there which did not suffer from the economic crisis in this pandemic situation.

But this is the high time to start the businesses and keep them on track again. The latest business updates in August 2020 are going to re-establish the companies back.

Several Government Extended Loans Due to COVID-19

The governments will extend the loan schemes until June 2021 for small, medium, and large businesses. The second phase will initiate from October 1, 2020, by implementing the following changes:

  • The loans will be provided for business purposes other than the working capital loans
  • The loan sizes will be increased up to four folds from $250,000 to $ 1 million.
  • In addition to the unsecured loans, secured loans are implemented.
  • Maximum loan terms will be provided to the business individuals.

Business Optimism

Mckinsey & company research proves that the process of business optimism will be increased now. Where most organizations receive downfall in the business and face uncertainty, there are still many sectors that are flourishing and demand consumer return.

In the meantime, the entrepreneurs need to be more optimistic and take some risk to open the gateway of new cashflow and manage business success. But small businesses don’t have that profit margin as large companies have to deal with the economic crisis.

Thus, in that situation, they need to adapt better business strategies and manage the problems and adapt according to the changing conditions.

The JobKeeper Changes in September

The previous week, the Australian Prime Minister announced some changes in the JobKeeper subsidy scheme and extended till March 2021. JobKeeper 2.0 will be the next phase of this scheme and start in September end with a reduced rate of wages.

The full-time workers will get $1200 fortnight instead of $1500, and those who work part-time will receive a $ 750-fortnight payment. Wherein JobKeeper 3.0 that will start from January 4, 2021, will further get reduced wages rate. The full-time worker will receive $1000, and part-timers will receive $650.

Reassessments Would Be Done in October and January

The reassessment will be done for the organizations from September 28, 2020, who are seeking to avail of the benefit of the JobKeeper scheme. To benefit from this extension, the companies and business organizations need to show their eligibility and turnover that they receive during June and September 2020.

If they can demonstrate that they met with a business crisis and face a decline in the turnover, then they are eligible to get the benefit of the JobKeeper scheme.

Technological Tools Advancements to Work from Home

In this COVID-19 pandemic situation, technological tools play a significant role in the business landscape. These tools bring flexibility to work in home zones. The companies have been transiting their employees to work from their remote sites. The future offices are likely to shift in the homes.

The essential digital tools play a crucial role in keeping the workflow and overcoming business challenges. These tools help in boosting the productivity and working efficiency of the employees.

Following are the tools recommended for business purposes:

Video Conferencing Apps

  • Zoom
  • Skype
  • GoToMeeting
  • Google Hangouts

Chat Apps

  • Slack
  • WhatsApp
  • Signals

Other Productivity Apps

  • Asana
  • Trello
  • Basecamp Business
  • Dropbox business
  • com

COVID-19 Scams Alert

Scammers are active in this COVID-19 pandemic situation. People are giving money to these scammers blindly for the sake of COVID-19 charities and other needs. Where the fraud is new, some also scam people by saying to invest in new businesses to have a handsome profit.

But people need to be on alert mode and defend themselves from these kinds of activities. Make sure not to share your personal business-related information and other details that may threaten your bank account and give you a jerk of debts.

Boost the Digital Capabilities

In Australia, small businesses can access business support to accelerate their digital capabilities. The Australian Small Business Advisory Services Digital Solutions provide small businesses better and advance digital solutions to deal with their business crisis. The sole traders with 20 employees can also use these digital solutions to grow their business.

 

Our Offices

Melbourne Office
Level 19,
180 Lonsdale Street
Melbourne, VIC 3000

(03) 9015 8540

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Sydney Office
01 Sussex St Darling Park
Tower 2 , Levels 20 & 21
Sydney, NSW 2000

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Brisbane Office
Level 27,
480 Queen St
Brisbane, QLD 4000

(07) 3011 6316

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Geelong Office
73 Malop Street Geelong VIC 3320

(03) 52982000

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Adelaide Office
Level 5, Tower 2,
121 King William Street
Adelaide, SA 5000

(08) 8423 4554

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Perth Office
Level 29 221,
St Georges Terrace
Perth, WA 6000

(08)9288 0603

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Available 24/7
T: 1300 22 36 39

Emails
info@accountsnextgen.com.au

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