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Covid-19 Temporary Disaster Payment

The Australian Government Covid-19 Disaster Payment is a support payment for workers who have been affected by Government restrictions and an associated public health order.

This payment is not available for the first seven days of restrictions and a worker will be eligible for disaster payments on or after the eighth day of the restrictions depending on the hours of work lost.

Even if an individual is affected by the restriction on one day of the relevant week, he can still claim the payment for that week and apply for the payment after the eighth day of restriction.

To be eligible:
  • Individual need to be at least 17 years old.
  • An Australian resident or holder of visa class permitted to work in Australia.
  • Reside/work in area subject to a lockdown and has been determined a hotspot.
  • Visited parts of Sydney or Greater Sydney during the relevant period and subject to public health order as a result
  • Expected to work and lost income on or after the eighth day of the lockdown.
  • Unable to attend work and unable to earn an income due to the lockdown.
  • Have less than $10,000 of liquid assets for week two of restrictions only
  • Not receiving income support payments* for the same period
  • Have insufficient paid leave entitlements, including pandemic leave but excluding annual leave, to cover the entire 7-day period of the lockdown.

* Pensions, JobSeeker payments, Parental Leave, Dad and Partner pay are included in income support payments.

Separate claims are required for the first three periods of lockdown in Parts of Sydney and Greater Sydney.

Below is the summary of lockdown restrictions across different parts of NSW and eligible payments

Parts of Sydney

  • First period of lockdown restriction being 1 July to 7 July
  • Second period from 8 July to 14 July &
  • Third period commences from 15 July

Greater Sydney

  • First period of lockdown restriction being 4 July to 10 July
  • Second period from 11 July to 17July &
  • Third period commences from 18 July

Payments – First and Second period

  • Eligible individuals will receive a payment of $325 when less than 20 hours of work was lost due to the lockdown.
  • Eligible individuals will receive a payment of $500 when 20 or more hours of work was lost due to the lockdown.

Payments from third Period and beyond

  • Eligible individuals will receive a payment of $375 when less than 20 hours of work was lost due to the lockdown.
  • Eligible individuals will receive a payment of $600 when 20 or more hours of work was lost due to the lockdown.

Parts of Sydney – New Payment rate from 5 August to 28 August

  • Eligible individuals will receive a payment of $450 when less than 20 hours of work was lost due to the lockdown.
  • Eligible individuals will receive a payment of $750 when 20 or more hours of work was lost due to the lockdown.

Greater Sydney– New Payment rate from 1 August to 28 August

  • Eligible individuals will receive a payment of $450 when less than 20 hours of work was lost due to the lockdown.
  • Eligible individuals will receive a payment of $750 when 20 or more hours of work was lost due to the lockdown.

All other areas of NSW – New Payment rate from 25 July to 28 August

  • Eligible individuals will receive a payment of $450 when less than 20 hours of work was lost due to the lockdown.
  • Eligible individuals will receive a payment of $750 when 20 or more hours of work was lost due to the lockdown.
Key eligibility dates

These are the key dates for the recognised events in NSW in accordance with the NSW public health order.

EventEvent datesClaims openClaims close
Parts of Sydney1 July to 30 July 20211 July 202125 August 2021
Greater Sydney4 July to 30 July 20214 July 202121 August 2021
All other NSW18 July to 28 August 202118 July 202118 September 2021

Recently it has been announced that COVID Disaster Payments are not assessable income to the individual and the Treasury will release further guidance about the taxable status of payments made since 3 June as the COVID Disaster payments have always been treated as taxable income earlier. Instructions on how to claim van be found here

 Instructions on how to claim van be found here.

Additional Info – Making a Claim

We note that there is a requirement to have liquid assets of less than $10,000 if you are claiming for the period 1 July to 7 July for parts of Sydney and 4 July to 10 July for Greater Sydney and this condition is waived for any claims from 8 July for parts of Sydney and 11 July for Greater Sydney.

Also, there is an option when you submit your claim for the third period, you can choose to receive recurring payments in your account every week.

Should you have any questions regarding eligibility or require any assistance with the application please let us know.

The information contained on this website and in this article is general in nature and does not take into account your personal situation. You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from a financial adviser. Taxation, legal and other matters referred to on this website and in this article are of a general nature only and are based on our interpretation of laws existing at the time and should not be relied upon in place of appropriate professional advice. Those laws may change from time to time.

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