CRITICAL LEGISLATION ON COVID-19
INDEX
7. Public Procurement Issues - Other issues - Scientific events – 1. General Provisions – Anticeptic production licenses Measures to prevent and 8. Especially for the Healthcare limit the spread of Providers 9. State aid rules and COVID-19 COVID 19 - Issues regarding the enforced 10. Contractual Risk Management 2. Measures concerning disposition of spaces & issues - Force Majeure the operation of the medical technology 11. Energy Judicial System equipment, requisition of Sector 3. Tax Measures movable property Provisions 4. Data Protection consumable and non- consumable, donations 12. Financial 5. Corporate Law Issues - Issues concerning Medical Relief 6. Employment & Social Prescriptions and Validation of Measures expenditures by countries Security Provisions affected from COVID-19
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PV: 542116.1 APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
LEGISLATIVE ACTS
25.02.2020, 11.03.2020, 14.03.2020, 20.03.2020, 30.03.2020, 13.04.2020, 01.05.2020
FEK Α’ 42/2020, FEK Α’ 55/2020, FEK Α’ 64/2020, FEK Α’ 68/2020, FEK Α’ 75/2020, FEK Α’ 84/2020, FΕΚ Α’ 90/2020
1. GENERAL PROVISIONS – MEASURES TO PREVENT AND LIMIT THE SPREAD OF COVID-19
These measures, pursuant to Article 1 of Legislative Act of 25.02.2020, potentially consist of:
1. Compulsory submission to clinical and laboratory medical examination, health surveillance, vaccination, medication and hospitalization of people who are reasonably suspected of transmitting the disease directly or indirectly,
2. imposition of clinical and laboratory medical examinations, as well as measures of preventive health surveillance, vaccination, medication and precautionary hospitalization for people coming from areas where high spread of the disease is observed.
3. imposition of sanitation preventive controls and clinical or laboratory controls in all or selected entry and exit points of the country via air, sea, rail or road with countries with high prevalence of the disease,
4. temporary restriction in whole or in part of air, sea, rail or road connections to countries with high prevalence of the disease,
5. temporary restriction of people in cases (a) and (b) under conditions that prevent contact with third parties, which could lead to the spread of the disease. The temporary restrictive measure may be implemented in an appropriate hospital, health facility, treatment institute, in appropriate public or private facilities for temporary accommodation, or at home, depending on the decision of the relevant competent authority.
6. temporary ban on the operation of school units and all kinds of educational structures, bodies and institutions, public or private, of all types and degrees, places of religious worship, and temporary ban and suspension of movement for any reason of teachers and other staff and students, of any of the above school units, educational structures, bodies, and institutions,
7. temporary ban on the operation of theaters, cinemas, sports and artistic venues, archaeological sites and museums, health-care shops, private undertakings, public services and organizations, and general meeting places,
8. temporary imposition of restrictive measures on the movement of means of transport within the territory
9. temporary imposition of home detention on groups of people to avoid actions that could cause the spread of the disease. The measure for the temporary restriction of wider groups of people may be specified via reference to geographical areas. The people in this case may also be subject to the measures under (a) and (b). Upon imposition of APR 27TH 2021
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the measures, the most moderate thereof shall be chosen by the competent authorities to fulfill its purpose in light of the constitutional principle of proportionality.
Increase of limit on expenditures for the Budget of the Ministry of Finance, with an additional budget of 5,000,000 Euros - Amendment to the Draft Law of the Ministry of Finance / April 2nd, 2020
Article 9 of Legislative Act of 14.03.2020
Additional measures to prevent, monitor and limit the spread of the disease
For the purpose of avoiding the risk of occurrence or spreading the COVID-19 coronavirus, which may severely affect public health, a temporary ban on entry and exit from Greece may be imposed – in addition to the measures of the Legislative Act dated 25.2.2020 – to individuals, groups, organized or not, or missions of individuals coming from or moving to affected areas abroad. However, it is not possible to prohibit Greek citizens to enter the Greek territory. Upon implementation of the present, areas affected by the COVID-19 coronavirus are identified on a case-by-case basis by decision of the Minister of Health, upon suggestion by the National Public Health Organization.
Important joint Ministerial Decisions: Issue Β’ 666/2020, 668/2020, 723/2020, 724/2020, 708/2020, 725/2020, 726/2020, 727/2020, 728/2020, 731/2020, 782/2020, 783/2020, 833/2020, 848/2020, 850/2020, 855/2020, 856/2020, 857/2020, 1082/2020, 1114/2020 of the Hellenic Government Gazette
JMD no.Δ1α / Γ.Π.οικ .: 71342 – Government Gazette 4899 / Β / 6-11-2020 as replaced by the Joint Ministerial Decision no. Δ1 α / Γ.Π.οικ .: 76629 – Government Gazette 5255 / Β / 28-11-2020 as replaced by 7-12-2020 by JMD no. Δ1α / Γ.Π.οικ .: 78363 – Government Gazette 5350 / Β / 5-12-2020 as abolished by the Joint Ministerial Decision Δ1α /Γ.Π.οικ. 80189 - Government Gazette 5486 / Β / 12-12-2020 as replaced by Δ1α / ΓΠ.οικ .: 80588 / 14.12.2020 as amended by JMD no. Δ1α / Γ.Π.οικ. 81699 / 17.12.2020 and JMD no. Δ1α / ΓΠ.οικ. 83418 / 24.12.2020 and JMD no. Δ1α/Γ.Π.οικ.83978/29-12-2020 as replaced by Δ1α/Γ.Π.οικ.: 2/2.1.2021 as amended by Δ1α/Γ.Π.οικ.608/5.1.2021 and replaced by JMD no. Δ1α/Γ.Π.οικ.1293/8.1.2021 as replaced by Δ1α/Γ.Π.οικ.3060/15.1.2021 as replaced by Δ1α/Γ.Π.οικ.4992/22.1.2021 as abolished by Δ1α/Γ.Π.οικ.9147/10.2.2021 as amended by Δ1α/Γ.Π.οικ.9769/12.2.2021 and Δ1α/Γ.Π.οικ.10604/18.2.2021, as abolished by Δ1α/ΓΠ.οικ.10969/19-2-2021 as amended by ΚΥΑ Δ1α/Γ.Π.οικ.11951/24.2.2021 (Government Gazette Β' 724/24.2.2021) as abolished by Δ1α/Γ.Π.οικ.12639/26.2.2021 as abolished by Δ1α/ΓΠ.οικ.13805/3.3.2021 as replaced by Δ1α/ΓΠ.οικ.14453/5.3.2021 as abolished by Δ1α/Γ.Π.οικ. 16320/12.3.2021 as abolished by Δ1α/Γ.Π.οικ. 17698/19.3.2021 as amended by Δ1α/Γ.Π.οικ.17974/22.3.2021
JMD no. Δ1α/Γ.Π.οικ.17698/19.3.2021 Emergency measures for public health protection from the risk of further spread of the coronavirus COVID-19 throughout the country for the period from Saturday, March 20 , 2021 by 6:00 pm to Monday, March 29th , 2021 6:00 pm.
Exceptional public health protection measures by field of activity and level of epidemiological burden (increased risk and very high risk) shall be adopted, according to paragraph 1B.
a)The level of very high risk includes: aa) the Attica Region, APR 27TH 2021
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ab) the Regional Units of Etoloakarnania and Achaia of the Region of Western Greece, ac) the Regional Units of Viotia, Evia, Fthiotida and Evritania of Central Greece Region, with the exception of the Municipality of Skyros, ad) the Regional Units of Argolida, Arcadia and Corinth of the Peloponnese Region, ae) the Regional Units of Thessaloniki and Chalkidiki of the Region of Central Macedonia, af) the Regional Unit of Thesprotia of the Region of Epirus, ag) the Regional Unit of Heraklion of the Region of Crete, ah) Regional Unit of Lesvos of North Aegean Region, ai) the Regional Unit of Zakynthos of the Ionian Islands Region, aj) the Regional Unit of Mykonos of the South Aegean Region, ak) the Municipalities of Kalymnos and Leros of the Regional Unit of Kalymnos of the South Aegean Region, al) the Municipality of Chios of Chios Regional Unit of the North Aegean Region, am) the Municipality of Anogia of the Regional Unit of Rethymno and the Municipality of Chania of the Regional Unit of Chania of the Region of Crete, an) the Municipalities of Ioannina and Metsovo of the Regional Unit of Ioannina of the Region of Epirus, ao) the Municipality of Katerini of the Regional Unit of Pieria and the Municipality of Amfipolis of the Regional Unit of Serres of the Region of Central Macedonia, ap) the Municipality of Skiathos of the Regional Unit of Sporades and the Municipality of Karditsa of the Regional Unit of Karditsa of the Region of Thessaly and aq) the Municipalities of Kastoria and Orestidos of the Regional Unit of Kastoria and the Municipal Community of Galatini of the Municipal Unit of Askio of the Municipality of Voio of the Regional Unit of Kozani of the Region of Western Macedonia.
b) The level of increased risk includes the rest of the areas of the Territory.
For a detailed table of emergency measures for public health protection, by field of activity see the table 1B of JMD.
Imposition of the measure of temporary prohibition of restaurant services and mobile catering units operation as well as operation of other catering units for the period between March 20th to March 29th , 2021 to limit the spread of COVID-19 coronavirus.
The operation of the following activities is suspended throughout the Territory:
Among others, the activities of retail stores, restaurants and mobile restaurants shall be suspended.
• A few basic exceptions indicatively: restaurant service activities and mobile catering units related to product distribution (delivery) and supply of products in packaging from the store (take away services), are excluded from the suspension, provided that the use of table seats as well as the in-store serving in aforementioned units is prohibited.
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Activities of drink/beverage provision related to product distribution (delivery) and supply of products in packaging from the store (take away services) are also excluded from the suspension provided that the use of table seats as well as the in-store serving are not allowed.
Article 3 of the JMC provides a detailed list of operating restrictions of business branches as well as other exceptions concerning them.
Obligatory use of mask Without prejudice to any special provisions, the obligatory use of a non-medical mask is imposed throughout the territory, regardless of the epidemiological level, in all indoor and outdoor areas, including workplaces, with the exception of those who work in private without the presence of anyone else.
The following are excluded from the obligatory use of mask: a) persons for whom the use of a mask is not indicated for medical reasons proven by appropriate documents, such as due to respiratory problems and b) children under the age of four (4) years.
Traffic Restriction
For urgent reasons of serious public health risk that consists in reducing the risk of spreading the coronavirus COVID- 19, it is necessary as a preventive measure and for the absolutely necessary period, to restrict the movement of citizens in general, unless the following conditions are met. . The restriction does not apply to members of the Government, Undersecretaries, General Secretaries, Special Secretaries and Service Secretaries, Members of Parliament, Mayors, Deputy Mayors, Regional Governors, Vice-Regional Governors, Coordinators of Decentralized Administrations for their transitions related to security duties, the forces participating in operations and activities of the European Border and Coast Guard, as well as the medical, nursing and paramedical staff, the administrative and supporting staff of the Ministry of Health and the competent bodies related to the protection and provision of health services as well as the authorized personnel of the General Secretariat for Civil Protection and the rest of the control mechanisms referred to in Article 8 for the performance of their duties. The restriction does not also cover technical personnel of critical infrastructure for travel related to the performance of their duties.
The movement of citizens throughout the Territory, daily from 5:00 to 21:00 is permitted in order for them to cover vital, personal or professional needs that cannot be met in any other way and which are specifically allowed for the following restricted reasons: a) Transition to and from work or during working hours. b) Transition to and from the school/institution/examination center, provided it operates in accordance with the provisions of the present. c) Transition for health reasons (transition to a pharmacy, visiting a doctor, veterinarian or transition to a hospital or health center, if this is recommended after relevant communication).
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f) Transition in order to help people in need. g) Transition to a place of worship in accordance with the provisions hereof or transition to divorced or estranged parents in order to ensure necessary communication between parents and children, in accordance with the provisions in force. h) Accompaniment of students to and from school/institution/examination center by a parent or guardian. i) Physical exercise outdoors or movement with a pet, individually or up to three (3) persons, provided that in the latter case the minimum distance of one and a half (1.5) meters is observed. j) One-time transfer to the place of permanent residence. k) Transition to a public service, if the electronic or telephone service is not possible only for urgent needs, after the appointment for which the citizen is informed in writing or electronically and under the additional condition of the demonstration of the above information. l) Transition to and from the place of work of a spouse or first degree relative, if necessary.
m) Transition to the purpose of participation in a public outdoor gathering, in accordance with the current provisions for the protection of public health. n)Transition for feeding stray animals, if the transition takes place within the municipality of residence of the citizen. o) Transition for the purpose of harvesting agricultural products p) Transportation for reasons of participation in clinical exercises of students of the last year of the study program of the first cycle of Departments / Schools of Health Sciences of High Education Institutions (Α.Ε.Ι.) or for reasons of study of Probationary Lieutenants, Probationary Constables and Border Guards of Fixed Time of the Schools of Officers and Constables of the Hellenic Police, as well as students of the Probationary Schools and Probationary Port Guard of the Hellenic Coast Guard. q) Movement to the purpose of transporting household goods after the termination of the lease agreement for the homes of students who rent a property on the site of their studies with the companion of one more person. r) Movement for wild boar hunting for the purpose of dealing with African swine fever, specifically within the Regional Units of Rodopi, Evros and Xanthi of the Region of Eastern Macedonia and Thrace. The aforementioned transfer can be carried out with the participation of up to four (4) people. APR 27TH 2021
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The conditions of movement within the boundaries of the relevant municipality or at a distance of up to two (2) kilometers from the home of the person moving, according to cases d) and e) do not apply to the case of transition to a hair salon, beauty center or limb care center, depending on the distinctions of point 26 of the table of par. 1B of article 1, car repair shop or technical inspection service of road transport vehicles of point 30 of the table of par. 1B of article 1.
3 For the exceptional transition of cases (a) and (k) of par. 2, the citizen must carry their police ID or passport, as well as a transition certificate (type A certificate), in printed or electronic form. The transition certificate is provided, under the personal responsibility of the signatory, by the employer or, in case of a legal entity, by his legal representative or, in case of self-employed, by himself, and contains the name, place of residence and place of work of the employee, as well as the hours of arrival and departure, taking into account any necessary overtime work. The certificate of the preceding paragraph can be obtained in one of the following ways: a) Regarding the employees of the public sector, via the application of the Human Resources Register of the Greek State on the website apografi.gov.gr and exceptionally through a form that is filled in with the responsibility of the competent chief of staff. b) Regarding the employees of the private sector, the certificate is issued to the employee for his transfer by the employer in charge, after the employer submits an application-solemn declarateion, accordingly to the article 8 of Law 1599/1986 (A '75), to the Information System (IS) "ERGANI" of the Ministry of Labor and Social Affairs. After the application-solemn declaration for the issuance of this certificate is submitted by the employer, the employment relationship of the employee with the applicant employer is automatically checked and certified by the IS "ERGANI" and then the certificate is provided. In any case, the certificate is issued to the employee no later than his departure and is valid for as long as the employee is required to move to and from work, during curfew hours, based on his working hours. The confirmation of the present case can be valid for a period of up to fourteen (14) days. c) In the case of self-employed persons, a respective solemn declaration of the article 8 of Law 1599/1986 at "ERGANI" shall be filled electronically by the persons themselves, with the use of the TAXISNET codes or alternatively a permanent movement certificate (type A) acquired from the website forma.gov.gr. is also acceptable.
The submission of the solemn declaration or the permanent movement certificate must take place the latest before their transition and must be presented, in printed or electronic form, to the competent controlling authorities together with a printing from the TAXIS information system providing the tax data of the natural person and business activity or the relevant electronic display of such data.
Especially concerning self-employed scientists holding a professional identity card issued by a professional association in the form of a public entity, the aforementioned are not obligated to certify their status, neither are they responsible to carry the above required printed document from the TAXIS information system or the relevant electronic display, provided that they possess a professional identity card of the association they belong to. d) A certificate of movement pursuant to the present shall not be issued to an employee who does not physically move to the workplace, either due to the fact that this person operates in the status of telework or because this person is currently under suspension of his/her employment contract.
4 For the exceptional transition of case b paragraph 2, the movement certificate is permanent, provided by the Headmaster of the relevant school/unit/examination center and contains the name of the student/examined person, the place of residence and the address of the school, as well as the arrival and departure times of the student/ examined person.
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For the exceptional movement of case (p) of par. 2, the movement certificate is permanent and is provided by the Secretariat of the Department or the School of Health Sciences of the Higher Education Institution (Α.Ε.Ι.) where every student is registered and entitled to a certificate of movement, due to clinical exercises. The certificate contains the name of the student, the place of residence, the address of the Department or School of the Α.Ε.Ι., hospital or other place where the educational process is conducted according to the curriculum in which he / she is studying, as well as the arrival and departure times of the student on a weekly basis. The certificate of the previous paragraph is provided electronically by the Secretariat to the student via e-mail and bears either a digital signature or a scanned original signature and seal of the Institution. The student must have a police ID with him / her . The certificates hereof are obtained from the website forma.gov.gr.
