Seasonal downturn in business 043-03130060

This document outlines information on how income is assessed for a customer who receives income from a business, when they advise of a seasonal downturn, but not complete cessation of business activity.

Differing levels of activity

Where a business undertakes different levels of activity throughout a period as part of its normal operations, the previous profit result will reflect the pattern of activity. Accordingly, unless there has been a change in circumstances of the business operations, the net profit earned from the previous 12 months provides an accurate indication of the likely rate of income earned by the customer from the business.

This applies to any business structure the customer may be involved in. Any reassessment requested by the customer requires them to provide full financial details including profit and loss statement, balance sheet and evidence of the circumstances that require a review. The customer's circumstances will then be reviewed based on this assessment.

Related links

Income and assets from business structures for Centrelink payments

Seasonal Work Preclusion Period (SWPP)

Steps to assess an interim profit and loss statement

Steps to assess an interim balance sheet

Identifying and making suitable referrals to the Complex Assessment Officers (CAOs)

Eligibility for JobSeeker Payment (JSP) and Youth Allowance (job seeker) when self-employed

The balance sheet

The profit and loss statement

Irregular or intermittent business activity

Assessing sole trader income

Assessing sole trader assets

Assessing partnership income

Assessing partnership assets

Assessment of income and assets from trusts and companies

Unexpected downturn of a business