AFTA welcomes the $17.6 billion Coronavirus (COVID-19) support package released by the Federal Government yesterday, Thursday 12th March 2020. The stimulus package is critical to Australians, the travel industry and the broader business community and economy at a time of such immense uncertainty.
COVID-19 has brought many challenges to the travel industry and as it seems the worst is right before us. AFTA is acutely aware of just how bad the current trading conditions are and we want to assure members and the broader travel industry that we remain confident that an end is in sight.
The industry will recover from this, but we know many travel businesses are suffering great hardship at this time. AFTA continues to work behind the scenes daily with government at both federal and state levels to ensure that the TRAVEL industry is not forgotten.
The federal stimulus package we believe will provide some relief to cash flow, but more may be needed and we will monitor the situation very closely over the coming weeks and months.
AFTA will be releasing early next week a 'how to' guide, Travel Business: How to access the Stimulus Package to support members and the broader industry to understand the simple steps to access support where eligible for your business.
I am pleased the Federal Government is making a solid commitment to sustaining the Australian economy in the wake of the COVID-19 outbreak. Small business ‘lives and dies’ on cashflow, and this is particularly acute in travel agencies at this time with low to no bookings, and refunds flowing out the door.
AFTA will drive the guidance process to help support agencies across the country to understand how they can access the funds being made available and if this is not enough, I will stand ready to take it up with the Prime Minister directly.
Specific measures in place that may help assist AFTA members include:
The government grants will be issued automatically, based on business activity statements or instalment activity statements from 28 April 2020.
AFTA also encourages all ATAS accredited travel agency businesses to get in touch with the Australian Taxation Office (ATO) who can tailor a support plan for your businesses needs and circumstances around the relief options.
Options available to assist travel agency businesses impacted by COVID-19 include:
Working with affected businesses to help them pay their existing and ongoing tax liabilities by allowing them to enter into low interest payment plans.
AFTA is committed to working with members to protect the health, the well-being, and the livelihoods of Australian travel agents through this global crisis, and to ensure that when the recovery comes – and it will – our industry is well positioned to bounce back strongly on the other side.
The AFTA team remains at the disposal of members to support and guide them at this difficult time.