5 For cases (c) to (i), as well as (k) of paragraph 2, the transition certificate concerns each individual movement and only this one, is signed by the interested party himself, at his own risk, and contains the name, the place of residence and the place of destination of the citizen as well as the specific reason for the movement (Type B certificate). The certificates of the previous paragraph can be obtained from the website forma.gov.gr and completed by the citizen, or can be granted via free telecommunication message (sms) to the special number 13033 directly on the mobile phone of the interested party or printed or in writing according to the content of the relevant template posted on the website forma.gov.gr. Especially regarding the application of circumstance (d) and with the exception of the application of point 26 of the table 1B of article 1, the certificate of movement, can either be completed by the citizen or issued via telecommunication message, with time validity of two (2) hours, or three (3) hours specifically regarding the case of transportation to a hairdresser or beauty center, and the time indicated on the movement certificate or the time of its issuance via message regarded as starting time.
For the supplement of goods through the pre-purchase / pre-selection process via electronic or telephonic order for out-of-store collection or by booking an appointment by electronic or telephone means for in-store purchase, the citizen is required to carry additional electronic proof document or relevant telecommunication message or a receipt acquired from e-Consumer digital platform of the General Secretariat for Trade and Consumer Protection.
Regarding the case (j) of par. 2, a Certificate of Residence for Special Use is required, which is received free of charge from the website https: //www.aade. gr / bebaiosi- katoikias-eidikis-hrisis, or a copy of the income tax declaration E1.
For the case (n) of par. 2, a certificate of the municipality of residence of the citizen is required, in which the place, the day or days as well as the planned feeding time are mentioned, and should under no condition exceed the time period of three (3) hours.
For case (o), when it is not possible to present the certificate of par. 3, it is required to present a cultivation declaration submitted within the Complete Management and Control System (CMCS) of the Organization for Payment and Control of Community Aid, Guidance and Guarantee (OPEKEPE) or declaration of real estate details (E9), together with a relevant lease agreement or a solemn declaration of assignment of the relevant order, as the case may be. The certificates hereof are considered as a solemn declaration for the signatory and any false declaration entails the penalties provided by law.
For the case (p) of par. 2, regarding any kind of movement outside the relevant Regional Unit or the Attica Region, the movement certificate concerns only one-time movement and contains: a) in the case of students of Departments / Schools of Health Sciences, The name, the place of permanent residence as well as the place of residence of the Department / School of Health Sciences of the Institution where the student studies and is his / her destination as well as the reason for the move to the regional unit where the Department / School of Health Sciences of Higher Education Institution is located due to participation in the conduct of clinical exercises with physical presence in accordance with a decision of the Senate of the Institution and b) in the case of Probationary Officers, Probationary Constables, Fixed-Term Border Guards and students of the Probationary Schools and Probationary Port Guards, leave / course sheets issued, as the case may be, by the School of Officers or the Officers' School or or the School of Port Guards. The aforementioned student of circumstance (a) is obligated to carry a police ID and the probationer of case APR 27TH 2021
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(b) is obligated to carry an official ID.
Regarding circumstance (q) of par. 2, the certificate of movement concerns exclusively a return journey, with a total validity of seventy-two (72) hours containing, the date and time of the movement’s beginning , the place of permanent residence, the location of the Department / University where the student studies and rents the property for the purpose of his / her studies which constitutes his / her destination, as well as the reason for the movement to the peripheral unit where the Department/ University is located. The student of the circumstance (q) must carry with him / her a) proof of submission of a lease declaration, b) the proof of termination of the lease agreement, printed from the website https: // www.aade.gr/mytaxisnet, as well as c) a police ID.
Regarding circumstance (r), there is a requirement of a movement certificate (Type B certificate) as described on the first paragraph as well as a certificate of the relevant Hunting Association certifying the status of the predator as a member.
6. From 21.00 to 5.00 the movement of citizens throughout the Territory is allowed for the following restrictively mentioned reasons: a) Travel to and from work during working hours or during work, b) movement for reasons concerning health (going to a pharmacy, visiting a doctor or going to a hospital or health center, given that such act is recommended by specialists following relevant communication), c) individual movement with a pet. Paragraphs 3 and 5 apply to the certification of the reasons for exceptional transitions.
Movements outside the Regional Unit or Region
1.It is, by any means, prohibited to move outside the boundaries of the relevant Regional Unit, or specifically a) in the case of Attica, outside the boundaries of the Region and b) in the case of other areas that are included in the level of very high risk, outside the boundaries of the Municipality, except for cases of transition, in any way: a) to and from work, b) for health reasons (c) for the purpose of a one-time transfer to the place of permanent residence; (d) transition to attend a ceremony (eg funeral) under the conditions provided by law or transition of divorced or separated parents that is necessary to ensure communication between parents and children, in accordance with the provisions in force e) for a one-time transfer of a student from the place of permanent residence to the regional unit where the Department / University of Health Sciences of the Institution , the School of Officers or the School of Police of the Hellenic Police /the School of Probation or the School of Port Guards - Hellenic Coast Guard are located, for study purposes, according to circumstance (o) of par. 2 of article 3 or for a one-time transfer of a student, for the purpose of conducting examinations, to the place of permanent residence in the regional unit where the institution / examination center is located, in accordance with circumstance (b) of par. 2 of article 3, f) for the movement to the peripheral unit where the Department / School is located for the purpose of transporting household goods after the termination of the lease agreement referring to the homes of students who rent a property on the site of their studies, accompanied by one more person and for a seventy two (72) hour time limit since the beginning of the aforementioned movement of that purpose. The case o) of par. 2 of article 3 is applied accordingly. For the certification of the reasons for exceptional movement, par. 3 and 5 of article 3 are applied.
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Maritime connections within the country.
1.The traffic of all types of ships and boats and the operation of ferries for the transport of passengers by sea is prohibited, including private pleasure boats and commercial tourist boats, barges and sea taxis from mainland areas of Greece to the islands and vice versa, as well as between the islands of the country. The operation of ships and vessels for the purpose of transporting passengers by sea for the reasons of cases a), c), f), g), j), k), q) and o) of par. Article 3. is excluded from previously mentioned paragraph’s application . Especially regarding the circulation from the smaller islands to the larger ones, as well as the transportation of the inhabitants of Municipality of Trizinia- Methana to the island of Poros, movement is permitted for the reasons stated in cases d) and e) of par. 2 of article 3.
The departure and arrival of any type of amateur boat, private pleasure boats and professional tourist ships, regardless of flag, is prohibited within the Greek Territory. These ships and vessels may execute transportation itineraries in the following cases of:
(a) Emergencies and force majeure relating to mechanical damage, damage in general, government and other relevant, absolutely necessary, cases relating to the safety of navigation and the protection of the marine environment b) modifications and test vessels, in accordance with the current provisions and the orders of the Port Authorities in charge ;
(c) ships's and vessels's supplement of fuel, water and other supplies
(d) arrivals in / from shipyards for repair and execution of other related works. After the completion of the above works, departures are allowed for a single empty passenger voyage, destined either to the port of the ship, or to another port of its Captain’s desire.
(e) serving purposes exclusively related to the security of the country's critical energy infrastructure. This case concerns exclusively the professional pleasure boats as described in the law 4256/2014 (A '92) f) usage for training purposes concerning sports for which training is allowed, according to point 20 (Sports) of the table of par. 1B of article 1, g) amateur fishing activities with the use of boats of up to eight (8) meter length in accordance with circumstance i) of par. 2 of article 3.
The arrival of cruise ships in the Greek Territory is prohibited, regardless of the flag of the ship. Cruise ships, which at the time of the present JMD’s entry into force are docked, passenger gaps, in ports of mainland Greece, as well as in the ports of Rhodes, Heraklion and Corfu, are allowed to arrive in shipyards of mainland Greece, for the purpose of carrying out repair and maintenance work, given that the above is proven by the relevant yard. After the completion of the works, the ships are allowed to depart for mooring in a port of their choice among the above mentioned. The aforementioned allowance is also provided for the cruise ships which are either already present, or have already sailed from shipyards of mainland Greece during the previous period. Masters, ship-owners or ship managers, as well as any other managers, are required to comply with instructions to health authorities and cruise ship operators remaining docked in Greek ports during the COVID-19 pandemic, as well as the instructions to the health authorities and cruise ship operators that remain moored in Greek ports during the COVID-19 pandemic, that are available on the website of the Ministry of Shipping and Island Policy (https: / /www.ynanp.gr/el/), as well as on the website of the National Organization of Public Health (https://eody.gov.gr/). APR 27TH 2021
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Sanctions
In case of non-compliance with the measures of article 1 of the examined JMD, sanctions are imposed, depending on the degree of risk to public health, for each violation, imposed with a justified act of the competent authority, above sanctions can be found in detail in table 1 of article 6 of JMD no. ΚΥΑ Δ1α/Γ.Π.οικ.17698/19.3.2021
Indicatively:
The arrangement or hosting of events by companies or any legal entity draws, for the first violation an administrative fine of five thousand (5,000) euro and suspension for fifteen (15) calendar days and for the second violation an administrative fine of ten thousand (10,000) euro and suspension for thirty (30) calendar days.
The arrangement of gatherings or events by natural persons draws, for the first violation an administrative fine of three thousand (3,000) euro and for the second violation an administrative fine of five thousand (5,000) euro.
Natural persons who do not comply with the obligation to use a mask, the rules of keeping distance and other liabilities arising from articles 1 and 2, are imposed an administrative fine of three hundred (300) euros, for each violation, with a reasoned act of the competent authority, provided that there is no more specific provision in paragraph 1.
Persons violating the traffic restriction of articles 3 and 4 shall be imposed an administrative fine of three hundred (300) euros for each violation, by a simple act of the authority of article 8 which is in accordance with article 104 of the Road Traffic Code, as in force. Especially in the case that the employer makes a declaration of false or counterfeit information or issues a false certificate of article 3, an administrative fine of five hundred (500) euros is imposed on the aforementioned by a justified act of the competent authority.
The application of the present does not affect criminal penalties that may be provided additionally.
Control and sanctions competent authorities. a) Authorities that are competent to ensure the application of above JMD, for the conduct of audits, the detection of violations and the imposition of administrative penalties are, the Hellenic Labor Inspectorate (LIC), the Health Services of first and second degree local authorities, the Directorates of Development of the Regional Units, the Hellenic Police, the Municipal Police and the Port Authorities in their area of responsibility, the General Secretariat of Commerce and Consumer Protection, as well as the National Transparency Authority (NTA) of Article 82 of Law 4622/2019 (A '133). b) Control bodies are the following: inspectors of the Hellenic Police, the competent health bodies of the Health Services of the first and second degree local authorities, the competent bodies of the Development Directorates of the Regional Units, the uniformed personnel of the Greek Police, the personnel of the Municipal Police, the uniformed personnel of the Port Authorities, the auditors of the Inter-Service Market Control Unit, as well as the inspectors- auditors of the National Transparency Authority (E.A.D.).
The above auditing bodies carry out regular audits, extraordinary audits and post-complaint audits, then, inform in writing their head of department or authority concerning the results of the audits. During any inspection, they are obligated to bear and present their official identity card or other documentation proving their status.
The competent authorities of case (a) that impose fines on companies, are obliged to send the planning and the details of the relevant sanctions in accordance with Annex VII, which is an integral part of the present JMD, after the issuance of the relevant decision of the Head of the service or authority, in accordance with par. 3 of Article 9., addressing it to APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 the email address [email protected] or to a platform of the website https: // kye- gge.midev.gov.gr and with the General Secretariat of Trade and Consumer Protection of the Ministry of Development and Investment as a recipient.
Audit procedures -Certification of infringements
The competent authorities referred to in Article 8, shall carry out checks for compliance with the examined JMD and shall confirm the relevant infringements as well as impose the prescribed sanctions (administrative fine and suspension of operation, where provided), through the relevant inspection bodies.
These audits shall be carried out in the context of the audit action of the competent authorities, as defined herein and in their respective operating bodies and in accordance with their responsibilities.
Supposing that an infringement is detected, an act of Imposition of Fine and Suspension of Operation is drawn up by the auditing bodies (Annex VI, which is an integral part of this), if the case occurs . In the event that the violation concerns a store of health interest or a company or organization / body, on the assumption of refusal of receipt, the served act is sealed at the place where the violation was found in the presence of two (2) of the relevant audit bodies. For the refusal of receipt and the sealing, a relevant signed and dated reference is made in the copies of the served deed. Within five (5) working days from the service of the Act of Imposition of Fines and Suspension of Operation, the auditee may submit in writing his objections to the Head of the service or authority to which the body that found the violation belongs. The submission of objections is made only electronically to the relevant address that is obligatorily indicated in the form of the Deed of Imposition of Fine and Suspension of Operation. With the exception of the services of the Hellenic Labor Inspectorate (LIC), where a reasoned decision of the Head of the Service on the objections is issued within two (2) working days, to the other principles of par. 1 of article 8, by decision of the Head of the service or authority, a three-member committee is formed, which examines the objections within two (2) working days and accepts or rejects them with a reasoned report on the specific incidents and facts.
If the submitted objections are rejected, the administrative acts that are already imposed (administrative fine and suspension of operation, where provided) are ratified by the Head of the service or authority, who issues a relevant decision. The deadline for submission as well as the submission of objections do not suspend the execution of the measure of suspension of operation of the company / organization / body, which is imposed in excess of the finding of the violation by the competent auditing authorities.
OTHER RELATIVE JMD: FEK Β’ 649/2020, 648/2020, 666/2020, 668/2020, 723/2020, 724/2020, 708/2020, 725/2020, 726/2020, 727/2020, 728/2020, 731/2020, 782/2020, 783/2020, 833/2020, 848/2020, 850/2020, 855/2020, 856/2020, 857/2020, 858/2020859/2020, 860/2020, 861/2020, 862/2020, 863/2020, 864/2020, 915/2020, 928/2020, 1388/2020, 1391/2020, 1392/2020, 1468/2020, 1471/2020, 1473/2020, 1475/2020, 1476/2020, 1479/2020, 1480/2020, 80588/2020, 186/2021, 9147/2021, 1076/2021, 1119/2021. Circular ΥΠΕΣ ΔΙΔΑΔ Φ/69/108/οικ.7874
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CRITICAL LEGISLATION ON COVID-19
Right of Appeal (article 1, paragraph 5 of Legislative Act of 25.02.2020)
Any person affected by the above measures is entitled to submit to the President of the Administrative Court of First Instance of the district where the measure is imposed objections against the measure. The objections are heard with or without the presence of the counterparty, provided that they are under restraint and may be represented by a lawyer or other person. The President shall rule irrevocably. Furthermore, the provisions of the Code of Administrative Procedure apply accordingly. Specific issues may be regulated upon decision of the Minister of Justice for the implementation of this paragraph.
Penalties (article 1, paragraph 6 of Legislative Act of 25.02.2020) & article 285 of Criminal Code)
Failure to comply with the provisions of this Article shall result in punishment by imprisonment of up to two (2) years, unless it is provisioned a stricter punishment for this offense.
By virtue of the Circulars issued by the Supreme Court’s Prosecutor dated 12.03.2020 and 31.03.2020, it was noted to the locally competent Public Prosecutors that they shall also pursue criminal prosecution against any punishable act under art. 285 of Criminal Code (violation of disease prevention measures), which carries stricter penalties.
JMD no. 1016/14/62 9.4.2020 (FΕΚ Β’ 1275/2020)
Definition of the bodies, monitoring procedure regarding any breach of the extraordinary measures enacted for confronting COVID 19, affirmation and collection of the relevant fines, disposal of the above collection and of any other relevant detail.
Furthermore, among other things, Article 44 of the Legislative Act defines the Rules of social distancing as follows:
1. In order to deal with the risk of spread of the COVID-19 coronavirus and for the absolutely necessary period, it may be set out by joint decision of the Ministers of Development and Investment, Citizen Protection, Labor and Social Affairs, Health, Interior Affairs and, case-by-case, the competent Ministers issued following the opinion of the National Commission for the Protection of Public Health against the COVID-19 coronavirus, in all or in part of the territory, in public services, private enterprises or categories thereof, as well as in any other, public and private gathering places: a) mandatory use of a mask b) measures to maintain a maximum proportion of persons per certain area and minimum distance between them c) personal health and protection measures d) special operating rules.
2. For natural persons who violate the measures of par. 1, an administrative fine from one hundred and fifty (150) to five thousand (5,000) euros is imposed for each violation, with a justified act of the competent authority. For companies that violate the above measures, for each violation, with a justified act of the competent authority, an administrative fine of one thousand (1,000) to one hundred thousand (100,000) euros and suspension of operation for a period of fifteen (15) to ninety (90) days is imposed. APR 27TH 2021
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3. The competent authorities for ensuring the implementation of the measures of par. 1, the ascertainment of violations and the imposition of the administrative fine of par. 2 is the Hellenic Police, the Municipal Police and the Port Authorities in their area of responsibility, the General Secretariat for Trade and Consumer Protection, as well as the National Transparency Authority (EAD) of article 82 of law 4622 / 2019 (A '133).
