From 16 December 2019, claims for the rebate will only be accepted if made within 90 days of the anniversary date of the position.
For more information, see the revenue ruling (SBG 001) or call 1300 241 869.
The Small Business Grant is designed to encourage small business that aren't liable for payroll tax to employ new full-time, part-time and casual workers.
The grant of up to $2,000 is payable to eligible registered employers who have maintained an increase in their staffing numbers for a 12-month period.
The scheme closed to new registrations on 1 July 2019.
A new job is when the number of NSW FTE employees increases and is maintained over a 12 month period.
Any new job created on or after 1 July 2015 and before 1 July 2019 can be registered for the grant.
Your business is still eligible for the grant even if the person you employ for the new job is a part-time or casual employee. If they do not work full-time, the grant amount will be paid as a pro-rata amount based on the FTE hours of employment.
We may refuse to pay the grant if the number of NSW FTE employees decreases for more than 30 days during the grant period.
The end date of the scheme is 1 July 2019. You must register any new jobs before this date to be eligible for the scheme.
Here's what you need to know.
The minimum employment period is 12 months from the start date of the new job. This is also known as the grant period and is generally spread across two financial years.
A position is eligible for the grant if
A position is not eligible for the grant if
You’re not eligible for the grant if you pay wages to employees working in a:
You will need to calculate your FTE employees. Use the following formula:
F + (A ÷ B) = FTE
F = the number of NSW full-time employees on that date
A = the total number of hours worked in the preceding pay period by all NSW part time employees employed on that date
B = average number of hours worked in the preceding pay period by all NSW full time employees employed on that date
When calculating the number of FTE employees
If you have different pay periods for various employees, you will need to choose and apply it consistently to all employees.
The Chief Commissioner of State Revenue may agree to a different or compromise method of calculating the number of FTE employees if it too difficult or costly to determine the exact figures.
To claim the grant, you must lodge an online application within 90 days after the 12-month anniversary date of the position.
When claiming the grant you must provide supporting evidence including (but not limited to)
We may ask for other evidence in some cases.
Note: Tax file numbers must be removed from all supporting documentation submitted.
The grant is a one off payment for each new job, and is paid by electronic funds transfer when a claim is approved.
The amount payable on the anniversary equals:
The annual grant amount x (the number of hours worked by the employee in the previous 12 months / the average number of hours worked by fulltime employees during the previous 12 month)
If your wages exceed the payroll tax threshold, you may become liable for payroll tax before your new job’s first anniversary. This means you are no longer eligible for the grant.
You may be eligible for the jobs action plan (JAP) rebate if
You’ll also need to register for payroll tax when you become liable, or before the first anniversary of the new job.
If you think this scenario applies to you, email us with an explanation of your situation.