Procedures, documentation and amount of financial assistance for employees due to Covid-19
The Decision of the Council of Ministers no.305, date 16.4.2020, published in the Official Gazette no. 67, defines the procedures, documentation and amount of financial assistance for current employees and for dismissed employees due to Covid-19, also known as “Fiscal Package no. 2”.
The provisions of this Fiscal Package are as follows:
Beneficiaries
Financial assistance of 40,000 (forty thousand) ALL for employees in companies with annual turnover over 14,000,000 (fourteen million) ALL, who have closed the activity according to the orders of the Minister of Health and Social Protection, who have been at work on the date of entry into force of these orders.
Financial assistance of 40,000 (forty thousand) ALL to former employees in companies that are allowed to perform their activities according to the orders of the Minister of Health and Social Protection, who were dismissed from the date of entry into force of these orders until April 10, 2020. The day of submission of E-sig 027 must not be later than April 10, 2020.
Financial assistance of 40,000 (forty thousand) ALL for employees in companies with annual income up to 14,000,000 (fourteen million) ALL, who are allowed to carry out activities according to the Orders of the Minister of Health and Social Protection, to who were at work until the date of entry into force of the orders of the Minister of Health and Social Protection.
Financial assistance of 40,000 (forty thousand) ALL for employees of companies, natural or legal persons, who exercise the activity as accommodation structures, which are in the payroll until the date of the Orders of the Minister of Health and Social Protection.
Who does not benefit from this Fiscal Package?
Employees:
- that benefit according to the Decision no. 254, date 27.03.2020 also known as “Fiscal Package no. 1”;
2. employees in companies with object of activity trade of food products, fruits and vegetables, pharmaceuticals;
3. registered companies that operate in professions such as: lawyer, notary, specialist physician, pharmacist, nurse, veterinarian, architect, engineer, physician-laboratory technician, designer, economist, agronomist, registered accounting expert, registered accountant, which are allowed to perform the activity according to the orders of the Minister of Health and Social Protection;
4. who during 2019 have generated gross income from salary over ALL 2 million;
5. that are employed in more than one company.
Application
Companies that meet the above mentioned criteria must submit to the General Tax Directorate through the e-filing portal the form “Request for benefit of financial assistance 2”, with the data of the beneficiaries:
- Data of taxpayer entity;
b. Identifying data of the beneficiaries;
c. Bank account number and IBAN number of the beneficiaries.
Verification from the Tax Directorates
Within 10 working days, these data are verified by the relevant Regional Tax Directorates through the risk analysis and based on the data available for each taxpayer in the e-tax system.
The financial assistance amounting to ALL 40,000, covers the period April-June and is payable only once as a single amount.
Penalties
Normative Act no. 20, dated 20.5.2020 “On Special Administrative Measures Taken During the Period of Infection Caused by Covid-19” provides that failure to complete the application by the company of the employee or former employee who meets the conditions to receive financial assistance, during the period of natural disaster declared as a result of COVID-19, is punishable by a fine of 50 000 (fifty thousand) ALL. Companies that have paid employees or former employees their full salary will not be subject of these fines.
