Tax Alert - More Victorian COVID grants added to list treated as NANE income

Lowe Lippmann Chartered Accountants

More Victorian COVID grants added to list treated as NANE income

The Federal Government has recently announced that various grant programs administered by Victoria and the ACT will be added to the list of eligible grant programs to be treated as being non-assessable non-exempt income (NANE), instead of being treated as assessable income.


The NANE tax treatment under section 59-97 of the Income Tax Assessment Act 1997 is available for the relevant grant payments received in the 2020–21 or 2021–22 income years.



The new eligible grant programs added to the list include the following:


  • Business Cost Assistance Program Round Four — Construction (Victoria)
  • Business Cost Assistance Program Round Two — Top Up (Victoria)
  • Business Cost Assistance Program Round Three (Victoria)
  • Business Cost Assistance Program Round Four (Victoria)
  • Business Cost Assistance Program Round Five (Victoria)
  • Commercial Landlord Hardship Fund 3 (Victoria)
  • Impacted Public Event Support Program Round Two (Victoria)
  • Licensed Hospitality Venue Fund Top Up Payments (Victoria)
  • Live Performance Support Program (Presenters) Round Two (Victoria)
  • Live Performance Support Program (Suppliers) Round Two (Victoria)
  • Homefront 3 (ACT).

The new eligible grant programs above now join the original list of eligible grants below, listed state-by-state.


ACT state grants

  • COVID-19 Business Support Grant


NSW state grants

  • 2021 COVID-19 business grant
  • 2021 COVID-19 JobSaver payment
  • 2021 COVID-19 micro-business grant
  • NSW Accommodation Support Grant
  • Commercial Landlord Hardship Grant
  • NSW Festival Relaunch Package
  • NSW Performing Arts COVID Support Package
  • NSW Performing Arts Relaunch Package
  • 2022 Small Business Support Program


QLD state grants

  • 2021 COVID-19 Business Support Grants


SA state grants

  • COVID-19 Additional Business Support Grant
  • COVID-19 Business Hardship Grant
  • COVID-19 Business Support Grant – July 2021
  • COVID-19 Tourism and Hospitality Support Grant


VIC state grants

  • Alpine Business Fund
  • Alpine Resorts Support Program (Streams 1, 2 and 3)
  • Business Continuity Fund
  • Business Costs Assistance Program Round Two
  • Business Costs Assistance Program Round Two – July Extension
  • Business Support Fund 3
  • Impacted Public Events Support Program
  • Independent Cinema Support Program
  • Licensed Hospitality Venue Fund
  • Licensed Hospitality Venue Fund 2021
  • Licensed Hospitality Venue Fund 2021 – July Extension
  • Live Performance Support Program
  • Melbourne City Recovery Fund – Small business reactivation grants
  • Outdoor Eating and Entertainment Package
  • Small Business COVID Hardship Fund
  • Sole Trader Support Fund
  • Sustainable Event Business Program

Given the new eligible grant programs listed above may have distributed the funds during the 2020–21 and/or 2021–22 income years, it may be necessary to lodge amended tax returns to update the NANE tax treatment of the funds received where relevant tax returns have already been lodged.




Please do not hesitate to contact your Lowe Lippmann Relationship Partner if you wish to discuss any of these matters further.

August 26, 2025
How do we account for the costs incurred when acquiring an asset? When we acquire an asset such as property, plant and equipment, intangibles or inventory there are often significant other costs incurred as part of the purchase process, including delivery, stamp duty, installation fees. Whether we capitalise these to the value of the asset or expense them as incurred can make a significant difference to an entity’s reported position or performance. Since we have accounting standards for specific assets, the treatment can vary depending on the asset and the relevant standard. A summary of some common expenses and their treatment under four accounting standards has been included below. The four standards considered are: AASB 102 Inventories AASB 116 Property, Plant and Equipment AASB 138 Intangible Assets AASB 140 Investment Property.
August 12, 2025
What are contract assets and contract liabilities that arise under the revenue accounting standards? Deferred revenue, accrued revenue, revenue received in advance, contract assets, contract costs asset, contract liabilities and receivables are all line items we see in the balance sheet in relation to revenue. It can be confusing to understand what these terms mean and whether different words are being used for the same thing.  We have provided a guidance to these and similar terms to enable you to use them confidently and understand their meaning in a balance sheet.
August 6, 2025
Paid parental leave changes have now commenced As from 1 July 2025, the amount of Paid Parental Leave available to families increased to 24 weeks, and the amount of Paid Parental Leave that parents can take off at the same time has also increased from two weeks to four weeks. Superannuation will now also be paid on Government Paid Parental Leave from 1 July 2025, at the new super guarantee rate of 12%, paid as a contribution to their nominated superannuation fund. Parents will also benefit from an increase in the weekly payment rate of Paid Parental Leave, increasing from $915.80 to $948.10 (in line with the increase to the National Minimum wage). This means a total increase of $775.20 over the 24-week entitlement.
More Posts