4. The decision of par. 1 specifies the administrative fine of par. 2, depending on the degree of risk to public health, as well as the relevant competent bodies for imposing penalties and the applicable procedure is set out, as well as any other necessary details for the implementation of the present.
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
2. MEASURES CONCERING THE OPERATION OF THE JUDICIAL SYSTEM
According to the Joint Ministerial Decision of 24.04.2021, no. Δ1α/ΓΠ.οικ. 26380 (Government Gazette Β’ 1682/24.04.2021), it was decided the extension of emergency measures in the courts and prosecutors' offices as well as in the local mortgage registries and land registries of the country, for the period from 26.04.2021 to 03.05.2021 to prevent further spread of COVID-19.
By virtue of the above decision, for the period from 26.04.2021 to 03.05.2021, the following were decided in particular:
1. Trials before the Council of State, ordinary administrative, civil and criminal courts are suspended. 2. Legal and judicial time-limits for proceedings (such as lodging of an action, written pleadings, addendum in rebuttal etc.) and other actions before the courts’ and prosecutors’ offices, as well as the limitation period of the relevant claims are suspended. 3. Enforcement procedures and auctions as applicable are suspended. 4. Setting a ceiling of fifteen people (15) for those entering into court rooms and keeping a distance of one and a half (1.5) meters between persons (whenever there is a hearing date). 5. Posting on the entrance of the court or the prosecutor's office and on their website the specific issues and the necessary measures taken under their responsibility, for the safe operation of the services of the court or the prosecutor's office in view of the COVID-19 pandemic.
As regards the areas that are included in the very high risk level (e.g. Attica), the following are provided in particular:
Notwithstanding the suspension, it is permitted:
Regarding the Council of State:
1. The trial of cases ready for discussion, pending before the Council of State Plenary. 2. The trial of cases ready for discussion, according to par. 4 of art. 22 of the presidential decree no 18/1989 (A’ 8), provided that statements have been made on the representation of the parties, without their appearance at the hearings. 3. The hearing of requests for issuing provisional injunctions 4. The hearing of urgent applications for interim legal protection. 5. The elaboration of urgent presidential decrees. 6. The conduction of conferences by distance using official technological means, as well as the conduction of urgent conferences with physical presence. 7. The publication of rulings.
Regarding the ordinary administrative courts, it is permitted:
1. As regards proceedings for annulment, the trial of cases ready for discussion, according to art. 22 par. 4 of the presidential decree no 18/1989 (A’ 8), provided that statements have been made on the representation of the parties, without their appearance at the hearings. APR 27TH 2021
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2. The trial of administrative disputes as to the substance, provided that statements have been made on the representation of the parties, without their appearance at the hearings, as well as the trial of appeals against acts of imposition of security measures of debt to the State according to art. 46 of Law 4174/2013 (A' 170). 3. The hearing of requests for issuing provisional injunctions. 4. The hearing of urgent applications for interim legal protection. 5. The submission and hearing of objections against the decisions of detention of a foreigner and requests for revocation against the rulings issued on the objections, according to par. 3-6 of art. 76 of law 3386/2005 (A’ 212). 6. The submission and hearing of appeals according to par. 5 of art. 1 of the legislative act from 25.02.2020 (A' 42), which was ratified with art. 1 of law 4682/2020 (A' 76). 7. The conduction of conferences by distance using official technological means, as well as the conduction of urgent conferences with physical presence. 8. The publication of rulings.
Regarding the Court of Auditors, it is permitted:
1. The trial of cases, pending before the Court of Auditors Plenary, as well as the trial of cases of pre-contractual audit before the 7th Chamber. 2. The holding of hearings by the other judicial formations without the presence of parties at the hearing, provided that statements have been made on the representation of the parties. 3. The hearing of urgent applications for interim legal protection. 4. The hearing of requests for issuing provisional injunctions. 5. The conduction of pre-contractual audit work. 6. The conduction of conferences by distance using official technological means. 7. The publication of rulings.
Exceptions from suspension as regards civil cases:
1. The first instance trials of the ordinary procedure according to the provisions of law 4335/2015 (A' 87). 2. Appeals before the Courts of Appeal concerning employment disputes, oppositions against enforcement proceedings, maintenance by law, custody and communication, which have been judged in the first instance with both parties present in accordance with the provisions of the ordinary procedure or the special procedures. These trials are conducted either with the presence of the attorneys of the parties, or with the statement of art. 242 and 524 of the GCCP, which is submitted by at least one (1) of the attorneys of the parties. 3. The trials of oppositions against enforcement proceedings, in which witnesses may be examined at the hearing. 4. Τhe trials of employment disputes, in which witnesses may be examined at the hearing. 5. The trials of maintenance by law, custody and communication, in which witnesses may be examined at the hearing. 6. The trials of appeals against rulings issued in absentia according to art. 528 GCCP, regarding employment disputes, oppositions against enforcement proceedings, maintenance by law, custody and communication, in which witnesses may be examined at the hearing. 7. The trials of provisional measures regarding employment disputes, oppositions and applications for suspension against enforcement proceedings, maintenance by law, custody and communication, as well as trials of provisional measures aimed at guaranteeing, registering or removing or reforming a pre-notation of mortgage, conservative attachment of movable or immovable property, the European Account Preservation APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Order in accordance with art. 738A of the GCCP, the revocations thereof and the relevant disputes referred to in art. 702 of the GCCP. 8. The first instance trials of non-contentious jurisdiction, the first instance trials concerning special laws which are adjudicated by the procedure of non-contentious jurisdiction and the first instance trials of Law 3869/2010 and no. 1 of Law 4745/2020, which are conducted in physical presence of the attorneys of the parties and exclusively with the possibility of presenting affidavits. These trials are conducted provided that statements have been made on the non-examination of witnesses. Exceptionally, as regards trials concerning placing under guardianship (art. 801 et seq GCCP), declaration of a holographic will as the main one (art. 803 par. 3 GCCP) and trials of art. 68 et seq. of Law 4307/2014 (A’ 246), witnesses may be examined. 9. The second instance trials of non-contentious jurisdiction, the second instance trials concerning special laws which are adjudicated by the procedure of non-contentious jurisdiction and the second instance trials of Law 3869/2010 and no. 1 of Law 4745/2020, which are conducted in physical presence of the attorneys of the parties and exclusively with the possibility of presenting affidavits 10. The adjudication of lawsuits of art. 22 of Law 1264/1982 (A' 79). 11. The grant or suspension of provisional injunctions, which are heard through pleadings of the attorneys and without the examination of witnesses. The provisional injunctions that were issued prior to the suspension and are valid upon the hearing are extended by decision of the President of the Office of its own motion, who also determines the duration of the extension. 12. Transfer agreements according to art. 14A of Law 3429/2005 (Α’ 314). 13. All legal proceedings and actions defined in art. 68 et seq. of Law 4307/2014, auctions and legal and judicial time limits for their conduct, except in cases where applications initiating third-party proceedings have been submitted. 14. The publication of rulings.
Exceptions from suspension as regards criminal cases:
1. Hearings of flagrante delicti, provided that the defendant concerned, is detained by virtue of the provisions regarding the flagrant procedure. 2. Hearings of felonies for the temporarily detained defendants, whose maximum limit of temporary detention is completed. 3. The hearings of the applications for suspension of execution according to art. 471 and 497 of the Greek Code of Criminal Procedure, annulment of the procedure according to art. 341 and 435 of the GCCP, annulment of the decision according to art. 430 and 431 of the GCCP, postponement or cessation of execution of the sentence according to art. 555 and 557 of the GCCP, as well as the applications concerning the determination of a cumulative sentence according to art. 551 of the GCCP, the assessment of the penalty payment in installments within the time limit according to art. 80 of the current Criminal Code and 82 of the previous Criminal Code (presidential decree 283/1985, A' 106) and the conversion of the financial penalty or the fine to the provision of community service according to par. 5 of art. 82 of the previous Criminal Code. 4. Hearings of felonies whose limitation period expires within the period from the commencement of the suspension until 31.12.2022, as well as misdemeanors, whose limitation period expires within the period from the commencement of the suspension until 31.12.2021. 5. The time limits for appeals against rulings. 6. The time limits provided in the Greek Code of Criminal Procedure for appeals against temporary detention warrants and against rulings imposing temporary detention or restrictive conditions. 7. The time limits provided in par. 2 of art. 308 and in par. 2 of art. 309 of the Greek Code of Criminal Procedure.
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As regards the operation of the services of the Mortgage and Cadastral offices:
Transactions and control of files are allowed, only in urgent cases and by appointment, according to the special conditions provided for in a decision of the Head of the competent Mortgage Office, Cadastral Office or branches of the “Hellenic Cadaster Authority”, which is posted on the entrance of the service as well as on its website.
It is decided the suspension of:
1. Any deadline relating to the transfer, registration of applications and transactions or receipt of certificates and copies. 2. The limitation period of the relevant claims.
In any case, the mortgage offices and cadastral offices of Rhodes, Kos-Leros as well as the branches of the “Hellenic Cadaster Office” are still working as regards administrative operations.
Especially for the cadastral offices and branches of the Body "Hellenic Cadaster Authority" where an electronic service of application, issuance and receipt of certificates is provided, it still operates.
Recently the Law 4764/2020 (Issue A’ 256/23.12.2020) and the Law 4784/2021 (Issue A’ 43/23.03.2021) were published, which include special procedural regulations regarding the operation of civil, criminal and administrative courts.
Regarding administrative cases the abovementioned Laws provide for (art. 157 of Law 4764/2020 & art. 21 of Law 4784/2021):
1. The granting of a deadline of seven (7) days, from the date of the hearing, so that the parties shall submit the legal documents, the court stamp and the written pleadings to the Council of State and the Court of Audit. 2. At the ordinary administrative courts the parties have a period of seven (7) days, from the date of hearing, in order to submit the legal documents, the court stamp and the written pleadings regarding disputes for annulment and the same deadline in order to submit the legal documents and the court stamp regarding substantive disputes. 3. The statements of par. 6 of art. 33 of the Presidential Decree no. 18/1989 (A' 8), par. 2 of art. 133 of Law 2717/1999 and 231 of Law 4700/2020 (A' 127) may also be drawn up by electronic means via the Single Digital Portal of Public Administration.
Regarding civil cases the abovementioned Laws provide for:
1. In event the hearing of a case of any degree of jurisdiction and any procedure was not heard during the suspension of the courts, it is appointed ex officio by act of the President of the Chamber or the judge, day and time of hearing in the shortest available trial. The registration of the case in the relevant board or exhibit, which can be kept electronically, is done on the initiative of the secretary and it is valid as summon of all parties. The parties will be informed about the new hearing date by the relevant bar association and through the website solon.gov.gr for those courts and proceedings that have been registered to this website. 2. The time division within the same day of all cases registered in the case list, except those of the new procedure. 3. The possibility of postponement free of charge, when the case is called on the day of the trial, without the commitments of art. 241 of the GCCP and without appearance of the attorneys, under the conditions of par. 2 of art. 242 of the GCCP. APR 27TH 2021
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4. The possibility of case’s hearing at the beginning of the case list after a relevant statement by the parties, when the hearing is conducted without examination of witness. 5. The possibility of obtaining an affidavit before a lawyer at the seat of the court or at the residence of the witness in accordance with art. 422 to 424 of the GCCP. 6. The automatic extension, until the new hearing, of the validity of the preliminary injunctions and provisions of rulings for applications for suspension of execution or enforceability - which were granted until the hearing of the relevant application that was cancelled due to the suspension of trials or were determined to be in force subject to the condition of the conduct of the hearing.
Regarding criminal cases the new Law provides for (art. 159 of Law 4764/2020):
1. The possibility of submitting by e-mail the applications for suspension of execution according to art. 471 and 497 of Code of Criminal Procedure, annulment of decision according to art. 430 et seq. of Code of Criminal Procedure, annulment of procedure according to art. 341 and 435 of Code of Criminal Procedure, postponement or interruption of enforcement of sentence according to art. 555 and 557 of Code of Criminal Procedure, as well as the applications regarding the determination of a total sentence under art. 551 of Code of Criminal Procedure, the imposition of a fine in installments within the term under art. 80 and 82 of the previous Penal Code and the conversion of the penalty payment or the fine into community service according to art. 82 par. 5 of the previous Penal Code. 2. The use of e-mail for the transmission to the parties of a copy of the prosecutor's proposals according to art. 138 par. 3, 308 par. 2 and 309 par. 2 of Code of Criminal Procedure.
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
3. TAX MEASURES
Article 1 of Legislative Act of 11.03.2020
Suspension of VAT payment under conditions
For undertakings affected financially by the occurrence and spread of COVID-19 coronavirus, the VAT payment deadline may be extended and the collection of debts assessed by VAT returns with payable tax amount (debit) may be suspended. During extension of payment and suspension of collection period no interest and surcharges shall be imposed on the amounts due. Τhe undertakings affected per business sector and per region, the extension period of the VAT payment deadline and the period of suspension of the VAT collection as well as any other details necessary for the implementation of the present are specified By decision of the Minister of Finance, upon recommendation by the Chief of the Independent Public Revenue Authority (AADE).
Article 2 of Legislative Act of 11.03.2020
Suspension of collection of assessed debts and extension of payment of installations deadline
For undertakings affected financially by the occurrence and spread of COVID-19 coronavirus, the payment deadline may be extended and the collection of assessed debts to Tax Offices(DOY) or Audit Centers as well as the payment deadlines of installments based on arrangements/settlement schemes may be suspended. During deadline extension and suspension of payment of assessed debts and installments based on arrangements/settlement schemes no interest and surcharges shall be imposed on the amounts due. The undertakings affected per business sector and per region, the extension period of the payment deadline and the period of suspension of the collection of assessed debts and installments based on arrangements/settlement schemes as well as any other details necessary for the implementation of the present are specified by decision of the Minister of Finance, upon recommendation by the Chief of the Independent Public Revenue Authority (AADE).
Article 9 of Legislative Act of 11.03.2020
Extension of suspension of VAT payment for businesses affected that had transactions with “Thomas Cook Group PLC” company.
The suspension as provided in paragraph 1 of article seven of 30.9.2019 Legislative Act "Urgent regulations under responsibility of the Ministries of Environment and Energy, Internal Affairs, Finance and Health" (A 145), ratified by Article 2 of Law no. 4638/2019 (A΄ 181) is extended until 30.6.2020.
For more details in relation to the Legislative Act of 11.03.2020 press here
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Α. 1054/2020
Determination of the details for implementation of the article 1 of Legislative Act of 11.03.2020
The deadlines for the payment of assessed debts to the Tax Offices (DOY) / Audit Centers by VAT returns with payable tax amount (debit), that expire or have expired from 11/03/2020 until 30/04/2020, for undertakings that have an active primary Business Activity Code on 20/03/2020 one of those stated in the attached table of this decision are extended until 31/08/2020. Further, the collection of the above assessed and overdue on 11.03.2020 debts is suspended until 31/08/2020. Interests and surcharges shall not be calculated. In the event that the employees of the undertakings are suspended from their employment contract and the employer concerned terminates it, as well as, in the event that after completion of the measure, the undertakings do not maintain the same existing number of employees, the extension or suspension shall terminate automatically and interest and surcharges shall be imposed to the debts as of the date of their assessment.
For more details in relation to Α. 1054/2020 press here
Α. 1053/2020
Determination of the details for implementation of the article 2 of Legislative Act of 11.03.2020
The deadlines for the payment of assessed debts to the Tax Offices (DOY) / Audit Centers that expire or have expired from 11.03.2020 until 30.04.2020, for undertakings that have an active primary Business Activity Code on 20.03.2020 one of those stated in the attached table of this decision are extended until 31.08.2020. Similarly, until 31.08.2020 the collection of the assessed and overdue on 11.03.2020 debts of the aforementioned debtors is suspended. Interests and surcharges shall not be calculated. In the event that the employees of the undertakings are suspended from their employment contract and the employer concerned terminates it, as well as, in the event that after completion of the measure, the undertakings do not maintain the same existing number of employees, the extension or suspension shall terminate automatically and interest and surcharges shall be imposed to the debts as of the date of their assessment.
For more details in relation to Α. 1053/2020 press here
Press Release from Ministry of Finance
Updated list of Activity Codes affected by the spread of coronavirus
According to the Ministry of Finance's Press Release, an updated list with the Business Activity Codes affected by the spread of coronavirus is provided. Private businesses that have one of the main Business Activity Codes listed below are included in the support measures. In case of a four-digit Activity Code all subcategories of six-digit and eight-digit Codes are included. In case of a six-digit Activity Code, all categories of eight-digit Codes are included. It is noted that this list is dynamic and shall change according to the relevant Ministerial Decisions as the crisis progresses. It is estimated that approximately 600,000 private undertakings with 1,200,000 employees and a monthly turnover of about 8.3 billion euros, as well as 550,000 freelancers, self-employed and individual business owners are included.
