Government Drives Employment Growth with JobMaker Credit
Businesses that are creating new positions and employing young Australians may be eligible for a new wage subsidy called the JobMaker Hiring Credit, paid by the ATO.
Registrations for JobMaker are now open, with registration due by the beginning of the relevant JobMaker period as listed on the ATO site.
Employers can earn $10,400 per year for each new job they fill with an eligible employee aged 16 to 29 years, and $5,200 for each eligible employee aged 30 to 35 years.
To be eligible, new employees must:
• be 16 to 35 years old
• commence employment between 7 October 2020 and 6 October 2021
• work or be paid for an average of at least 20 paid hours per week during the reporting period, and
• have received the JobSeeker Payment, Parenting Payment or Youth Allowance
Deputy Commissioner James O’Halloran said that employers do not need to satisfy a turnover test for their business and the three-step process to access the credit is straightforward.
“The first step for a business is to register. From here, the second step is to nominate their new employees and the third is to make a claim.
“I also encourage employers who need advice to contact their tax or BAS agent, or check out the resources available on our website,” said Mr O’Halloran.
The Federal Government has implemented this policy to reduce youth unemployment, and help young job-seekers start their careers.
But with JobKeeper set to end on the 28 March, at least businesses still have support to help in the economic recovery.