Question

PART A: Written letter of advice.

Due to COVID-19, Madison was informed by her two current employers that she would be nominated as an eligible recipient for JobKeeper payments from the government. Madison is confused about the tax ramifications of receiving JobKeeper payments and she is seeking your advice. In your own words, explain the tax treatment of JobKeeper payments to Madison and the potential impact of having two employers nominating her. She also has some sole trader income on the side and is wondering whether this will impact her nomination. (500 word limit)

Answer 1

Answer:

Madison is a qualified recipient of Jobkeeper payments from two current employers. These payments have tax implications.

Madison will be qualified for get the Jobkeeper payments from only one employer.In instance of numerous employer there is a need to educate the essential emloyer. He will likewise need to inform the essential manager to collect payment for his sake. The claiming of tax exempt limit will by and large be adequate to figure out which employer is a workers essential manager/employer.

In the event that the worker isn't a resident of the nation they need to illuminate about their visa status,to permit employers decide whether they are qualified for the payments.

The sum payed by the employer to Madison will be treated as assessable compensation and wages in her hands and will be taxable.The taxes are normally retained by the employer and the net sum is transfered in the bank account.But Madison needs to show this Income in her return.

An individual can get Job keeper recompense just from one source i.e either as an Eligible Sole trader or Employee. Since Madison is a sole trader,to be qualified as an as an independently employed individual,she shouldnt be a perpetual worker of some other employer i.e she can be a"short term'' easygoing representative. What's more, since she is a perpetual worker in the above circumstance , she can't claim as an independently employed individual.

Subsequently her sole trading income won't have any effect on the designation in the event that it is as indicated by the above clarification.