For more details in relation to the Press Release press here for the updated list of Business Activity Codes here
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CRITICAL LEGISLATION ON COVID-19
Α. 1050/2020
VAT exemption in goods and services under a donation contract with the State
By virtue of Decision A. 1050/2020 the procedure for granting / applying the VAT exemption in deliveries of goods and services made by the taxpayer to a donor from 14.2.2020, subject to donation tax under a donation contract concluded by the donor with a public sector body as defined in Article 14 of Law 4270/2014, or with legal entities governed by private law established by a special law in favor of the public interest or with other entities supervised by the above entities.
For more details in relation to Α. 1050/2020 press here for the Press Release here
Ε. 2033/2020
Instructions for import and export of goods at customs
By virtue of Circular Ε.2033/2020 digital facilities are provided to customs to accelerate clearance and facilitate trade. Specifically, complete online import and export procedures are introduced through the integrated ICISnet Information System, which supports the electronic submission of declarations and their supporting documents, as well as the monitoring and keeping the persons concerned updated at all stages of the process via messages. Printing of declarations therefore becomes reasonably unnecessary.
For more details in relation to Ε. 2033/2020 press here for Press Release here
Article 1 of Legislative Act of 20.03.2020
Reduction of VAT in hygiene and protection articles
In Chapter A "Goods" of Annex III to the VAT Code (Law 2859/2000, A 248) is added paragraph 50 as follows: "50. Protective masks and gloves for medicine (to protect against viruses and to prevent disease transmission - hospital and private use) (DK EX 3926, EX 4015, EX 4818 EX, EX 6307). Soap and other preparations for personal hygiene (DK EX 3401 and EX 3402). Antiseptic solutions, antiseptic wipes and other antiseptic preparations (DK 3307 EX, DK EX 3401, DK EX 2828, DK EX 3402, DK EX 3808 and EX 3824). Denatured ethyl alcohol (DK EX 2207), intended as a raw material for the production of antiseptics. Pure ethyl alcohol, non-denatured, of agricultural origin with an alcoholic strength of 95%, available for sale in retail, in accordance with par. 5 of article 8 of Law 2969/2001 (A '281) (DK EX 2207).The rate of tax on the goods in the said tariff lines is set at six percent (6%).
It is valid until 31st of December 2020.
Article 2 of Legislative Act of 20.03.2020
Reduction of the lease on commercial and primary residence leases
The tenant on a commercial lease for the establishment of an undertaking, for which special and extraordinary measures of suspension or temporary prohibition of their operation have been taken related to the COVID-19 coronavirus, shall be exempt from the obligation to pay 40% of the total rent for the months of March and April 2020. Stamp duty and VAT as applicable are recalculated and imposed on the lease fee as resulted from the above partial APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 payment. The same applies to lessees who have been granted the use of movable or immovable property, or both, exclusively for business purposes, in the context of a leasing agreement, and applies to undertakings that are in suspension or in temporary prohibition of their operation due to the COVID-19 coronavirus. The same applies to primary residence leases where the lessee is an empoloyee in an undertaking of the same paragraph whose employment contract has been temporarily suspended because of the measures to prevent the spread of coronavirus COVID-19. The employee is required to be engaged in the undertaking with a relationship of employment at the time of the implementation of the special and emergency measures of suspension or temporary prohibition of the operation for preventive or repressive reasons related to the COVID-19 coronavirus.
Article 3 of Legislative Act of 20.03.2020
Acceleration of Income Tax and VAT Refunds
In pending cases, at the time of entry into force of this Law, cases of tax refund control of legal persons and legal entities or VAT refund of natural persons or legal persons and legal entities, provided that the total amount of pending applications amounts to thirty thousand (30,000) euros, per tax and per beneficiary, the refund shall be made immediately, subject to the provisions on limitation period. Pending cases mean control cases for which no temporary corrective assessment of tax has been issued. For the returns hereunder a sample audit may be performed in accordance with the provisions of article 26 of Law 4174/2013 (A1717).
Article 5 of Legislative Act of 20.03.2020
Extension of the payment deadline and suspension of collection
Article 2 of Legislative Act of 11.3.2020 is amended as follows: 1. In paragraph 1, after the words "COVID-19", the words "as well as employees of such undertakings" are added. 2. The following sub-paragraph shall be added at the end of Article 2 paragraph (1): "The preceding subparagraphs also apply to natural persons who lease immovable property to undertakings affected financially by the occurrence and spread of the COVID-19 coronavirus". 3. In Article 2 paragraph (2) after the words "and by region", the words "and their employees" are added. 4. The following sub- paragraph shall be added at the end of Article 2 (2): 'By a similar decision, the implementation of the provisions of the present may be extended to other categories of natural persons affected financially by the occurrence and spread of the COVID-19 coronavirus.
For more details in relation to Legislative Act of 20.03.2020 press here
Ε. 2037/2020
Notification of the provisions of Article 3 of Legislative Act of 20.03.2020
By virtue of Circular E. 2037/2020 the provisions of Article 3 of Legislative Act of 20.03.2020 on the acceleration of income tax and VAT refund are notified, to inform and apply their actions to all Tax Offices, KMEEP and KEFOMEP in a coordinated manner.
For more details in relation to Ε.2037/2020 press here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ε. 2038/2020
Amendment of Annex III to the VAT Code - Notification of Article 1 of Legislative Act of 20.03.2020
By virtue of Circular E.2038 / 2020 the provisions of Article 1 of Legislative Act of 20.03.2020 are notified and all the goods included in the tariff lines set out in paragraph 50 of Annex III to the VAT Code are detailed.
For more details in relation to Ε.2038/2020 press here
Commission’s Proposal for dealing with the coronavirus pandemic
Proposal to activate fiscal framework’s general escape clause
The Commission has called on the Council to approve its proposal to activate the general escape clause of Stability and Growth Pact (SGP) to tackle as quickly as possible the coronavirus pandemic. Once endorsed by the Council, this proposal will allow Member States to undertake measures to deal adequately with the crisis, while departing from the budgetary requirements that would normally apply under the European fiscal framework. The proposal represents an important step in fulfilling the Commission's commitment to use all economic policy tools at its disposal to support Member States' in protecting their citizens and mitigating the pandemic's severely negative socio-economic consequences.
For more details in relation to Commission’s Proposal press here
A.1055/2020
Free disposal of ethyl alcohol to the Ministry of Health
By virtue of the Decision A.1055/2020, the Decision A.1048/2020 is amended. In particular, the new Decision replaces Article 1 paragraph 1 of A.1048 /2020 as follows: “For the purpose of producing antiseptic products in order to meet the urgent needs of public health, we dispose free of charge to the Ministry of Health, free from tax and any other charges, ethyl alcohol of an amount of one hundred twenty-two tons and six hundred kilos (122.6 tons) with an alcohol volume of 93,5% to 96.5%, which is under the management of the Customs Authorities of the Independent Public Revenue Authority and shall be gradually transferred to the 441st-ABYY facilities of the Greek Army, as well as to the facilities of the pharmaceutical production units of ELPEN SA, PHARMATHEN SA, IASIS Pharmaceuticals HELLAS SA, RAFARM SA, HELP SA, LAVIPHARM SA, UNI-PHARMA SA”. All other provisions of Decision A.1048/2020 remain as in force.
For further information regarding the Decision A.1055/2020 click here
Α.1056/2020
Terms and conditions for the denaturation of ethyl alcohol and for the exemption from the Excise Duty
By virtue of the Decision A.1056/2020, the Decision Φ.1554/811/2008 regarding the: “Terms and conditions for the denaturation and the exemption from the Excise Duty of ethyl alcohol, delivered to industries and crafts, pursuant to article 83 paragraph 1 b 'of of Law 2960/2001" is amended. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For further information regarding the Decision A.1056/2020 click here
Circular Ε.2039/2020
Import of denatured ethyl alcohol
By virtue of Circular No. E.2039/2020, the provisions of Article 23 of L.A./20.03.2020 are notified to the Tax Authorities, according to which article the Minister of Development and Investments may grant by a decision an import license of denatured ethyl alcohol from third countries during the period needed for preventing the risk of dispersing COVID-19 and in any case for a period which may not exceed four (4) months from the date of entry into force of the aforementioned L.A., i.e. from 20.03.2020. The aforementioned import is subject to customs legislation currently in force. Furthermore, it is noted that the requirements stipulated in Article 113 of Law 2960/2001 are not required to be met, as such requirements relate to the delivery of products subject to Excise Duty.
For further information regarding the Circular Ε.2039/2020 click here
IRS decision to extend FATCA deadlines due to Covid -19
Deadline extension for filing FATCA declarations
Due to the extreme conditions caused by the spread of the Covid -19, IRS has decided to extend the deadline for submitting the application for tax compliance with foreign accounts (FATCA), concerning foreign financial institutions. The deadline for submitting the FATCA declaration (form 8966) is extended from 31.03.2020 to 15.07.2020. Such deadline extensions and tax relief are automatically granted. Taxpayer is, therefore, not required to submit any additional forms (e.g. Form 8809-1 / Application for extension of FATCA report deadline) to IRS.
For further information regarding the IRS Decision click here
Α. 1061/2020
Supporting measures for businesses. Provisions for the implementation of Article 2/L.A. 11.3.2020, as amended by Article 5 of L.A./20.03.2020
The deadlines for the payment of certified tax obligations and installments in the context of a settlement scheme, being due as from 11.03.2020 to 30.04.2020, are suspended until 31.08.2020 for the individuals who lease their properties to businesses that on 20.03.2020 are primarily engaged in activities as per the Activity Code Numbers (ACN) which are included in the table annexed to the Decision A.1061/2020; or to businesses whose gross income as per their initial income tax return for tax year 2018 arising from secondary activities (as such activities are listed as per the Activity Code Numbers in the attached annex) in which they are engaged on 20.3.2020, is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020; or to employees whose employment contracts have been suspended either due to obligatory suspension of their employer’s business from the Greek State, or as a result of the employer’s decision (Article 11 sub-paragraph 2A a’ of L.A. 20.03.2020). Furthermore, the collection of certified tax liabilities, being due on 11.03.2020, is suspended up to 31.08.2020, free of interest and surcharges, for the aforementioned persons. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For further information regarding the Decision A.1061/2020 click here
Α. 1062/2020
Amendment of the Decision A.1053/2020 and the attached table with respect of Businesses’ Activity Code Numbers
By virtue of Decision A.1062/2020, Decision A.1053/2020, as well as the attached table with respect of Businesses’ Activity Code Numbers, are amended. More specifically, the following phrase is added in paragraph 1 after the word “table”: “or to businesses whose gross income as per their initial income tax return for tax year 2018 arising from secondary activities (as such activities are listed as per the Activity Code Numbers in the attached annex) in which they are engaged on 20.3.2020, is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020”. Furthermore, this decision lists the new updated table with the Activity Code Numbers of the affected businesses. This decision enters into force from 21.3.2020.
For further information regarding the Decision A.1062/2020 click here
Α. 1063/2020
Amendment of the Decision A. 1054/2020 and the attached table with respect of Businesses’ Activity Code Numbers
By virtue of Decision A.1063/2020, Decision A.1054/2020, as well as the attached table with respect of Businesses’ Activity Code Numbers, are amended. More specifically, the following phrase is added in paragraph 1 after the word “table”: “or to businesses whose gross income as per their initial income tax return for tax year 2018 arising from secondary activities (as such activities are listed as per the Activity Code Numbers in the attached annex) in which they are engaged on 20.3.2020, is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020”. Furthermore, this decision lists the new updated table with the Activity Code Numbers of the affected businesses. This decision enters into force from 21.3.2020.
For further information regarding the Decision A.1063/2020 click here
Α. 1064/2020
Extension of deadlines for submitting tax returns whose deadline expires within March and April 2020
The deadlines for submitting capital duty and stamp duty tax returns, expiring within March and April 2020, are extended for a period of two months. Furthermore, the deadline for submitting the environmental levy for plastic bags return pertaining to the first quarter of 2020 and expiring on 30.04.2020, is suspended until 30.06.2020. The deadline for submitting lodging tax returns, pertaining to records issued within February, expiring on 31.03.2020, is suspended until 29.05.2020. The deadline for submitting lodging tax returns, pertaining to records issued within March, expiring on 30.04.2020, is suspended until 30.06.2020. The deadline for submitting inheritance and gambling profits tax returns are suspended until 29.05.2020. The aforementioned provisions also apply to donations and parental grants tax returns in cases a notarial document is not drawn up. In addition, no audit shall take place for capital tax returns submitted during this period, and such audit will be performed at a later time.
For further information regarding the Decision A.1064/2020 click here APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
A.1052/2020
Extension of the deadline for submitting declarations of lease and short-term property lease to TAXISnet
By virtue of decision A.1052/2020, an extension of the deadline for submission of the above declarations is provided. In particular, the deadline for submitting the "Declarations with respect to Leased Property”, concerning initial or amending lease agreements, with a starting date or amending date from 01.02.2020 to 30.04.2020, as well as the deadline for submitting the "Declarations with respect to Short-Term Property Lease", concerning leases with check- out date or with cancellation date from 01.02.2020 to 31.05.2020, are extended until 30.06.2020.
For further information regarding the Decision A.1052/2020 click here
Article 1 of L.A./30.03.2020
25% discount on certified tax liabilities installments for businesses and individuals
Businesses that have been financially affected and individuals, as stipulated pursuant to the relevant decisions, shall be granted with a deduction of 25% on certified tax liabilities installments being due as from 30.03.2020 to 30.05.2020, provided that such installments are paid in due time, with the exemption of VAT and withholding taxes. The 25% discount also applies on installments for tax liabilities (including VAT and withholding taxes) under a settlement scheme. The aforementioned discount shall apply to certified tax liabilities that shall be paid following 30.03.2020.
Article 6 of L.A./30.03.2020
Provisions regarding the extension of deadlines provided in the Tax Procedure Code
The notification of initial temporary tax assessments or penalties, as well as final tax assessments or penalties is suspended until 30.04.2020.
The imposition of precautionary measures shall be suspended for as long as the measure of temporary, partial or total, suspension of courts is still in force.
The deadline for submission of observations or objections by taxpayers regarding the initial temporary tax assessments or penalties, as well as the deadline for the collection of information, copies of accounting books and records, etc. in the context of audits, is suspended until 31.05.2020. It is noted that the above suspension also covers the deadlines that had not expired on 11.03.2020.
The deadlines for filing an administrative appeal and a petition for suspension, which have expired or expire from 11.03.2020 to 31.05.2020, are suspended by sixty (60) days. In particular, the deadlines for the issuance of Directorate for Settlement of Disputes’ decisions on petitions for the suspension of payment of 50% of the disputed amount, as well as on administrative appeals, which have not been completed from 20.03.2020 until 31.05.2020, and provided that the relevant decision has not been issued until 20.03.2020, are extended by sixty (60) days.
In addition, the period for the claims of tax assessment and penalties to be time-barred which expire from 30.03.2020 to 31.05.2020 are suspended until 31.07.2020.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 10 of L.A./30.03.2020
Acceptance of donation agreements with respect to hospital - specific equipment
In view of the ongoing public health emergency, acceptance of hospital - specific equipment donations is not required to be approved from the Minister of Finance but is only required to be notified. With respect to the procedure to be followed for the said acceptance, suppliers who are subject to VAT may be granted with a discount on input VAT. Furthermore, the issued invoice shall not bear a tax charge, while the relevant exemption provision, the date of signing the donation agreement and the contracting parties have to be indicated to the above issued invoice.
Article 11 of L.A./30.03.2020
Partial rent payment
According to Article 11 of L.A./30.3.2020, the following paragraph is added to Article 2 of L.A./20.03.2020: “3. Specific terms and conditions, as well as any other details for the implementation of L.A./30.03.2020 are to be determined by virtue of joint decision of the Ministers of Finance, Development and Investments and Labor and Social Affairs".
Article 12 of L.A./30.03.2020
Suspension of the Operation of the "Central Ultimate Beneficial Owners Register” information system
The operation of the "Central Ultimate Beneficial Owners Register" information system provided in Article 20 paragraph 4 of Law 4557/2018 is suspended for a period of 3 months commencing from 30.03.2020. In addition, by a joint decision of the Ministers of Finance and Digital Governance, the above 3 month suspension may be extended for an equal period of time. During the aforementioned period, deadlines for filing information in said register are suspended accordingly.
Article 13 of L.A./30.03.2020
Provisions for the Hellenic Aviation Industry SA
In Article 55 of Law 4487/2017, a paragraph 3 is added as follows: “3. Subject to the European Union provisions on the certification of duties, for the cases provided in paragraphs 1 and 2, the clearance of which has not been possible for the above special custom procedure, the deadline for the certification of the due tax charges and fines pursuant to Law 2960/2001 is set to five years ".
For further information regarding the Law Act/ 30.03.2020 click here
Α. 1066/2020
Extension of the deadline for the payment of certified tax liabilities
The deadlines for the payment of the certified tax liabilities and installments under a settlement scheme, which are due up to 31.03.2020 are extended until 10.04.2020 for individuals a) over 70 years old or b) who have a disability of APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 over 80%, as it occurs from the tax return submitted for tax year 2018 or from other data available to the Tax Authorities.
