news, act-politics,
The ACT government will extend residential and commercial rate relief programs into 2021, as part of efforts to support households and businesses still struggling amid the coronavirus pandemic. Chief Minister Andrew Barr has announced an extension to a raft of coronavirus support measures following a cabinet meeting on Thursday morning. Mr Barr foreshadowed the decision earlier this week when he said the ACT economy remained “fragile”, and “pulling the rug out” would send the wrong message. In a move designed to cushion struggling households from the looming end of JobKeeper and lowering of JobSeeker, the ACT government will its extend residential rate relief scheme until June 30. Under the scheme, the government has provided rates rebates to landlords who reduce their tenants’ rent by at least 25 per cent. Almost 950 households have received relief since the program was announced in early April. A similar scheme for commercial landlords and tenants has been extended until January 31. Businesses have saved $18 million in rent under the program, which Mr Barr described as a “highly effective example” of how the government had worked with landlords to support traders through the crisis. The extension of the two programs won’t come at an additional cost to the budget. That is because the initial financial hit of the scheme – which was projected at $64 million in forgone revenue – has been far lower than expected due to low demand. Business which still can’t operate due to coronavirus restrictions will be offered payroll tax exemptions until June 31. Those which can trade on a “very limited basis” will be able to apply for payroll tax waivers, with applications to be assessed on a case-by-case basis. The lease variation charge remission will also be extended, but at a reduced rate of 25 per cent. Developers will receive the tax concession if they apply before June 30 and construction work starts on their project prior to September 30. The extension of that concession will cost an extra $1.75 million. Mr Barr said the future of measures which were slated to end in either March or June next year would be reviewed ahead of February’s ACT budget.
/images/transform/v1/crop/frm/fdcx/doc7bbnf3lv6mx5u10l78k.jpg/r376_394_3797_2327_w1200_h678_fmax.jpg
The ACT government will extend residential and commercial rate relief programs into 2021, as part of efforts to support households and businesses still struggling amid the coronavirus pandemic.
Chief Minister Andrew Barr has announced an extension to a raft of coronavirus support measures following a cabinet meeting on Thursday morning.
In a move designed to cushion struggling households from the looming end of JobKeeper and lowering of JobSeeker, the ACT government will its extend residential rate relief scheme until June 30.
Under the scheme, the government has provided rates rebates to landlords who reduce their tenants’ rent by at least 25 per cent.
Almost 950 households have received relief since the program was announced in early April.
A similar scheme for commercial landlords and tenants has been extended until January 31.
Businesses have saved $18 million in rent under the program, which Mr Barr described as a “highly effective example” of how the government had worked with landlords to support traders through the crisis.
Business which still can’t operate due to coronavirus restrictions will be offered payroll tax exemptions until June 31.
Those which can trade on a “very limited basis” will be able to apply for payroll tax waivers, with applications to be assessed on a case-by-case basis.
The lease variation charge remission will also be extended, but at a reduced rate of 25 per cent.
Developers will receive the tax concession if they apply before June 30 and construction work starts on their project prior to September 30.
The extension of that concession will cost an extra $1.75 million.
Mr Barr said the future of measures which were slated to end in either March or June next year would be reviewed ahead of February’s ACT budget.
