COVID-19
Calculating the Cash Flow Boost For Small & Medium Businesses

Initial Cash Flow Boost

The initial cash flow boost is based on the amount of a business’ PAYG withholding.

Eligible businesses that withhold tax on their employees’ salary and wages will receive a credit equal to 100% of the amount withheld, up to a maximum of $50,000.  The minimum credit will be $10,000, even if the amount required to be withheld is zero.  However, businesses will not be eligible to receive any more cash flow boosts until their PAYG withholding exceeds $10,000 over the relevant periods.

Monthly lodgers will receive a credit that is calculated at three times the rate (300 per cent) in the March 2020 activity statement to align with quarterly lodgers.

The total of all initial cash flow boosts across all of the relevant periods cannot exceed the maximum limit of $50,000.

Additional Cash Flow Boost

The amount of cash flow boosts that a business is entitled to is based on the value of the initial cash flow boosts the business received.

If the business lodges quarterly business activity statements it will receive 50% of its total initial cash flow boosts for each activity statement.

If the business lodges monthly activity statements it will receive 25% of its total initial cash flow boosts for each activity statement.

For a copy of our free Cash Flow Boost Calculator please contact us.