For further information regarding the Decision A.1066/2020 click here
Α. 1068/2020
Extension of the deadline for the payment of certified tax liabilities
The deadlines for the payment of the certified tax liabilities and installments under a settlement scheme, which expire on 30.03.2020 and 31.03.2020, are extended until 10.04.2020, for businesses and individuals entitled to the 25% discount on certified tax liabilities, according to article 1 of L.A./30.03.2020.
For further information regarding the Decision A.1068/2020 click here
Α.1072/2020
Provisions for the implementation of Article 2 of L.A./11.3.2020, as amended and currently in force
Deadlines for the payment of certified tax liabilities and installments in the context of a settlement scheme, being due as from 01.04.2020 to 30.4.2020, are suspended up to 31.08.2020 for businesses that have been financially affected. Furthermore, collection of certified tax liabilities, being overdue on 01.04.2020, is suspended up to 31.08.2020, free of interest and surcharges, for businesses that have been financially affected. The aforementioned suspensions are automatically terminated and the aforementioned tax liabilities are burden with accrued interest and surcharges based on the initial date of certification, in case businesses terminate the employment contracts of (all or part of) their employees (which have been suspended due to current circumstances) and do not maintain the same number of employees, following completion of the aforementioned measures.
For further information regarding the Decision A.1072/2020 click here
Α.1073/2020
Provisions for the implementation of Article 1of L.A./11.3.2020, as amended and currently in force
Tax obligations for certified input VAT payment of businesses which have been financially affected, being currently due as from 01.04.2020 up to 30.04.2020, are suspended until 31.08.2020. Furthermore, the collection of certified input VAT payments of businesses which have been financially affected, being due on 01.04.2020, is suspended until 31.08.2020 free of interest and surcharges. The aforementioned suspensions are automatically terminated and the aforementioned tax liabilities are burden with accrued interest and surcharges based on the initial date of certification, in case businesses terminate the employment contracts of (all or part of) their employees (which have been suspended due to current circumstances) and do not maintain the same number of employees, following completion of the aforementioned measures.
For further information regarding the Decision A.1073/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1074/2020
Provisions for the implementation of Article 2 of L.A./11.3.2020, as amended and currently in force
Deadlines for the payment of certified tax liabilities and installments in the context of a settlement scheme, being due as from 01.04.2020 to 30.4.2020, are suspended up to 31.08.2020 for individuals who lease their property to businesses that have been financially affected. Furthermore, collection of certified tax liabilities, being due on 01.04.2020, is suspended up to 31.08.2020, free of interest and surcharges, for individuals who lease their property to businesses that have been financially affected.
For further information regarding the Decision A.1074/2020 click here
Α.1075/2020
Provisions for the implementation of Article 2 of L.A./11.3.2020, as amended and currently in force
Deadlines for the payment of certified tax liabilities and installments in the context of a settlement scheme, being due as from 01.04.2020 to 30.04.2020, are suspended up to 31.08.2020 for employees whose employment contracts have been suspended either due to obligatory suspension of their employer’s business from the Greek State, or as a result of the employer’s decision, running a business which is financially affected (Article 11 sub-paragraph 2A a’ of L.A. /20.03.2020). Employees, who work remotely, are in leave or work as security personnel, as well as employees whose employment is not suspended due to obligatory suspension of their employer’s business from the Greek State, are exempted. Furthermore, collection of certified tax liabilities, being due on 01.04.2020, is suspended up to 31.08.2020, free of interest and surcharges, for the aforementioned employees.
For further information regarding the Decision A.1075/2020 click here
Α. 1065/2020
Extension of deadlines for submitting data and information by private hospitals to the Independent Authority for Public Revenue (IAPR)
Deadlines for submitting data and information by private hospitals to the IAPR following its request, regarding their financial transactions with taxpayers according to article 15 of Law 4174/2013 are suspended until 31.08.2020.
For further information regarding Decision Α.1065/2020 click here
Α. 1069/2020
Extension of deadlines for submitting withholding tax returns regarding remunerations of commercial vessels’ staff.
Initial withholding tax returns and special solidarity levy provided in article 43A of Law 4172/2013 imposed on employment income of commercial vessels’ staff for January 2020 expiring on 31.03.2020, are considered to be paid in due time until 10.04.2020. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For further information regarding Decision Α.1069/2020 click here
35516 ΕΞ 2020
Suspension of proposals made by certified appraisers for the determination of the starting prices regarding real estate properties
By virtue of the above Ministerial Decision and in the context of precautionary measures of public health, the work of certified appraisers regarding the preparation of a proposal for the determination of starting prices and the regulation of related issues is suspended from 03.04.2020 and for as long as the measures against COVID-19 are still in effect. In addition, electronic registration of the starting prices and the value of plots in the database is suspended. The payment of the certified appraisers' fee is made subject to the recovery of the unduly paid amounts for the work that has been delivered until 02.04.2020. The final amount of the fee will be redefined after the completion of their work.
For further information regarding Ministerial Decision 35516 ΕΞ 2020 click here
A. 1077/2020
Change of residential address of individuals for the period of emergency measures
From 04.04.2020 and until the end of emergency measures with respect to suspension of movement, applications by individuals for changing residential address are not permitted, except in exceptional cases for which the required supporting documents to be filed shall be determined by new decisions.
For further information regarding Decision Α.1077/2020 click here
Ε. 2043/2020
Notification of provisions of L.A./30.03.2020
By Circular No. E.2043/2020 the provisions of articles 1, 2, 3, 4, 5, 6, 10, 63 and 69 of L.A./30.03.2020 (Government Gazzete No. A'75), as well as the provisions of article 38 paragraph 5 of L.A./20.03.2020 (Government Gazzete No. A '68) are notified to Public Authorities for their information and uniform application of the above provisions.
For further information regarding Circular No. Ε.2043/2020 click here
E.2045/2020
Relief from import duties and VAT exemption on importation of goods needed to combat the effects of the COVID-19 outbreak
By virtue of Circular No. E.2045/2020, the provisions of the Commission Decision (EU) C2020/491 regarding relief from import duties and VAT exemption on importation of goods needed to combat the effects of the COVID-19 outbreak are notified. More specifically, this decision allows Member States to import goods free of import duties and VAT, but APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Member States are obliged to inform the Commission by 30.11.2020 at the latest regarding the quantities and nature of goods admitted free of import duties and VAT, as well as regarding the organisations approved by the competent authorities in the Member States for the receipt of such goods. The provisions of the Decision shall apply to importations made from 30.01.2020 to 31.07.2020.
For further information regarding Circular No. Ε.2045/2020 click here
E.2046/2020
Notification of provisions of article 1 of L.A./30.03.2020
By Circular No. E.2046/2020 the provisions of article 1 of L.A./30.03.2020, as amended by article 2 of L.A./11.03.2020 are notified; instructions are also provided for the uniform implementation of such provisions and all relevant Ministerial Decisions. Regarding application of 25% discount on the installments of certified (non-due) tax obligations, it is clarified that the remaining 75% of tax obligations due on March should be paid up to 10.04.2020. With respect to tax obligations due on April, the remaining 75% of such obligations expiring from 01.04.2020 to 30.04.2020 shall be paid. It is noted that the above debtors benefit from the 25% discount in case of offsetting according to article 83 of the Code for Collection of Public Revenues provided that the due date of counterclaims is later than 30.03.2020 and until 10.04.2020 for March 2020, whereas for April 2020 such due date is later than 01.04.2020 and until 30.04.2020. It is also pointed out that in order for the aforementioned benefit to be granted in case of a settlement/facilitation scheme of partial payment, all previous installments of the above settlement scheme must have been paid. The benefit does not apply to the payment of the first installment, as the settlement scheme enters into force only following payment of such first installment. The 25% discount shall take place immediately after the payment is made, after verifying the payment of the remaining 75% of the tax obligation installment. Furthermore, VAT obligations and other withholding taxes obligations which are not subject to settlement/facilitation scheme of partial payment, are excluded from the benefit of 25% discount VAT debts and withholding taxes that are not subject to a partial payment settlement/facilitation regime.
For further information regarding Circular No. Ε.2046/2020 click here
Ο ΔΕΛ Α 1043783 ΕΞ 2020
Additional instructions regarding the tax refund process
In view of the emergency measures taken in response to COVID-19, audits pertaining to tax returns are being prioritized. Regarding information requested by Tax Authorities in the context of audits pertaining to tax returns for applications submitted by 31.03.2020, taxpayers may send such information in copies by e-mail to the competent Audit Authorities. It is noted that with regard to the procedure for processing tax refund applications, the provisions of Circulars No. E.2140/2019 and No. O ΔΕΛ B 1102446 ΕΞ 2019 shall apply subject to the provisions for extension or suspension of the deadlines provided in the Tax Procedure Code, as entered into force by virtue of L.A./30.3.2020 or as they may be amended at a later time.
For further information regarding Circular No. 1043783 ΕΞ 2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1078/2020
New extension for the payment of certified tax obligations of elderly individuals or individuals with severe disabilities
The extension already granted until 10.04.2020 for the payment of certified tax obligations expiring on 31.03.2020 is further extended until 24.04.2020 with respect to the following individuals: a) individuals who complete up to 31.12.2020 the seventieth year of their age or b) individuals having severe disability at a rate of eighty percent (80%) or more, as evidenced by the last tax return submitted in 2018 or by other data available to the Tax Authorities. Deadlines for the payment of tax obligations installments under a settlement/facilitation scheme of partial payment due on 31.03.2020 are also extended up to 24.04.2020 with respect to the aforementioned persons.
For further information regarding Decision Α.1078/2020 click here
Α.1079/2020
New extension for the payment of tax obligations with respect to the 25% discount
The extension already granted until 10.04.2020 for the payment of certified tax obligations expiring on 30.03.2020 and 31.03.2020 is further extended until 21.04.2020 with respect to businesses and individuals eligible for the 25% discount provided in article 1 of L.A./30.03.2020. Deadlines for the payment of tax obligations installments under a settlement/facilitation scheme of partial payment due on 31.03.2020 are also extended up to 21.04.2020 with respect to the aforementioned persons.
For further information regarding Decision No. Α.1079/2020 click here
Law No. 4683/2020
Ratification of L.A./20.03.2020 and other provisions
L.A./20.03.20 on «Emergency measures in response to COVID-19 outbreak and measures supporting society and entreprises and ensuring smooth operation of the market and public administration», which was published in the Government Gazzete No. 68 A’, is ratified by law No. 4683/2020 and enters into force since its publication in the Government Gazette. Furthermore, article 26 of law No. 4683/2020 provides for the extension of the rent reduction with respect to professional leases and leases of main residence, as defined in article 2 paragraph 3 of L.A./20.3.2020 (Government Gazzete No. A’ 68), which was added by article 11 of L.A./30.03.2020 (Government Gazzete No. A’ 75).
For further information regarding Law No. 4683/2020 click here
Α.1081/2020
Amendment of suspension dates provided in article 6 paragraphs 1 and 3 of L.A./30.03.2020
In cases of tax return in the context of audits, a) notification of temporary tax assessment and final tax assessment, and b) deadlines for submitting opinions or objections by taxpayers with respect to temporary tax assessment or penalties (article 28 paragraph 1, 28A paragraph 2, 62 paragraph 4 of law No. 4174/2013), as well as deadlines APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 regarding information, tax records or other documents requested by the Tax Authorities in the context of audits (article 14 paragraphs 1 and 2 of law No. 4174/2013), are suspended until 10.04.2020.
For further information regarding Decision Α.1081/2020 click here
Article 2 of L.A./13.04.2020
Conditions for change of Business Activity Code Number and sanctions for false declaration
Article 2 of L.A./13.04.2020 provides for the possibility of retroactively amending the primary Business Activity Code Number (ACN), which has been carried out or is being carried out from 23.03.2020 to 24.04.2020 and dates back to 20.03.2020 and earlier, provided that the newly declared primary ACN was included as secondary ACN in the taxpayer’s records until the entry into force of the present L.A. and it is the ACN under which the business has the largest gross income for tax year 2019. In case of false declaration, notwithstanding the sanctions provided under the Tax Procedure Code, businesses are deprived of the discount and offset benefits to their tax liabilities and are required to reimburse any amount availed, plus any accrued interests from the date of payment. Furthermore, a penalty of an amount equal to 10% of their gross income of tax year 2019, and in any case not less than 10,000 Euros, is imposed, as well as a penalty of an amount equal to twice the amount of exceptional financial benefits received by each employee in the form of special compensation. The provisions of Law 4174/2013 apply to the audit procedure, enforcement and challenge of the above sanctions.
Article 3 of L.A./13.04.2020
Offsetting other tax obligations up to an amount corresponding to 25% in case of full payment of VAT obligations
According to Article 3 of L.A./13.04.2020, the following provisions are added at the end of article 1 paragraph 1 of L.A./11.3.2020, as ratified by article 2 of Law 4682/2020: “Businesses as provided in the previous paragraph and as determined by the decisions of paragraph 2, which shall pay in full by 30.04.2020 the total amount of VAT tax obligations arising from the VAT statements of the first quarter of 2020 for businesses subject to single-entry book keeping and statements of March 2020 for businesses subject to double-entry book keeping, shall be granted with the benefit of offsetting an amount equal to twenty-five percent (25%) on the paid tax obligation, with other tax obligations or installments under a settlement scheme, which are due after 01.05.2020. The entities, which are subject to double- entry book keeping, are eligible for the aforementioned benefit, provided that they have paid their VAT obligations for February 2020, with the exception of businesses that were suspended on 26.03.2020. If an amending declaration is filed for the above time periods, which reduces the initial debit amount as provided in the initial declaration, the amount of the offset shall be reduced accordingly".
Article 6 of L.A./13.04.2020
Date of application of VAT exemption on donations targeted to deal with COVID-19
Article 6 of the L.A./13.04.2020 provides for the date of application of the VAT exemption on donations targeted to deal with COVID-19. In particular, it is stipulated that Article 8 of paragraph 3 of L.A./14.3.2020, as ratified by Article 3 of Law 4682/2020, shall also apply to donations falling under its scope, the acceptance of which by the Minister of Health was carried out before the entry into force of the L.A./30.3.2020. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For further information regarding the Law Act/ 13.04.2020 click here
Α.1083/2020
Amendment of Decision Α.1072/2020 and the attached Table with respect to Business Activity Code Numbers
By virtue of Decision A.1083/2020, Decision A.1072/2020, as well as the attached table therein with respect to Businesses’ Activity Code Numbers, is amended.
For further information regarding Decision Α.1083/2020 click here
Α.1084/2020
Amendment of Decision Α.1073/2020 and the attached Table with respect to Business Activity Code Numbers
By virtue of Decision A.1084/2020, Decision A.1073/2020, as well as the attached table therein with respect to Businesses Activity Code Numbers, is amended.
For further information regarding Decision Α.1084/2020 click here
Α.1085/2020
Amendment of Decision Α.1074/2020 and the attached Table with respect to Business Activity Code Numbers
By virtue of Decision A.1085/2020, Decision A.1074/2020, as well as the attached table therein with respect to Businesses Activity Code Numbers, is amended.
For further information regarding Decision Α.1085/2020 click here
Α.1086/2020
Amendment of Decision Α.1075/2020 and the attached Table with respect to Business Activity Code Numbers
By virtue of Decision A.1086/2020, Decision A.1075/2020, as well as the attached table therein with respect to Businesses Activity Code Numbers, is amended.
For further information regarding Decision Α.1086/2020 click here
οικ. 2/17012/ΔΠΓΚ/2020
Monitoring the expenditure of General Government Bodies in the context of measures taken in response to COVID-19
The above circular provides for a monthly monitoring of expenditures of General Government Bodies concerning all the expenditures that have already been made and will arise from the adoption and implementation of measures taken for the protection of public health and economy from COVID-19. The aforementioned expenditures mainly cover APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 expenses with respect to the financial support measures for individuals and legal entities that are financially affected - social groups and businesses - as well as expenses related to the support of the National Health System.
For further information regarding Circular 2/17012/ΔΠΓΚ/2020 click here
Ε.2048/2020
Notification of the provisions of Article 2 and Article 75 of L.A./13.04.2020
By virtue of Circular Ε.2048/2020, it is clarified that the provisions of Article 2 of L.A./13.04.2020 apply to declarations concerning the amendment of the primary Business Activity Code Number, which are submitted during the period from 23.03.2020 to 24.04.2020, provided that: a) the new primary ACN has already been declared as secondary ACN in the Tax Register until the entry into force of the above provisions and b) it is the ACN under which the highest gross income of tax year 2019 is gained. Furthermore, it is clarified in order for the above declaration to be registered, the new primary ACN must be declared as secondary CAN until 13.04.2020.
For further information regarding Circular Ε.2048/2020 click here
Ε.2049/2020
Guidelines regarding electronically submitted invoices for the refund of Excise Duty on fuels
By virtue of Circular Ε.2049/2020, the provisions of Circular 1208/2018 are notified, according to which, from 01.01.2019, entities which are engaged in the sale of fuels through gas stations, the sale of heating oil, as well as the supply of liquid or compressed gas to gas stations, are obliged to electronically transmit the details of their issued invoices through tax electronic devices. The details of the issued invoices are exclusively transmitted by the aforementioned entities in electronic form per tax electronic device in a database of the Independent Authority for Public Revenue.
