Did you know that if your business has been affected by the coronavirus (COVID-19) and is enrolled for the JobKeeper Payment, you may be able to claim payments for an eligible business participant?

An eligible business participant is an individual who is not an employee of your business, but who is actively engaged in its operation.

For example, they might manage the sale of your business's goods or exercise control over your business strategy.

To be eligible for JobKeeper payments, the business participant must be an individual who is:

  • a sole trader (and is not bankrupt)
  • a director of a company
  • a shareholder in a company
  • a partner of a partnership (but not through an interposed entity, for example an individual trustee of a trust that is a partner in a partnership)
  • an adult beneficiary of a trust (who is not the trustee).

The individual must also meet other criteria, including:

  • having been actively engaged in the business at 1 March 2020
  • at least 18 years old. If you are 16 or 17 you can also qualify if you are independent or not studying full time
  • an Australian resident (under section 7 of the Social Security Act 1991), or a resident for income tax purposes and the holder of a Special Category (Subclass 444) visa
  • not receiving government parental leave or Dad and Partner Pay
  • not totally incapacitated for work and receiving payments under an Australian workers' compensation law in respect of your total incapacity to work
  • not an employee (other than a casual employee) of another entity.

You can only nominate one eligible business participant, even if several people meet the criteria.

Unlike employees, the key date for assessing business participants' eligibility is still 1 March 2020.

As of 20 July 2020, approved providers of child care services can't claim JobKeeper payments for business participants.

The individual must be engaged in the fortnight that the JobKeeper payment is claimed. For instance, if your eligible business participant is on leave, you cannot claim JobKeeper payments for JobKeeper fortnights that fall in that time period.

How can we help?

If you have any questions or would like further clarification in regards to JobKeeper payment for eligible business participants, please feel free to contact us on 1300 885 761.