Applications for the wage subsidy extension are now open, offering further support for businesses affected by COVID-19. The government announced a wage subsidy extension, which follows the initial wage subsidy scheme.
You can apply for the wage subsidy extension if your business or you, as a contractor or solo operator, has experienced a further loss of income due to COVID-19. This subsidy is open to all businesses, all sectors and all regions and it is intended to help you pay your staff or yourself, as a contractor.
Business.govt.nz has created a tool to help you check your eligibility for the wage subsidy extension, which requires at least a 40 percent decline in revenue for a 30-day period in the 40 days before you apply. Where possible, your decline in revenue should be measured against the same period last year. The original subsidy expires 12 weeks from when you submitted your application. Eligible employers will need to reapply through Work and Income once their current 12-week subsidy has come to an end.
Note: If you receive the wage subsidy and/or wage subsidy extension, it’s important that you submit to Inland Revenue:
- Employer Information forms declaring the total wage payments (the subsidy plus employer-funded pay)
- Relevant PAYE and other deductions
Work and Income have more information here.