For further information regarding Circular Ε.2049/2020 click here
Ε.2050/2020
Guidelines for the performance of Customs Office’ duties in the context of emergency measures taken in response to COVID-19 during
By virtue of Circular Ε.2050/2020, guidelines are provided for the execution of Customs Office’s duties, in the context of emergency measures in response to COVID-19. In particular, clarifications are provided regarding the proof of the EU identity of goods; the handling of goods under the EU/ Common Transit Regime; the formalities at the Customs Office of Departure, the Customs Office of Transit and the Customs Office of Destination; the transit of goods through TIR Carnets, the deadline for temporary disposal of goods and the deferral of cancelling an export or re-export declaration.
For further information regarding Circular Ε.2050/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1092/2020
Extension of the deadline for submitting the "List of Agreements according to article 8 paragraph 16 of Law 1882/1990"
Pursuant to Decision A.1092/2020, the deadline for submitting the "List of Agreements according to article 8 paragraph 16 of Law 1882/1990" of the first quarter of 2020 (January / February / March 2020) is extended until the 20.07.2020.
For further information regarding Decision Α.1092/2020 click here
Α.1087/2020
Amendment of Circular 1063/2018 with respect to the provision of information to the Tax Authorities regarding transactions with electronic means of payment
By Decision A.1087/2020 sections are added at the end of article 1 of Circular 1063/2018 as follows: “Especially for the transactions during tax year 2019, the Providers are additionally obliged to collectively send, per TIN, the details of the transactions for year 2019 once and until 24.04.2020. Transactions through business accounts that were declared by 28.02.2020 must be included in the aggregate data. For transactions of tax year 2020 and onwards, Providers are also required to collectively send, per TIN, their data transactions regarding the previous calendar year in question, once, by March, 5, of each year. Transactions through business accounts that were declared by February, 28, of each year must be included in the aggregate data. "
For further information regarding Decision Α.1087/2020 click here
Α.1089/2020
Exemption from the submission of agreements entered into between “SAMSUNG ELECTRONICS HELLAS Single Member SA” and its customers-suppliers regarding sales and products promotion
By virtue of Decision A.1089/2020, "SAMSUNG ELECTRONICS HELLAS Single Member SA" is exempted from the obligation to submit the contracts provided for in Decision No. AYO 1065606/7222/DE-B/18.7.2000 (Government Gazette No. 951B'/31.7.2000), as amended and currently in force, only with respect to the agreements entered into between the company and its customers-suppliers on sales and products promotion.
For further information regarding Decision Α.1089/2020 click here
Ε.2055/2020
Notification of the provisions of articles 1, 6, 13, 14, 54, 62 of L.A./13.04.2020
The above circular notifies the provisions of articles 1, 6, 13, 14, 54, 62 of L.A. dated 13.4.2020 (Government Gazette 84 A') on “Measures to deal with the ongoing consequences of COVID-19 and other urgent provisions” for information and uniform application purposes.
For further information regarding Circular E.2055/2020 click here APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ε.2056/2020
Notification of the provisions of article 3 of L.A./13.04.2020
By virtue of Circular E.2056/2020, the provisions of article three on "the benefit of offsetting other tax obligations up to an amount corresponding to 25% in case of full payment of VAT obligations” of L.A./13.4.2020 (Government Gazette 84A’) regarding "Measures to address the ongoing consequences of COVID-19 and other emergency provisions" are notified, as well as instructions are provided for notification and uniform application purposes of the aforementioned provisions, while some examples are mentioned therein for explanatory purposes.
For further information regarding Circular E.2056/2020 click here
Law 4684/2020
Ratification of L.A./30.3.2020 and other provisions
L.A./30.3.2020 entitled "Measures in response to COVID-19 and other urgent provisions", published in the Government Gazette Volume Α No. 75, is ratified by Law 4684/2020 and enters into force from its publication in the Government Gazette. Furthermore, according to article 6 of Law 4684/2020, the collection by the customs authorities of the Excise Duty, the VAT and other fees on alcoholic beverages ready for consumption and other alcoholic products, which were released from the suspension regime in March 2020, is suspended until 25.062020; and the collection of the above fees corresponding to these products, which were released from the suspension regime in April 2020, is extended until 25.07.2020.
For further information regarding Law No 4684/2020 click here
Ε.2058/2020
Notification of the provisions of article 6 of Law 4684/2010 with respect to “Extension of deadlines for the collection of the Excise Duty, VAT and other charges”
By virtue of Circular E.2058/2020, it is clarified that the amounts of the aforementioned tax and other charges are certified pursuant to article 110 par. 2 and article 109 par. 5 of Law 2960/2001 (A ’265). In particular, in accordance with the provisions of article 6 of Law 4684/2020, the collection of Excise Duty, Value Added Tax (VAT) and other charges by the Customs Authorities is extended up to (a) 25.06.2020 for products that have quit the suspension regime in March 2020; (b) 25.07.2020 for products that have quit the suspension regime in April 2020. Furthermore, it is noted that, in case of non-due payment of the due charges within the deadlines set, the provisions of article 110 par. 4 of Law 2960/2001 shall apply and the collection of such obligations is carried out by forfeiture of the relevant security in favor of the Greek State.
For further information regarding Circular No 2058/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 1 of L.A./01.05.2020
Primary residence protection
Article 72 par. 1 a’ of Law 4605/2019 (A '52) is replaced as follows: “1. Any individual who meets the eligibility requirements of article 68 par. 1, may submit an application for the settlement of tax obligations provided for in article 68 par. 2 and 3 until 31.07.2020, in order to protect his primary residence against judicial liquidation”. The above provision enters into force from 30.04.2020.
Article 2 of L.A./01.05.2020
Additional provisions on the 25% deduction on installments of certified obligations of businesses and individuals
At the end of article 2 par. 1 of L.A./11.3.2020, which was ratified by article 2 of Law 4682/2020 (A'76) and as amended by article 1 par. 2 of L.A./30.3.2020, which was ratified by article 1 of Law 4684/2020 (A '86), a section is added pursuant to which the deduction of 25% provided for in the fourth section, also applies to obligations paid from 11.03.2020 to 29.03.2020, and it is granted through offsetting other certified obligations or installments under a settlement scheme that are due after 01.06.2020, up to an amount equal to the amount of the deduction.
Article 4 of L.A./01.05.2020
Provision of credit on payment of tax and other charges regarding energy products
Exceptionally for the year 2020, a 10 day - credit is granted to the approved warehouses, as defined in article 55 a’ of Law 2960/2001 (A' 265), for the payment of Excise Duty, VAT, as well as any other relevant charges to the Customs Authorities, on energy products according to article 73 par. 1 a’ - o' of Law 2960/2001, subject to the provisions of article 109 par. 8 of the aforementioned law with respect to the products that quit the suspension regime from 04.05.2020 until 19.05.2020 with assessment of the relevant due tax obligations. According to article 56 of Law 2960/2001, the starting point of the above credit is the time by which the tax becomes due.
Article 5 of L.A./01.05.2020
Supporting businesses engaged in hospital activities
Businesses with primary Business Activity Code Number in “Hospital activities” are included to the businesses that are financially affected. The payment deadline and the suspension of the collection of certified VAT obligations that are due from 01.04.2020 until 31.05.2020, are, therefore, extended until 30.08.2020. In addition, the deadline for payment and the suspension of collection of certified obligations, as well as the deadlines for payment of installments under a settlement scheme that are due from 01.04.2020 until 31.05.2020, are extended until 31.08.2020. During the extension of the above deadlines, the amounts due are not subject to any interest or surcharges. Furthermore, the above businesses shall be granted with the benefit of offsetting other tax obligations, which are due after 01.05.2020, up to an amount equal to twenty-five percent (25%) on the paid tax obligation, provided that they have paid the total amount of their VAT obligations by 11.05.2020, under the terms and conditions of article 1 par. 1 of L.A./11.3.2020 (A APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
'55), which was ratified by article 2 of Law 4682/2020 (A'76), as subsequently amended by article 3 of L.A. /13.4.2020 (A '84).
Article 7 of L.A./01.05.2020
Extension of period with reduced Excise Duty on heating fuel (oil)
Exceptionally for the year 2020, the expiration date of the time period provided for in article 73 par. 2 a’ of Law 2960/2001 (A '265) is set on 15.05.2020. The expiration date of the aforementioned time period may be extended by a Decision of the Minister of Finance, but such period can be extended only up to 31.12.2020. The above provision enters into force from 30.04.2020.
Article 8 of L.A./01.05.2020
Suspension of debt collection and extension of the deadline for payment of installments for gambling companies
With respect to gambling companies whose operation has been suspended by virtue of the relevant Joint Ministerial Decision, the deadline for payment of the installments of their tax obligations to the Ministry of Finance, that have been settled under the Ministerial Decisions No. 1918/19.3.2012 (Β΄1108), No. 3410/25.7.2014 (Β΄ 2043) and No. Δ.Ο.Δ. C 4000084 EX 2017 (Β΄ 11), as well as the suspension of the collection of these obligations may be extended for a period of time which is determined by a Decision of the Minister of Finance. The above extension may not exceed 6 months. During the extension of the deadline for payment and the suspension of the collection of installments, the amounts due are not subject to any interest or surcharges. The above provisions also apply to tax obligations that were to be paid after the entry into force of the said Joint Ministerial Decision.
For further information regarding L.A./01.05.2020 click here
Α.1099/2020
Required data and supporting documents, means of transmission or delivery to the Tax Authorities regarding the application of article 2 of L.A./30.03.2020
By virtue of Decision A.1099/2020, specific issues are determined with respect to securities holders for whom the provisions of articles 1 and 2 of L.A./11.03.2020, as ratified by article 2 of Law 4682/2020 (A '76), shall apply from 01.04.2020 onwards; the above provisions shall apply to holders of securities whose deadlines of expiration and payment have been suspended by seventy-five (75) days from the date indicated on the securities, in accordance with article 2 par. 1 of L.A./11.03.2020, which was ratified by Article 1 of Law 4684/2020 (A '86). In particular, the conditions in order for the holders to be subject to the said measure, the exceptions, the application procedure and the supporting documents, as well as the means of sending or transmitting information by the Credit Institutions to the Independent Authority for Public Revenue are determined for the purpose of checking compliance with the conditions stipulated in Article 2.
For further information regarding Α.1099/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
1049144 ΕΞ2020
Notification of the provisions of articles 4 and 7 of L.A./01.05.2020
The above document notifies the provisions of Articles 4 and 7 of L.A./01.05.2020 for information and uniform application from 01.05.2020. In particular, according to the provisions of Article 7, exceptionally for the year 2020, the period during which, internal combustion oil (heating oil) and lighting oil (heating kerosene) are used as heating fuels at a reduced rate of 280 euro per kiloliter, is suspended until 15.05.2020. Regarding the provisions of Article 4, the starting point for the granted credit is the time at which the Excise Duty becomes due, i.e. when the products are placed on sale with their exit from the suspension regime and includes the amount of the Excise Duty, the VAT and any other relevant tax burden. For the granting of this credit, the entire certified liability must be covered by a financial guarantee, which will fully guarantee the Greek State's claim for the payment of the entire certified liability.
For further information regarding 1049144 ΕΞ2020 click here
Α.1105/2020
Determination of the details for the implementation of Article 2 of L.A./11.03.2020
By virtue of A.1105/2020, details for the implementation of Article 2 of L.A./11.03.2020, as ratified by Article 2 of Law 4682/2020 (A '76), have been determined. In particular, the deadlines for the payment of the certified tax obligations to the Tax Authorities and/or the payment of the installments under a settlement scheme, being due from 01.05.2020 to 31.05.2020, are extended until 30.09.2020, free of interests or surcharges, for individuals leasing their properties to businesses, which have on 20.03.2020 one of the primary activity code numbers (ACN) as such are listed in the attached table of the present, or whose gross income on 20.03.2020 as per their initial income tax return for tax year 2018 arising from secondary business activities (as such activities are listed as per the Activity Code Numbers in the attached annex), is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020.
For further information regarding A.1105/2020 click here
Α.1106/2020
Determination of the details for the implementation of Article 2 of L.A./11.03.2020
By virtue of A.1106/2020, details for the implementation of Article 2 of L.A./11.03.2020, as ratified by Article 2 of Law 4682/2020 (A '76), have been determined. In particular, the deadlines for the payment of the certified tax obligations to the Tax Authorities and/or the payment of the installments under a settlement scheme, being due from 01.05.2020 to 31.05.2020, are extended until 30.09.2020, free of interests or surcharges, for businesses, which have on 20.03.2020 one of the primary activity code numbers (ACN), as such are listed in the attached table of the present, or whose gross income on 20.03.2020 as per their initial income tax return for tax year 2018 arising from secondary business activities (as such activities are listed as per the Activity Code Numbers in the attached annex), is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020.
For further information regarding A.1106/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1107/2020
Determination of the details for the implementation of Article 1 of L.A./11.03.2020
By virtue of A.1107/2020, details for the implementation of Article 1 of L.A./11.03.2020, as ratified by Article 2 of Law 4682/2020 (A '76), have been determined. In particular, the deadlines for the payment of the certified tax input VAT obligations to the Tax Authorities, being due from 01.05.2020 to 31.05.2020, are extended until 30.09.2020, free of interests or surcharges, for businesses, which have on 20.03.2020 one of the primary activity code numbers (ACN), as such are listed in the attached table of the present, or whose gross income on 20.03.2020 as per their initial income tax return for tax year 2018 arising from secondary business activities (as such activities are listed as per the Activity Code Numbers in the attached annex), is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020.
For further information regarding A.1107/2020 click here
Α.1108/2020
Determination of the details for the implementation of Article 2 of L.A./11.03.2020
By virtue of A.1108/2020, details for the implementation of Article 2 of L.A./11.03.2020, as ratified by Article 2 of Law 4682/2020 (A '76), have been determined. In particular, the deadlines for the payment of the certified tax obligations to the Tax Authorities and/or the payment of the installments under a settlement scheme, that being due from 01.05.2020 to 31.05.2020, are extended until 30.09.2020, free of interests or surcharges, for employees in businesses, which have on 20.03.2020 one of the primary activity code numbers (ACN), as such are listed in the attached table of the present, or whose gross income on 20.03.2020 as per their initial income tax return for tax year 2018 arising from secondary business activities (as such activities are listed as per the Activity Code Numbers in the attached annex), is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020.
For further information regarding A.1108/2020 click here
Α.1114/2020
Regulation of special issues for the application of the provisions of Article 2 of L.A./13.04.2020
By virtue of A.1114/2020, for the purposes of the implementation of all kinds of financial measures in response to COVID-19, with respect to April 2020 and onwards, any amendments on the primary business activity code numbers (primary ACN), with an amendment date on 20.03.2020 and earlier, that have been declared in the Tax Register between 23.3.2020 and 13.4.2020 are accepted, only if the higher gross income for the tax year 2019 arises from the declared primary business activity. If it is, however, found that the higher gross income for the tax year 2019 does not arise from the above declared primary business activity, the sanctions provided for in Article 2 par. 2 of L.A./13.13.2020 are imposed. The aforementioned sanctions shall not be imposed, if the taxpayers return the benefit provided to them without fulfilling the conditions of the present decision within thirty (30) days from the publication thereof.
For further information regarding A.1114/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1109/2020
Extension of the deadline for submitting information and nil reporting
In the course of the measures in response to COVID-19, by virtue of A.1109/2020, the deadline for submission of information and nil reporting to the Independent Authority of Public Revenue is extended up to 30.09.2020 for the year 2019, in order to facilitate such reporting of the Hellenic Financial Institutions with a view to ensure the effective automatic exchange of financial account information between the Competent Greek Authorities and the Competent USA Authorities, as provided for in the “Mutual Agreement of Competent Authorities”, in the context of the application of Law 4493/2017 and Circular POL.1094/2018.
For further information regarding A.1109/2020 click here
A.1110/2020
Extension of period with reduced Excise Duty on heating fuel (oil)
By virtue of A.1110/2020, the expiration date of the time period provided for in article 73 par. 2 a’ of Law 2960/2001 (A '265), which was set on 01.05.2020, exceptionally for the year 2020, according to article 7 par. 1 a’ of L.A./ 01.05.2020, is extended until 31.05.2020.
For further information regarding A.1110/2020 click here
A.1111 / 2020
Extension of the deadline for the return of Excise Duty on oil to beneficiaries
By virtue of Decision A.1111/2020, the deadline provided for in article 4 paragraph 7 of the decision A.1072/2019, with respect to the acceptance or rejection of electronic applications, which have been submitted to the competent Customs by the beneficiaries of Excise Duty return during the period from 01.01.2020 to 28.02.2020, is extended until 30.06.2020.
For further information regarding A.1111/2020 click here
E.2072/2020
Electronic change of the residential address of individuals following removal of the emergency measures that have been taken in the context of curfew
By virtue of E.2072/2020, it is clarified that Decision No. A.1077/2020 ceases to apply from the expiration of the emergency measures for the curfew that were taken for preventing the spread of COVID-19. Therefore, taxpayers wishing to declare a change of residential address and who have submitted a relevant application from 04.04.2020, i.e. the date of entry into force of the Decision A.1077/2020, until 24.05.2020, shall submit a new electronic application via TAXISnet as defined in Decision ΠΟΛ.1123 / 2014.
