Business Incentives & Grants Better understanding of how the government can help your business

Small Business Grant Payroll Tax Jobs Action Plan Rebate Apprentice and Trainee Rebate Other Business incentives Further information

Small Business Grant Better understanding of small business entitlements

$2000 Grant Small Business Grant Incentive for small business to create new jobs in NSW Fulltime, Part Time or Casual Jobs

Small Business Grant New jobs created from 01 July 2015 to 30 June 2019 Maintain Full Time Equivalent (FTE) increase for at least 12 months Claim the grant after the first anniversary date and is paid via EFT Grant available for full-time, part-time and casual jobs $2,000

Employment maintained for one year Small Business Grant Who is eligible? A job that increases your number of Full Time Equivalent (FTE) employees in NSW New Job Employer with ABN Not liable for Payroll Tax Employment starts on or after 01 July 2015 Eligible business Notify Revenue NSW you have created a new job within 60 days of commencement Employment maintained for one year Works wholly or mainly within NSW NSW Employee

Small Business Grant Who is not eligible? Businesses that are liable to pay NSW payroll tax Contractors, agency workers and people who may have worked for you in the last 12months Continuation of previous employment – merger, takeovers* Person for whom you are already entitled to other state assistance Businesses that would otherwise be exempt from NSW payroll tax Sole traders engaged in their own right *Note: Transfer of eligible employees between group members or when there is a merger or takeover is allowed.  Provided the original employer would have been eligible for the grant had they not transferred the employees, the new employer will also be eligible. 

1 2 3 4 5 Small Business Grant How does it work? You must be a registered business (ABN) and not be liable for NSW payroll tax 2 Employ somebody new to the business 3 Notify Revenue NSW you have created a new job within 60 days of commencement 4 Maintain employment for 12 months with an increase in FTE 5 Lodge claim within 60 days after the anniversary date

Small Business Grant FTE F A/B FTE Calculation Calculate manually or use the online application F = number of full time employees A = number of hours worked by your part time NSW employees in the preceding pay period B = average number of hours worked by your full time NSW employees in the preceding pay period Example: J Citizen starts work on 8 August 2017. FTE excluding new employee: 4 + 17.5/35 = 4.5 As at 8 August 2018, the FTE has to be higher than 4.5 to lodge a claim

How: Lodge a claim online and provide EFT details Small Business Grant Claiming the Small Business Grant When: Within 60 days after the anniversary date (don’t wait for the end of the financial year) How: Lodge a claim online and provide EFT details Note: The grant is pro-rated for part-time and casual jobs.

Small Business Grant C/D Payment of the grant GRANT AGA $2000 EFT payment after the claim is made For part time or casual employees, the grant is pro-rated based on hours of employment AGA = Annual Grant Amount C = the number of hours worked by the employee during the 12 month grant period D = the average number of hours worked by full time employees during the previous 12 months Example: J Citizen worked 20 hours per week (20 x 52 = 1040). Full time employees worked 35 hours per week (35 x 52 = 1820) Grant = $2000 x 1040/1820 = $1,423 If there are no full time employees, use 35 hours.

$2,000 Small Business Grant Supporting Evidence When you register for the grant, you do not need to provide any supporting evidence. However, you must, provide supporting evidence when claiming for the grant. Supporting evidence may include but is not limited to: New jobs / New employee Minimum employment period is12 months Grant is paid after the first anniversary date Business not liable for payroll tax $2,000 Most recent Business Activity Statement (BAS) Personnel or wage records WorkCover records

Payroll Tax Support for the state to provide facilities

Salaries and Allowances Directors fees and contractor payments Payroll tax 2018/19 ‘Wages’ Salaries and Allowances Apprentice/ trainee payments Directors fees and contractor payments Super, Bonuses and Commissions Fringe benefits Leave and Termination payments Shares and options ‘Wages' above $850 000 NSW tax-free threshold Rate is 5.45% Threshold reduced by: Interstate wages Part year employment Business groupings

Jobs Action Plan rebate Employment incentive (up to $6,000)

$6,000 Incentive to create jobs in NSW Jobs Action Plan NEW jobs created from 1 July 2011 to 30 June 2019 Rebate is paid after the first and second anniversary dates Rebate is paid to you via EFT Rebate available for full-time, part-time and casual jobs $6,000 Incentive to create jobs in NSW

How does it work? 1 You must be registered for payroll tax 2 Employ somebody new 3 Complete the online application form to notify Revenue NSW you have created a new job within 90 days of commencement. 4 Maintain employment for 12 and 24 months with an increase in FTE 5 Lodge a claim upon first and second anniversary online to receive your rebate via EFT

Employment maintained for 2 years Who is eligible? New Job A job that when filled increases your number of FTE employees in NSW 01 July 2011 Employment starts on or after July 2011 New employee who started in the last 90 days Employment maintained for 2 years Must always be a person in that job Allowed vacancy of 30 says/year NSW employee Worker wholly or mainly works in NSW Payroll tax on that worker is paid to NSW

Who is not eligible? Person is not a new employee Continuation of previous employment – merger, takeovers * Person is subject to another payroll tax rebate e.g apprentice/trainee Person for whom you are already entitled to other State assistance Contractors & agency workers Employer has greater than 50 FTE (from 31/07/16) * Note: Recent amendments have been made to allow the transfer of employees between group members or when there is a merger or takeover.  Provided the original employer would have been eligible for the rebate had they not transferred the employees then the new employer will also be eligible. 

Rebates and incentives Payment of the rebate for Jobs Action Plan When to register: Should be within 90 days of joining As of 31 July 2016: FTE must be 50 or below When to claim: At the anniversary date (don’t wait for the end of the financial year) New jobs post 31 July 2016: *$2,000 for 1st year *$4,000 for 2nd year NOTE: The rebate is pro-rated for part-time and casual jobs

Who is eligible? Transfer of Small Business Grant application to Jobs Action Plan Rebate Businesses who have already registered for the Small Business Grant and then become liable for Payroll tax, can apply to transfer their registration for those new employees to the Jobs Action Plan Rebate and vice versa.

Apprentice and Trainee rebate Ongoing incentive to employ

Rebate available that will offset your payroll tax Apprentices and Trainees PTA – 005 Rebate available that will offset your payroll tax All Apprentices *Trainees must be registered with DOI under the Apprentice and Trainee Act All Apprentices, Trainees who have worked for less than 3 months Full-Time or less than 12 months Part Time (New entrant trainees)

Other Business Incentives Helping businesses succeed

Taking your idea to market Importing or Exporting Other business incentives Business.gov.au Starting a business Employing people Marketing and Sales Buying equipment Taking your idea to market Importing or Exporting

For more information Call: 1300 139 815 Email: payrolltax@revenue.nsw.gov.au Web: www.revenue.nsw.gov.au