Institute of Certified Bookkeepers

Cash Flow Boost Eligibility

The ATO have published guidance as to why employers are NOT receiving Cash Flow Boost

  1.  Business size:  ATO do not have any data about the size of the business
  2.  Does the business exist?  No ABN as of 12 March
  3.  Any Business Activity?  ATO have no data showing that the business has traded since 1 July 2018
  4.  No notice of business activity:  No Activity Statements or Tax returns before 12 March
  5.  No evidence of legitimate PAYG Withholding before 12th March
  6.  Integrity:  Change in business structure or employment behaviour raises questions

ATO Cash Flow Boost Eligibility Companion Guide   PDF

Employers Paid or Communication THIS WEEK

The ATO have advised (today 2nd June)

We can advise that we have reviewed the eligibility of all taxpayers who have lodged March 2020 activity statements.  For those taxpayers who are awaiting confirmation of their eligibility and where appropriate allocation of cash flow boost credits, we have processed a sizeable portion of cash flow boost credits for those clients and the remainder will be processed by the end of this week.   Other clients who have contacted us and are considered ineligible will be notified this week.   We will also be contacting taxpayers who may need to provide further information to confirm their eligibility and inviting them to provide verbal declarations to satisfy this requirement.  These calls have already started over the weekend.

ATO data shows in relation to the Employers who have escalated a question about their CFB payment

72% have been resolved and paid, or will be paid this week

25% are currently not seen to be eligible

3% are waiting for further information

NOT ELIGIBLE

A significant portion of those considered not eligible are due to

  • No PAYG W registration in place as at 12 March 2020
  • No Notice of Business Activity received by the ATO before 12th March

Next steps

When you're eligible:

  • Lodge your activity statement and the cash flow boost will be credited.
  • If you don’t automatically receive the credit, phone ATO on 13 28 66, option 7 to escalate your case for review. ATO cannot process any requests for eligibility reviews received via other channels.

When you’re not eligible, but ATO have discretion:

  • Phone on 13 28 66, option 7 and advise of the additional information you can provide for review and to determine your eligibility.
  • If ATO determine you are still ineligible after you’ve provided additional information, you have the right to object to our decision.

When you're not eligible and ATO have no discretion:

  • You will not receive a cash flow boost regardless of any additional information or evidence that you might provide to us.
  • 2 June 2020
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