Jobkeeper for eligible business participants

Will_10588422
Will_10588422 Member Posts: 11
edited June 2020 in Accounts Hosted
I am an eligible business participant for the JobKeeper payment but do not receive a salary. I have 3 employees eligible for Jobkeeper and will be adding the JOBKEEPER-START-FN01 allowance to that payrun and updating the STP submission at the ATO.
Is there a way to include a JobKeeper start date for me in the STP file? If not, do you know if it will be possible to submit STP files for my employees (by 30 April) AND later (from 4 May) manually identify myself for Jobkeeper with the ATO?

Comments

  • Chet
    Chet Member Posts: 34
    edited April 2020
    When you enrol for JobKeeper in the ATO business portal, it will ask you whether you would like to claim for eligible business participant. That is where you make the claim as you can only claim for one. 

  • Will_10588422
    Will_10588422 Member Posts: 11
    edited April 2020
    Thank you.
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited May 2020
     Business  participant doesn’t go through stp 
  • Dewi Hermanto
    Dewi Hermanto Member Posts: 16
    edited June 2020
    So, if it does not go thru STP, it has to be done manually thru ATO portal (from what I read from ATO website).  Does it also mean the business participant needs to be paid by 30 April?  I cannot find information on this.

  • Angela Milani
    Angela Milani Member Posts: 16
    edited April 2020
    I understand the Business Participant is added to the Monthly Declaration which is available from 4/5/2020. They should be paid in April to claim for April.
  • Dewi Hermanto
    Dewi Hermanto Member Posts: 16
    edited April 2020
    Thank you Angela, however, if it is not done thru STP, do you know how do we report the PAYGW for business participant? Using the monthly IAS?
  • Lee_8688889
    Lee_8688889 Member Posts: 84 ✭✭
    edited April 2020
    A business participant may not be someone who is getting wage, such as a trust beneficiary or a partner in partnership. So in those cases they would not get a payment in April in order to claim for April.

  • Dewi Hermanto
    Dewi Hermanto Member Posts: 16
    edited April 2020
    Thank you Lee, so this means the beneficiary needs to be identified on 4 May thru business portal. Thank you so much.
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited April 2020
    My understanding is the enrolment on the tax portal kicks off the process and you don’t have to have physically paid it to to the partner or director
  • TeaganHayse
    TeaganHayse Member Posts: 26 ✭✭
    edited April 2020
    Then my question is do you now withhold tax on the $1,500/fortnight for business participant?
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited May 2020
    No, not to my knowledge as it doesn’t get entered in the payroll system
  • TeaganHayse
    TeaganHayse Member Posts: 26 ✭✭
    edited April 2020
    Thanks
  • David_10596885
    David_10596885 Member Posts: 1
    edited April 2020

    Kris, Thank you for all that and I am a business participant with nil employees and have completed Step 1 Enrolment however how do we complete Step 2 "Identify and Maintain employees eligible for Jobkeeper wage subsidies." (for business participant only). Is it via the Portal only and can only be done after 4 May. If this is correct has anyone confirmed that with the ATO.
  • Patrick_10195009
    Patrick_10195009 Member Posts: 10
    edited April 2020
    Thanks for all the info that people have shared it is helpful.
    We have already enrolled on the ATO Business Portal but at the time was not aware of being able to claim for Eligible Business Participants (Director) but have since found out (thanks to the Reckon Webinar).
    Does anybody know if there is a way to edit your registration so we can now claim for the Eligible Business Participant?
  • Will_10588422
    Will_10588422 Member Posts: 11
    edited April 2020
    The only way to change your Jobkeeper enrollment is to call the ATO Business Portal helpline on 132866.
  • Patrick_10195009
    Patrick_10195009 Member Posts: 10
    edited April 2020
    Thanks. I will wait on the line to see if anybody answers
  • Angela Milani
    Angela Milani Member Posts: 16
    edited May 2020
    I added the Business participant and number of Employees on the JK enrolment form. Employee payroll went through to the ATO via STP.
    When I claimed the subsidy yesterday via the Business Portal, the Employee number was self populated and the Business participant name was added using the TFN. When I submitted the form, the Employees were accepted but the Business participant was not, even though the name was on the form.
    After a lengthy phone call to the ATO, the Business participant was added to the claim. I was then informed that the Business participant needed to be on the STP.
    Can Reckon Help give advice on this please when no payment is actually made to the Business participant via payroll?
  • Lee_8688889
    Lee_8688889 Member Posts: 84 ✭✭
    edited May 2020
    Angela, this is a good question. Perhaps you can post it as a new question/thread so that it doesn't get lost.
  • Patrick_10195009
    Patrick_10195009 Member Posts: 10
    edited May 2020
    I just checked our payment received and we have also not been paid for the Business Participant although it was added to the claim lodged with ATO (But not on STP)
  • Dewi Hermanto
    Dewi Hermanto Member Posts: 16
    edited June 2020
    I also have received payment today for business participant. I did not lodge it using STP but straight from business portal.
  • Patrick_10195009
    Patrick_10195009 Member Posts: 10
    edited May 2020
    Do you know if you are supposed to add the number for the Business participant that is not declared through STP to the number you are claiming? For example if we have 20 employees and 1 Eligible Business participant should the number reported through the portal be 20 or 21
  • Dewi Hermanto
    Dewi Hermanto Member Posts: 16
    edited May 2020
    From memory, there were 2 separate fields each for employee and business participant. Because basically business participant is not considered as an employee.
  • Patrick_10195009
    Patrick_10195009 Member Posts: 10
    edited May 2020
    That is how we reported the Business participant, in the separate section and then reported the number of (regular) employees in the other section
  • Angela Milani
    Angela Milani Member Posts: 16
    edited May 2020
    That's what I did too and it didn't show on the report after I had submitted the claim form.
  • Sarah kong
    Sarah kong Member Posts: 3
    edited June 2020
    what about business participant payment for shareholder? Once company received the jk fund for shareholder, we decided to pass this to shareholder. How can we pass this? Do we pay that to shareholder as wage (stp) under allowance because shareholder did not work? Thanks for your help.
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited June 2020
    I assume you are a Pty Ltd so any money you take out of the business for the shareholder should be treated the same as other monies you take out of the company for shareholder.
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited June 2020
    21
  • Sarah kong
    Sarah kong Member Posts: 3
    edited June 2020
    Thanks for prompt response Kris. Yes Pty Ltd. Company received the JobKeeper payment as for business participant for one of shareholder / non-working director. Can't we pay via wage to shareholder/ non-working director as an allowance? We do not want to pay it as dividend as we do not have enough franking credit balance. In addition, we do not need to pass the payment to shareholders if we decide not to. Is it correct? Thanks for your help.
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited June 2020
    If it was received as a business participant I don’t believe you can pass it on as a wage in the payroll. No you don’t have to pay it out at all, this I know for sure but you may want to check with your accountant re the dividend option
  • Sarah kong
    Sarah kong Member Posts: 3
    edited June 2020
    Thanks. Would you please advise if you happen to have the information about how we can pass this to shareholder in this scenario?
  • Kris_Williams
    Kris_Williams Member Posts: 3,272 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited June 2020
    As I said your accountant is the professional, but I would enter it as a shareholder payment and let the accountant move it when he does your tax