Posted: 16 March 2020 # Coronavirus Stimulus Package for SMEs #### Accountant's Minute 223 On Thursday, 12 March 2020 the Prime Minister announced a stimulus plan to curb the economic impact of the coronavirus and to keep “Australians in jobs and businesses in business”. The package, which aims to provide an immediate stimulus to the economy, will be worth $17.6 billion of which $11 billion is expected to be spent before 30 June 2020. **Targeted at SMEs:** - Businesses with turnovers up to $50 million will receive a tax free cash flow boost worth up to $25,000, designed to help pay wages. To ensure integrity, businesses which pay the Australian Taxation Office income tax on their employee's salary and wages either quarterly or monthly, will receive a payment equal to 50% of the amount withheld, up to a maximum of $25,000 over the 4 month period. The money will be available over the 4 months of March, April, May and June and the maximum that a business will be entitled to access in that period is $25,000. Eligible businesses that pay salary and wages but are not required to withhold tax will receive a minimum payment of $2,000. - The government is providing assistance to businesses with less than 20 full-time employees to keep apprentices employed at 1 March 2020 in work by paying up to 50% of their salaries with a maximum of $7,000 each quarter in wage assistance for each apprentice so small businesses can retain existing apprentices and trainees, or re-employ apprentices and trainees who lose their positions from a small business because of the coronavirus downturn. Where a business can’t afford to hold onto an apprentice, the subsidy will be available to a new employer. **Initiatives Targeted at Businesses with Turnovers up to $500 Million:** - New instant asset write off scheme. The government will expand the instant asset write off scheme from 12 March 2020 until 1 July 2020 for businesses with turnovers up to $500 million which will be able to instantly write-off assets valued at up to $150,000. - There will also be a 50% accelerator depreciation deduction over and above what these businesses can already deduct in the first year and this will be available for 15 months to 30 June 2021. We would like to invite you to participate in a Free Webinar – “Survival!” With the theme being “How Can You Assist Your Clients to Survive the Difficult Times Caused by COVIC-19 Coronavirus and Natural Disasters in 2019/20? When – Thursday, 19 March 2020 at 11:30 AM AEST/12:30 PM AEDT – to register please [click here](https://zoom.us/webinar/register/WN_uEQSoa6yTZ20Mc0A7XHXWg). You can obtain more information by clicking on to “Want To Know More?” I invite you to view the Accountants Minute video which gives you more details on the “Coronavirus Stimulus Package for SMEs”. For more details on strategies to assist you to guide your clients during these “very difficult times”, please visit [www.essbiztools.com.au/Survival In Difficult Times/Learn More](https://www.essbiztools.com/component/content/article/2050-survival-in-difficult-times-2?Itemid=1222&catid=1549). If you have a friend or colleague who you think might find this article interesting, please forward it to them. **Have a Great Day!** ![Coronavirus Stimulus Package for SMEs](https://www.essbiztools.com/images/zoo/blogs/2020/am223.jpg) #### ESS BIZTOOLS Blogs ### Recent Posts... 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