For further information regarding E.2072/2020 click here APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1118/2020
Suspension of application of the Decision A.1018/2020 regarding "Special provisions with respect to evidencing the fulfillment of the criterion of use and exploitation in the context of lease of commercial pleasure boats"
Due to the urgent and unpredictable need to deal with the negative economic consequences associated with the spread of COVID-19, Decision A.1118/2020 provides for the suspension of Decision A.1018/2020 since its entry into force. From 24.04.2019 onwards, in order to evidence the fulfillment of the criterion of use and exploitation for calculating the taxable value in chartering of pleasure boats provided in Law 4256/2014, the provisions of the legislation as currently in force shall apply accordingly up to 24.4.2019, according to the clarifications provided for in Decision. No. ΠΟΛ.1156/1997.
For further information regarding E.2072/2020 click here
Law 4690/2020
Ratification of L.A./13.04.2020 and L.A./01.05.2020 and other provisions
On 30.05.2020, Law 4690/2020 was published, by virtue of which L.A./13.04.2020 "Measures in order to address the ongoing consequences in response to COVID-19 and other urgent provisions" (A΄ 84) and L.A./01.05.2020 "Further measures in order to address the continuing consequences in response to COVID-19 and the return to social and economic regularity" (A΄ 90) are ratified and enter into force from their publication in the Government Gazette. Furthermore, Law 4190/2020 provides for other provisions concerning, inter alia, tax measures.
In particular:
Article 3 provides for the extension of the benefit of the 25% discount on duly paid certified tax liability installments due in May 2020 for businesses and individuals that are financially affected according to Article 2 of L.A./11.03.2020.
Article 5 provides for the extension of the deadline until 31.07.2020 by the end of which, tax liabilities arising from administrative tax assessment acts issued until 31.12.2019 become overdue, concerning retroactively collected earnings.
Article 6 provides for the extension of the deadline for payments of tax liabilities with respect to coffee products up to 25.06.2020.
Article 8 provides for the amendment of Article 40 of Law 4640/2019. In particular, paragraph 5 is added to the aforementioned Article 40, in section 2 thereof it is stipulated that the provisions of Article 50 of Law 4174/2013 (Code of Tax Procedure) shall also apply in the case of the appointment or election of provisional Board of Directors, in accordance with paragraph 2 of Law 4640/2019, provided that the tax liabilities provided for in Article 50 paragraph 1 of Law 4174/2013, occurred and became overdue during the term of office of the above persons and were not paid due to fraud or gross negligence.
Article 11 provides for reductions on VAT rates with respect to certain products and services. Specifically, for the period from 01.06.2020 to 31.10.2020, a reduced VAT rate of 13% is provided for non-alcoholic beverages (e.g. soft drinks, coffee, tea) and carbonated waters. Furthermore, a reduced VAT rate of 6% is provided for cinema tickets. In addition, transport services and services related to the operation of cafes, patisseries, restaurants, grill restaurants APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
cooking restaurants and other related facilities, except for nightclubs, are subject to a reduced rate of 13%; any alcoholic beverages are excluded from the aforementioned reduced rate.
Article 13 provides for support measures for lessors who did not receive payment of rents by virtue of the legislative measures in response to COVID-19. In particular, par. 42 is added to Article 72 of Law 4172/2013 Code of Income Taxation), it is provided that the amount of non-paid rents by State Decision does not constitute income and, therefore, is not subject to income tax and special solidarity contribution according to Article 43A of Code of Income Taxation, with respect to the time period during which the measure of reduced rent (40%) paid by lessees applies. Lessors who have received a reduced rent of at least 40%, are entitled to a reduction of an amount corresponding to 20% on the amount of 60% of the rents paid applicable to tax obligations that are due on 31.07.2020 onwards, except for tax obligations under a settlement scheme, tax obligations owed to foreign states and tax obligations arising from recovery of state aid.
Article 14 provides the extension of deadlines for payment of certified tax liabilities and installments under a settlement scheme (those which were due in March-April are extended until 31.08.2020, those which were due in May are extended until 30.09.2020 and those which are due in June are extended until 30.10.2020), as well as the suspension of the collection of the aforementioned tax liabilities. Furthermore, in case of duly payment of the above tax liabilities by lessors, a 25% offsetting is provided with certified tax obligations and installments under a settlement scheme that are due on 31.07.2020 onwards.
Article 16 provides for income tax treatment of captains, co-captains and mechanical engineers of airlines with tax residence or permanent establishment in Greece as well as the treatment of compensation tax of the Independent Appeal Committees members provided for in Article 5 of Law 4375/2016, which has been paid by the Independent Appeal Committees, i.e. 2016. In particular, a tax rate of fifteen percent (15%) on income tax is provided for the above categories.
Article 17 provides for free disposal of ethyl alcohol to the Ministry of Health, as long as there is still an immediate risk to public health. The provided free disposal is exempt from any due tax liabilities and other charges. The production of antiseptic products by the industrial and craft businesses on behalf of the Ministry of Health is exempted from VAT, also the right to deduct VAT on business expenditure.
Article 19 provides for the suspension of the application of provisions with respect to the disposal of products in duty- free shops until 31.12.2022.
For further information regarding Law 4690/2020 here
Α.1119/2020
Extension of submission of Aggregate Supply Invoices (ASI) of ships
Decision Α.1119/2020 provides that the Aggregate Supply Invoices (ASI) of ships according to Article 13 par. 1a) of Decision no. T1940 / 41 / 14.4.2003 (Β΄ 516) with respect to March, April and May 2020, may be accepted by the competent Customs Authorities within three (3) months from the end of the month during which the supply took place.
For further information regarding A.1119/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1122/2020
Extension of the deadline provided in Article 6 par. 4 section b’ of L.A./30.03.2020 with respect to the examination of administrative appeals
Decision A.1122/2020 stipulates that the deadline provided in Article 63 par. 5 section a’ of Law 4174/2013), i.e. the 120-days period from the submission of the administrative appeal to the Tax Authorities, which has not been completed from 1 June 2020 to 31 July 2020, is extended until 30.9.2020, provided that the relevant decision on the administrative appeal has not been issued by 1 June 2020.
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Α.1123/2020
Extension of the deadline for submitting inheritance, donations and parental donation tax declarations
Decision A.1123/2020 provides for the extension of the deadline for submitting inheritance, donations and parental donations tax declarations due in March, April and May 2020 until 30.07.2020, as well as declarations whose the three- month submission deadline expired within the above months, regardless of whether an extension application is submitted or not. The option of submitting an application for extension of the deadline with respect to the submission of inheritance, donations and parental donations tax declarations still apply to declarations whose initial (six-month or annual) deadline for submission expired in April and May 2020.
For further information regarding A.1123/2020 click here
Α.1126/2020
Extension of the deadline of payment of certified tax liabilities due in May 2020
Decision A.1126/2020 provides that the deadlines of payment of certified tax liabilities due in May 2020 are extended until 15.6.2020 a) for the businesses and individuals entitled to the benefit of the 25% discount according to the provisions of Article 2 paragraph 1 section 7 of L.A./11.03.2020, as ratified by article 2 of law 4682/2020, as this section was added by article 3 par. 1 of law 4690/2020, b) for individuals leasing their properties who are entitled to the benefit of the 25% discount according to the provisions of Article 14 paragraph 3 first subparagraph of Law 4690/2020 (Α΄ 104). The deadline of payment of installments of tax liabilities under a settlement scheme due in May 2020 are also extended until 15.06.2020 for the aforementioned businesses and individuals.
For further information regarding A.1126/2020 click here
Ε.2078/2020
Issuance of tax clearance certificate or certified liability certificate by persons who have been granted a payment deadline extension or suspension of collection in the context of measures in response to COVID-19
Circular E.2078/2020 provides for instructions regarding the issuance of tax clearance certificate or certified liability certificate by persons who have been granted an extension of the deadline for payment of their certified liabilities and their installments under a settlement scheme to the Tax Authorities and a suspension of collection of their or are APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 beneficiaries of the 25% discount, in accordance with the provisions of article 2 of L.A./11.03.2020, as amended and currently in force. The issuance of the above certificate is subject to the verification by the Chief Officer of the competent authority that these persons fall under the scope of the above provisions (extension and suspension of certified liabilities, 25% discount) that is marked on the corresponding certificate.
For further information regarding Ε.2078/2020 click here
Ε.2079/2020
Procedure to be followed in order to be subject to the provisions of article 5A of Law 4172/2013 regarding the alternative income taxation in the context of measures in response to COVID-19
Circular E.2079/2020 provides for clarifications regarding the provisions on alternative income taxation pursuant to article 5A of Law 4172/2013 and the practical issues that have arisen due to Covid-19. In particular, it is clarified that the application for the current year is accepted even if it is not accompanied by the original supporting documents specified in Decision A.1036 / 2020 which must be filed along with the application, provided that the taxpayer files a solemn declaration. The taxpayer is obliged to provide the above supporting documents in due course and no later than 30.11.2020. The Tax Administration then examines the application and issues a decision on the application, as well as the corresponding administrative tax assessment for the taxpayer and each of his relatives who is subject to aforesaid provisions the law, no later than the last business day of June 2020.
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Ε.2080/2020
Notification of the provisions of article 11 of Law 4690/2020 regarding the application of the reduced VAT rate of 13% on specific goods and services
The provisions of article 11 of law 4690/2020, as well as instructions for their implementation are notified by Circular E.2080/2020. In particular, water (mineral water, sparkling water, ice and snow) and non-alcoholic beverages (lemonade, orange juice, non-alcoholic beer, ready-to-drink coffee, ready-to-drink tea, milk substitutes, fruit juices, energy drinks are included among the goods to which the reduced rate of 13% applies from 01.06.2020 to 31.10.2020. Furthermore, the above reduced rate applies to human and luggage transportation, including transportation of persons by taxi. With regard to food services, the new provisions provide for the extension of the application of the reduced VAT rate (13%) to on-trade consumption of non-alcoholic beverages in general, juices and beverages. However, the operation of clubs and venues, as well as the trade of alcoholic beverages are subject to the normal VAT rate.
For further information regarding Ε.2080/2020 click here
Ε.2083/2020
Clarifications regarding the amounts uploaded to the personal information section of TAXISNET that were offset with other liabilities by 25% in case of full payment of VAT obligations pursuant to article 3 of L.A./13.04.2020 APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
By Circular E.2083 / 2020, it is clarified that the offsetting of the aforementioned amounts will be effectuated on certified liabilities from installments under settlement schemes that are due within June or onwards. It is pointed out that for the credit of installments, the payment of installments due on the previous months is required. Especially for the offsetting of VAT obligations with VAT obligations that were due on April, for which the deadline for submitting the relevant declarations expired on May 29, or with obligations from withholding taxes, for which the deadline for submitting the relevant declaration expired on June 1, beneficiaries may submit a request for offsetting via email to their Tax Office until Wednesday, June 17, 2020, in order for the offsetting procedure to be completed on time. In case taxpayers do not submit such request for offsetting, Tax Authorities shall proceed to an ex-officio set-off with tax liabilities that are due after June 1, 2020.
For further information regarding Ε.2083/2020 click here
Ε.2084/2020
Beneficiaries of measures taken in response to covid-19 who are covered by the provisions of the relevant decisions by description of their activity (without reference to ACN)
Circular E.2084/2020 provides for clarifications regarding the beneficiaries who are included in the descriptive categories, who, in order to be identified, are required to submit a solemn declaration by email at [email protected] from 15.6.2020 to 19.6.2020. In case they fall into more than one category, the category to which they belong for the longest time is indicated. For the application of the "offsetting benefit with other tax liabilities by 25% in case of full payment of VAT obligations" (E.2046 / 2020) the instructions provided with Circular E.2083/2020 shall apply; the request for offsetting before their Tax Office may be submitted until 22.6.2020.
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Α.1139/2020
Electronic Declaration of Information relating to the Lease of Real Estate Assets
By virtue of Decision Α.1139/2020, Decision ΠΟΛ.1162 / 2018 regarding "Submission of Electronic Declaration of Information relating to the Lease of Real Estate Assets via the internet" is amended. In particular, it is provided, inter alia, that in case of termination of a lease, the lessor is obliged to declare such termination by the end of the month following its termination, otherwise the lease agreement is considered to be in force. Lessors, whose rent has been reduced by 40% under the current provisions for measures in response to COVID-19, submit a "Covid Declaration" by 22.06.2020 in order to change the rent received for the months of March, April, May and June.
For further information regarding Α.1139/2020 click here
Α.1148/2020
Determination of details for the implementation of article 2 of L.A./11.03.2020 as ratified by article 2 of Law 4682/2020 (A '76) and amended and currently in force. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
The deadlines for the payment of certified tax obligations and installments in the context of a settlement scheme, being due as from 01.06.2020 to 30.06.2020, as well as collection thereof, are suspended until 31.10.2020, free of interest and surcharges, for the following persons: i. employees of affected businesses, whose employment contracts have been suspended either due to obligatory suspension of their employer’s business from the Greek State, or as a result of the employer’s decision (Article 11 sub- paragraph 2A a’ of L.A./20.03.2020 ii. individuals who lease their properties to employees provided above under point i. iii. Individuals who rent their properties to children who are studying in a higher education institution that is not located in the place of their permanent residence, if at least one of their parents is an employee as provided in point ii. above.
For further information regarding Α.1148/2020 click here
A.1149/2020
Determination of details for the implementation of article 2 of L.A./11.03.2020 as ratified by article 2 of Law 4682/2020 (A '76) and amended and currently in force.
The deadlines for the payment of certified tax obligations and installments in the context of a settlement scheme, being due as from 01.06.2020 to 30.06.2020, as well as collection thereof, are suspended until 31.10.2020, free of interest and surcharges, for individuals who lease their properties to businesses that have been financially affected.
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Ε.2087/2020
Notification of the provisions of article 17 of Law 4690/2020 (A '104) regarding the free disposal of ethyl alcohol to the Ministry of Health
The provisions of article 17 of Law 4690/2020 (A '104) are notified by Circular E.2087 / 2020 for information and implementation purposes that provides for the free disposal of ethyl alcohol to the Ministry of Health from any natural or legal person legally possessing it, which is exempted from any tax or other charges, for the purpose of its use, as such, by public hospitals, clinics, nursing institutions for medical purposes or for the purpose of its use by industries/crafts for preparation of antiseptics on behalf of the Ministry of Health.
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Α.1137/2020
Determination of the procedure for submitting capital tax returns, notifying tax assessment acts and obtaining capital tax returns certificates
Decision A.1137/2020 provides for the procedures to be followed for submitting capital tax returns as well as obtaining certificates of capital tax returns. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
In particular:
Tax returns for money donations can only be submitted by the taxpayer, as long as the receipt of the donation is proven but the full details of the donor are not known to him or the donor is foreigner and does not have a Tax Identification Number in Greece.
The applications for the issuance of the certificate provided for in article 54A of law 4174/2013, as well as the applications for the issuance of the certificate provided for in article 105 of the Tax Code for inheritances, donations, parental benefits and profits from gambling are submitted in the same way.
Transfer tax return for auction is submitted exclusively to the competent department of Independent Authority for Public Revenue by filing original documents and is processed immediately.
Based on the submitted declarations or applications, the respective tax assessment acts and certificates are issued immediately and no later than three (3) working days from the date of electronic receipt of the declaration or application or from the date of receipt of the original documents with a strictly time priority order.
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Α.1146/2020
Identification of financially affected businesses for the exemption from the obligation to pay 40% of the total rent for June 2020
Decision A.1146/2020 provides for the amendment of Decision A.1135/2020 of the Deputy Minister of Finance regarding the "Identification of financially affected businesses for the exemption from the obligation to pay 40% of the total rent for June 2020" (Β’ 2219). In particular, a new Business Activity Code, i.e. No. 49.31 regarding "Urban and suburban land transport of passengers" is added in the Annex of Decision A.1135/2020.
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Α.1147/2020
Determination of details for the implementation of article 2 of L.A./11.03.2020, as ratified by article 2 of law 4682/2020 (A '76) and amended and currently in force.
A.1147/2020 provides for the determination of details for the implementation of article 2 of L.A./11.03.2020 (A΄ 55) as amended and currently in force, as such was ratified by article 2 of Law 4682/2020 (A΄ 76). The deadlines for payment of certified liabilities of the financially affected businesses to the Tax Authorities, being due as from 01/06/2020 until 30/06/2020, are extended until 31.10.2020. The aforementioned provision also applies to deadlines for payment of installments under a settlement scheme with respect to the partial payment of certified liabilities. The collection of certified liabilities due on 01.06.2020 of the above persons is suspended until 31.10.2020. Such suspension is granted free of interest and surcharges. In the event that employees’ (part or all) contracts are suspended and their employer terminates their contracts, as well as in the event that, following completion of the measure, businesses do not retain the same number of jobs, the extension or the suspension is automatically terminated and the tax liabilities are burdened with interest and surcharges based on the initial date of their assessment. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For further information regarding Α.1147/2020 click here
Α.1143/2020
VAT exemption on free delivery of goods and free provision of services by VAT subjects in response to COVID-19
Decision A.1143 / 2020 stipulates that free delivery of goods and free provision of services by VAT subjects in response to COVID-19 are not considered as deliveries of goods and provision of services against payment and therefore are exempted from VAT for self-delivery of goods and self-use of services, respectively. Furthermore, the terms and conditions for the VAT exemption are set out. These provisions shall also apply to free delivery of goods and free provision of services already performed by donors, provided that donors shall comply with the terms and conditions provided for in article 2 of this Decision by June 30, 2020.
