The new package follows the $400 million package announced last week.
Minister for Industry Support and Recovery Martin Pakula said the latest payments were being funded by the federal and state governments.
"It means that this package of $400 million for a seven-day lockdown is above and beyond what we have been able to do in the past," Mr Pakula said.
"That is only possible as a consequence of that Commonwealth contribution.
"It adds to the $950 million we have paid to businesses through the May, June, and July restriction periods."
This is the third round of the Business Cost Assistance Program and will provide grants of $2800 to about 95,000 businesses, including gyms, cafes, restrooms, caterers, hairdressers, dance and swim schools, tourism and event businesses.
Those payments will be made automatically to former recipients of the grants.
There will also be a top-up for the Licensed Hospitality Venue Fund and will also be an automatic payment.
Payments of $5000 will be given to eligible venues with a capacity of 0-199, $10,000 for premises with capacity of 200-499, and $20,000 for venues with a capacity of 500-plus.
The Small Business COVID Hardship Fund which was an $85 million fund providing grants of up to $5000 will be augmented with another $54 million to take it up to $139 million.
"That will then provide grants of $8000 rather than $5000," Mr Pakula said.
"As I indicated last week, that will be based on demonstration of turnover reduction of 70 per cent."
Alpine businesses will be eligible to receive between $5000 and $20,000 under a $10.6 million extension of the Alpine Business Support Program.