Corona: Aid Package
24-03-2020
Coronavirus: information about the package of new measures for the entrepreneurs
On 17 March, the government decided to take exceptional economic measures because of the corona virus. The purpose of this is to protect our incomes and jobs in addition to our health and to absorb the consequences for self-employed professionals, SME entrepreneurs, but also for large companies as much as possible. The measures ensure that companies in need can continue to pay their staff, the self-employed can be bridged. In addition, eased tax regimes, compensation and additional credit options could keep money in the companies.
The measurements:
Temporary Emergency Measure Bridging to Retain Employment
If you expect at least a 20% loss of turnover, you can apply to the Employee Insurance Agency for a period of 3 months, which can be extended once by another 3 months, for a contribution towards wage costs (maximum 90% of the wage bill, depending on the loss of turnover Based on the application, the UWV will pay an advance of 80% of the expected meeting.
The condition is that you may not lay off staff for business reasons during the subsidy period. This measure replaces the reduction of working hours. Loss of turnover from 1 March 2020 is eligible for this allowance.
Temporary bridging scheme for independent entrepreneurs
By proposing a temporary, relaxed scheme for self-employed entrepreneurs (self-employed persons), the cabinet wants to support these entrepreneurs, so that they can also continue their business. This scheme is implemented by the municipalities (residential municipality, not the municipality where your company is located).
Self-employed persons can apply for a Bbz (Decree on assistance for self-employed persons), an income support for maintenance, for a period of 3 months via an accelerated procedure. This scheme supplements the income to the social minimum and does not have to be repaid.
There is no capital or partner test for this temporary scheme for self-employed entrepreneurs. In addition, a loan for working capital can be requested.
Compensation scheme for directly affected entrepreneurs of 4,000 euros
The health measures greatly affect the income of a number of sectors. Think of restaurants that have to close cancellations in the travel industry, but also other companies that are forced to strike. In these sectors it is difficult to make up for lost income when the corona virus is over.
A compensation scheme will be introduced for these affected sectors. A list of eligible sectors is currently being prepared.
Relaxation of deferral of tax payment and reduction of fines
Affected entrepreneurs can more easily apply for deferral of tax payments. You can request a postponement for income, corporate, wages and turnover tax. You do not have to pay default fines for not paying on time. It is also not immediately necessary to send evidence (statement from third expert). Entrepreneur is given longer time for this. If you expect a lower profit due to the current situation, it is also advisable to request a reduction of the provisional assessment. The recovery interest that takes effect after the expiry of the payment term is temporarily reduced from 4% to 0.01%. This applies to all tax debts. The rate of the tax rate also goes temporarily to 0.01% and money for all taxes to which tax rate applies.
Broadening of the Guarantee for Business Financing scheme
Companies such as SMEs and large companies that have difficulty obtaining bank loans and guarantees can make use of the Guarantee Entrepreneur Financing scheme. The cabinet proposes to increase the guarantee ceiling to 1.5 billion euros.
Interest rebate for small entrepreneurs on microcredits Qredits
Qredits microcredit provider finances and coaches a large group of small and starting entrepreneurs, who find it difficult to obtain financing through the bank. Think of entrepreneurs in the catering, retail, personal care, construction and business services.
Qredits is now opening a crisis measure to small entrepreneurs affected by the corona virus. For these entrepreneurs, a repayment of 6 months is offered. Interest during this period will be reduced to 2%.
Temporary surety for agricultural and horticultural companies
For agricultural and horticultural companies, a temporary guarantee for working capital will also come under the Guarantee for SME Agricultural Loans scheme. The cabinet guarantees the credits of agricultural entrepreneurs.
Consultation about tourist tax and culture sector
In consultation with VNG, the Cabinet is discussing the possibility of ending (provisional) local attacks on entrepreneurs and withdrawing imposed assessments.
Would you like to know more? Do you have questions about the consequences of the coronavirus for your company?
Feel free to contact us and we will be happy to help you.