JobKeeper 2.0 – Alternative Decline in Turnover Tests

As with the original JobKeeper, the Commissioner has released a number of alternative tests for businesses that experienced events or circumstances outside the usual business setting that results in the relevant JobKeeper comparison periods not being appropriate.

If the entity satisfies the basic decline in turnover test it does not need to satisfy any alternative test and, though there are a number of alternative tests, only one needs to be satisfied in order for the entity to become eligible.

The alternative decline in turnover tests can be used to determine whether the entity has satisfied the actual decline in turnover test for the September 2020 quarter or the December 2020 quarter.

The alternative tests that have been released are for the following scenarios:

  1. Businesses that started after the comparison period started, but before 1 March 2020.
  2. Business acquisition or disposals that changed the entity’s turnover.
  3. Business restructure that changed the entity’s turnover.
  4. Businesses that had a substantial increase in turnover.
  5. Businesses affected by drought or natural disaster.
  6. Businesses that have an irregular turnover.
  7. Sole trader or small partnership with sickness, injury or leave.

In addition to these alternate decline in turnover tests, there is also a modified basic test for group employer labour entities.