#covid19#resurgencesupportpayment#rspbookkeepersmallbusiness

Resurgence Support Payment – RSP

Covid 19 Support

The applications for the RSP payments must be completed by the business owners MYIR logon rather than their bookkeepers log on.

Your bookkeeper will provide you with your specific information to allow you to apply.

Below is information on the RSP and instructions on how to apply.

The Resurgence Support Payment (RSP) is a payment to help support viable and ongoing businesses or organisations due to a COVID-19 alert level increase to level 2 or higher. If your business or organisation is facing a reduction in revenue due to an alert level increase, you may be eligible for the RSP.

What the RSP is

Each time the COVID-19 alert level is increased from level 1, the Government may decide to activate the Resurgence Support Payment. It will generally be activated when the period of increased alert level is 7 days or longer, but this is not guaranteed. Once the RSP has been activated it will be available nationally, even if the alert level isn’t increased across the whole country.

How the RSP works

A business or organisation must have experienced at least a 30% drop in revenue or a 30% decline in capital-raising ability over a 7-day period, due to the increased COVID-19 alert level.

Once activated any business in New Zealand that has experienced a 30% drop in revenue or capital raising ability over a 7 day period as a result of the alert level increase would be eligible (subject to all other criteria being met).

How much eligible businesses and organisations can apply for

When the RSP is activated, eligible businesses and organisations can apply to receive the lesser of:

  • $1,500 plus $400 per full-time equivalent (FTE) employee, up to a maximum of 50 FTEs
  • four times (4x) the actual revenue decline experienced by the applicant.

It’s possible that the Government could decide to activate the RSP multiple times if there are multiple alert level increases from level 1. Businesses and organisations can apply for the RSP each time the it’s activated, as long as they meet the eligibility criteria.

How to apply

You will need to:

  • Provide your NZBN and NZ bank account  – the IRD will prepopulate if already listed in MYIR.
  • Enter the Employees you are applying for (this will prepopulated employees from recent EI) – Remember to include yourself if you are not paid via PAYE payroll (if applicable)
  • Add your revenue details including the start date of revenue drop and comparator 7 day period
  • Confirm you’re experiencing an actual 30% decline in revenue
  • Confirm your business has existed for at least 6 months and is viable
  • Confirm the RSP will not be passed through to shareholders or owners
  • Confirm you hold the appropriate authority eg director
  • You can save a draft of your application at any time and continue editing later.

What happens after you apply:

  • If you are eligible you will  receive confirmation of your approved application through MYIR
  • Many applications will process straight through with the payment being received within 48 hours
  • Some applications will be reviewed for a variety of reasons

What if your application is declined?

  • Make sure you check the eligibility criteria on the IRD website
  • Ensure you have provided all the required information
  • An IRD team member will get in touch with you

 

Example Application – https://www.trainingandbeyond.co.nz/app/uploads/Resurgence-Support-Payment-Process.pdf

Terms & Conditions – https://www.trainingandbeyond.co.nz/rsp-terms-and-conditions/

IRD Information – https://www.ird.govt.nz/covid-19/business-and-organisations/resurgence-support-payment