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Α.1154/2020
Extension of the deadline for submitting the "Covid Declaration" provided for in article 11 of Decision ΠΟΛ. 1162/2018 (Β ’3579) of the Governor of the Independent Authority for Public Revenue
Decision A.1054/2020 stipulates that the deadline for submitting the "Covid Declaration" with respect to the change to the rent for March, April, May and June, as such deadline is defined in article 5 of Decision A.1139/ 2020 of the Governor of the IAPR, is extended until July 1, 2020. The deadline for the lessees to accept the "Covid Declaration" for March, April, May and June is extended until July 6, 2020.
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A.1151/2020
Extension of reduced VAT rate for the islands of Leros, Lesvos, Kos, Samos and Chios.
A.1151/2020 provides for the extension of the reduced VAT rates for a period of six (6) months, i.e. from 1.7.2020 to 31.12.2020. In particular, a reduction of thirty percent (30%) on VAT rates is provided for the islands of Leros, Lesvos, Kos, Samos and Chios with respect to the goods and services provided for in articles 21 par. 4 and 5 of the VAT Code (Law 2859/2000). This decision shall take effect upon its publication in the Government Gazette.
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Α.1155/2020
Extension of the deadline for submitting information and nil reporting by the Greek Reporting Financial Institutions in the context of the implementation of the Common Reporting Standard (CRS)
By virtue of Decision A.1155/2020 the deadline for submitting information and nil reporting by the Greek Reporting Financial Institutions to the IAPC for the current year, in the context of the implementation of the Common Reporting Standard (CRS), as defined in article 1 par. 1 of Decision ΠΟΛ. 1130/2017 is extended until 18.09.2020. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
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66780 ΕΞ 2020
Extending the suspension of the operation of the "Central Ultimate Beneficial Owners Register” information system
By joint Decision of the Deputy Minister of Finance and the Minister of State and Digital Government, the suspension of the operation of the "Central Ultimate Beneficial Owners Register” information system is extended for a period equal to the period defined in article 12 of L.A./30.03.2020 (A’ 75), i.e. for a period of three (3) months starting from July 1, 2020. The above period is not counted in the maximum period of sixty (60) days per year, according to article 20 par. 13 of Law 4557/2018.
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Law 4701/2020
Framework regarding minor financing, regulations on the financial sector and other provisions
On 01.07.2020, Law 4701/2020 was published by the title: "Framework for granting minor financing, regulations on the financial sector and other provisions" (A’128). Tax provisions are provided in part C’ of the aforementioned law, entitled "Ministry of Finance’s other provisions". In particular, the aforementioned law includes provisions regarding, inter alia, revocation of vehicle immobility for the year 2020 through proportional payment of circulation taxes (art. 32), the reduction on Unified Property Ownership Tax (“ENFIA”)(art. 35), as well as the extension of the benefit of the 25% discount on certified tax liabilities/ installments due in June 2020 (art. 36). In addition, provisions are included regarding the extension of the contractors’ deadline for submitting the application to become subject to the tax suspension regime (art. 49).
For further information regarding Law 4701/2020 click here
Ε.2101/2020
Proportional payment of circulation taxes
E.2101/2020 notifies the provisions of article 32 of law 4701/2020 (A '128) regarding the amendment of article 36 of law 2093/1992 with respect to the revocation of vehicle immobility for the year 2020 through proportional payment of circulation taxes.
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Ε.2106/2020
Notification of the provisions of articles 35 and 46 of Law 4701/2020 on capital tax
Circular E.2106/2020 notifies the provisions of articles 35 and 46 of law 4701/2020 (Government Gazette A’128) on "Framework for granting minor financing, regulations on the financial sector and other provisions", which amend the legal framework regarding the granting of reductions on Unified Property Ownership Tax (“EN.F.IA.”) to individuals for APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 the year 2020 and the suspension of application of the provisions of articles 47, 48 and 49 of Law 4646/2019 regarding the submission of tax returns for inheritance, donation, parental donation and property transfer tax is extended until 31-12-2020.
For further information regarding E.2106/2020 click here
E.2107/2020
Capital tax returns, notification of tax assessment acts and receipt of capital tax certificates
E.2107/2020 provides for the procedure of submitting capital tax returns, notifying tax assessment acts and receiving capital tax certificates. In particular, clarifications are provided regarding the implementation of A.1137/2020, by which these procedures were set out. Specifically, the procedure of submitting capital tax returns, notifying the tax assessment acts and receiving capital tax certificates is mandatory and applies to all declarations/applications etc., for which there is no provision for their submission and issuance through a relevant online/electronic application. It should be noted that in case of submitting a tax return and an application for the issuance of a certificate at the same time, the above deadline for issuing such certificate does not start before payment of the relevant tax, or in case such certificate is requested to be issued subject to withholding the amount of tax due, before the tax assessment act is issued, respectively.
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Α.1156/2020
Income tax returns submitted by individuals and legal entities for the tax year 2019
A.1156/2020 provides for the extension of the deadline for submitting income tax returns by individuals and legal entities for the tax year 2019. In particular, the deadline for submitting income tax returns by individuals, as well as legal entities for the tax year 2019 is extended from the date of its expiration until the July 29, 2020.
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Α.1159/2020
Amendment of decision ΠΟΛ.1022/2014 on the «Submission of invoices for cross-checking details»
A.1159/2020 provides for the amendment of decision ΠΟΛ.1022/2014 (Β΄ 179) on the «Submission of invoices for cross-checking details», as currently in force. In particular, for 2019 such invoices may be duly submitted until 06/07/2020. Furthermore, exceptionally for 2019, any amending declaration for the correction of discrepancies in the submitted details is duly submitted up to one day before the expiration of the deadline for submitting income tax returns by individuals, i.e. until 28/07/2020.
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APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α.1171/2020
Timely submission of the "Covid Declaration"
A.1171/2020 extends the deadline for submitting the “Covid Declaration” with respect to the rent change for July and August until August 31, 2020. The acceptance of the "Covid Declaration" by tenants for the months of July and August is effectuated on time, without penalties, until September 7, 2020.
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Α.1164/2020
Exemption from the obligation to pay 40% of the total rent for the months of July and August 2020 for businesses that are financially affected
A.1164/2020 sets out the businesses that are financially affected and eligible for the exemption from the obligation to pay 40% of the total rent for the months of July and August 2020. Specifically, the lessee (business) which is party in a commercial lease agreement, which is still financially affected due to the spread of COVID-19 during July and August, i.e. businesses which have registered on March 20, 2020 any Activity Code Number (ACN) from those listed in the Annex, or businesses whose gross income as per their initial income tax return for tax year 2018 arising from secondary activities is higher than the gross income arising from activities in which they are primarily engaged on 20.03.2020, are exempted from the obligation to pay 40% of the total for the months of July and August 2020.
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Law 4714/2020
Timely submission of income tax returns for the tax year 2019
By virtue of article 97 of law 4714/2020, a new paragraph is added to article 72 of law 4172/2013, according to which income tax returns submitted by individuals and legal entities for the tax year 2019 are timely submitted until August 28, 2020. Payment of income tax may be effectuated in eight equal installments. In case of payment of certified income tax as lump sum (in one installment) until August 31, 2020, a 2% reduction is granted to individuals.
For further information regarding Law 4714/2020 click here
Ε.2133/2020
Capital Income Tax
E.2133/2020 notifies the provisions of articles 6, 7, 96 and 14 paragraph 2 of law 4714/2020 on “Tax interventions to strengthen the development process of the Greek economy, incorporation into Greek legislation of Directives (EU) 2017/1852, (EU) 2018/822, (EU) 2020/876, (EU) 2016/1164, (EU) 2018/1910 and (EU) 2019/475, State contribution for the repayment of loans of affected borrowers due to the adverse consequences of COVID-19 and other provisions ", which amend Articles 43 and 44 of the Tax Code of inheritances, donations, parental benefits and profits from gambling; the aforementioned provisions relate to the donations and parental benefits taxation. Furthermore, the APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 above Circular notifies Article 3 paragraph 7 of law 4223/2013, concerning the Unified Property Ownership Tax (“E.N.FI.A”).
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Α.1192/2020
New deadline for submitting initial and amending “Covid Declaration”
A.1192/2020 provides for a new deadline for submitting the initial and amending “Covid Declaration” with respect to the rent change for the months of March, April, May and June. In particular, the aforementioned deadline starts from 04.09.2020 and ends on 23.09.2020. The amending “Covid Declarations” for the months of March to August are submitted within the same deadline. The lessee’s acceptance of the initial “Covid Declaration” for the months of March up to June, as well as the lessee’s acceptance of any amendment thereof for the months of March up to August is carried out until 01.10.2020. If the acceptance is not made within the above deadline, it is considered that the "Covid Declaration" has been accepted by the lessee.
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Α.1193/2020
Supporting measures for lessors who did not receive rent payment due to COVID-19
A.1193/2020 provides measures to support lessors from the non-payment of 40% of the rents by virtue of the provisions of article 13 of law 4690/2020 which added par. 42 to the article 72 of the Income Tax Code. In particular, it is provided that lessors, either natural or legal persons, which have not been paid 40% of the rents by virtue of the application of measures taken in the context of COVID-19, are not subject to income tax and special solidarity contribution on the non-paid amount and are not obliged to include these amounts in their annual income tax return. Furthermore, it is stipulated that the above lessors - natural persons who have received a reduced rent, have the right to deduct a percentage of 20% on 60% of the rents with respect to those months, calculated before the above reduction, from tax liabilities due on 31.7.2020 onwards. The lessor - beneficiary of such deduction, in order to benefit from the aforementioned favorable arrangements, has to submit a declaration on the rent change ("COVID Declaration").
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Α.1196/2020
Extension of the deadline for submitting income tax return for the tax year 2019
A.1196/2020 provides for the extension of the deadline for submitting income tax return for the tax year 2019 up to 31.08.2020, with respect to individuals stipulated in Article 3 of law 4172/2013, as well as legal entities stipulated in Article 45 of law 4172/2013.
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APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ε.2141/2020
Extension of deadlines for payment of certified tax liabilities for lessors who received reduced rent
E.2141 / 2020 notifies the provisions of article 14 of law 4690/2020 (Α' 104) on the "Extension of deadlines for payment of certified tax liabilities and installments of partial payment schemes, suspension of collection of overdue tax liabilities and 25% set-off with certified tax liabilities for lessors” and provides for instructions for the uniform application of the above provisions. The beneficiaries of the above measures are natural persons who lease their properties to persons who, as part of the measures in response to COVID-19, are exempted from paying forty percent (40%) of the agreed rent.
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Α.1200/2020
Extension and suspension of collection of certified tax liabilities
By virtue of A.1200/2020, the collection of certified tax liabilities, for which a suspension of collection has been granted in response to Covid-19, is suspended until 30.04.2021. Deadlines for payment of tax liabilities/ installments under a settlement scheme are extended up to the same date as above.
For further information regarding A.1200/2020 click here
Law 4722/2020
Ratification of the provisions of L.A. 10.8.2020 on "Emergency measures in response to the National Health System’s needs, protection against the spread of COVID-19, support of the labor market and facilitation of the educational process" (A’ 157) and b) the provisions of L.A. dated 22.8.2020 on "Emergency measures for supporting the urban transport, the supply of personal protective equipment and the recruitment of school cleaning staff, the support of tourism businesses and labor market and the support of the General Secretariat for Civil Protection in response to COVID-19, as well as the support of the persons affected by the floods of 8 and 9 August 2020 in Evia” (A’ 161) and other provisions in response to COVID-19 and other emergency issues
On 15.09.2020 law 1522/2020 was published, which, among other things, contains the following tax provisions.
In particular,
• Article 5 provides for measures to support lessors against non-payment of rents in the context of COVID-19. Specifically, in par. 42 of article 72 of law 4172/2013 it is clarified that apart from the amount of 40% of the rent which was not received in the context of measures in response to COVID-19, the amount of at least thirty percent (30%) of the rent which was not received following an agreement between the lessor and the lessee in the context of measures in response to COVID-19 shall not also be subject to income tax and special solidarity levy.
• Article 14 provides for the reduction of the advance payment of income tax for the tax year 2019 with respect to related services of air or ferry transport according to article 72 par. 9 of the of Greek Code of Income Tax.
For further information regarding L.4722/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Circular E. 2179/02-11-2020
Notification of the 2020/1573 Decision of the Commission of 28 October on the amendment of the 2020/491 Decision (EU) of the Commission concerning the relief from import duties and VAT on imports
E 2179/02-11-2020 notifies the 2020/1573 (EU) Decision of the 28 October Commission on the amendment of the 2020/419 (EU) Decision concerning the relief from import duties and VAT on imports, which is granted for goods needed to combat the effects of the COVID-19 outbreak during 2020. In particular, the period of exemption from import duties and VAT is set from 30 January 2020 to 30 April 2021.
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Law No. 4738/2020
Exemption of special solidarity contribution and other provisions
Law No 4738/2020 in Parts B and C, includes certain tax provisions. In particular, among other provisions is the debt settlement for which an extension of payment deadline or suspension of collection was granted in the context of dealing with the effects of the COVID-19 pandemic (Art. 289), the exemption on imposition of special solidarity contribution on the income of Article 43A of the Income Tax Code with the exception of Salary and Pension Income (Art. 298), the reduction of VAT rate (to 13% from 24%) for the import of art objects, collections or antiquities and the import and delivery of art objects of artistic value (Art. 299), the suspension of the application of the provision on taxation of donations (Art. 300), the increase in the area of a property to cover housing needs- amendment of Art 1 of the Law 1078/1980(Art. 301), the employment enhancement mechanism “SYN-ERGASIA”- Amendment of par.3 of the Art. 31 of the Law 4690/2020 and par.2 of the Art. 123 of the Law 4714/2020(Art. 283)
For further information regarding Law No. 4738/2020 click here
Circular 2168/20-10-2020
Special purpose compensation for the support of companies due to the COVID-19 outbreak
E 2168 / 20-10-2020 registers special purpose compensation for the support of companies due to the COVID-19 outbreak regarding tax year 2019. Especially for tax year 2019, for legal entities whose tax year is not identical to the corresponding calendar year, ie expires on a date after 31/12/2019, special purpose compensation is registered in the tax return using the code “479” “Island Cost Compensation” (A.NH.KO.) of Law 4551/2018.
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FEK B 4808/30-10-2020 (Official Journal of the Hellenic Republic)
Correction of Decision A.1236/2020
With FEK B 4808/30-10-2020, the Decision A.1236/2020 concerning the extension of deadlines for payment of debts from VAT declarations certified from the tax Authorities/debt control centers, was corrected. It is now possible for companies whose operation has been suspended by order of a public authority for at least 14 days, to suspend the APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
payment of the VAT payable in November, until April 30, 2020. This debt will be repaid in 12 installments with zero interest rate or 24 installments with an interest rate of 2,5% from May 2020 onwards.
For further information regarding FEK B 4808/30-10-2020 click here
A.1230/2020 Determining the manner, time and any other special issues for submitting the COVID-19 declaration for the optional rent reduction
Decision A.1230 / 2020 determines the manner, time, as well as any other specific issue for the submission of the "COVID Declaration" in cases where there has been a reduction of rent of at least 30%. In the event that, following a relevant agreement with the lessee, rent for months September, October, November and December 2020 is reduced by at least 30%, the landlord submits a declaration of modification of rent ("Covid Declaration") for the months of September up to December 2020, if applicable. The abovementioned declaration, core or amending, shall be submitted by the 20th day of the month related to the reduction, with the exception of the months of September and October which to provisions of Article 2 hereof apply.
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A 1243/2020
Correction of errors and omissions in COVID Statements and statements of “Real Estate Lease Information” until December 15, 2020.
Decision A. 1243/2020 stipulates that the landlords who receive a notification from the Tax Administration for submitting the "Covid Declaration" or the "Real Estate Lease Information Declaration" from March to August 2020 in order to correct errors or omissions, shall submit such declarations by 15 December 2020.
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Α. 1248/2020
Determining the details of the application of article 1 of the Legislative Act of 11-03-2020
Decision A. 1268/2020 determined the details on the application of art.1 of Legislative Act 11-03-2020 "Urgent measures to address the negative consequences of COVID-19 outbreak and the need to limit its spread”. It was decided, among other things, the extension until 20-11-2020 of the deadlines for payment of certified taxes that expire or have expired from 01-10-2020 to 30-10-2020 and the suspension until 20-11-2020 of the collection of confirmed and overdue debts on 30-10-2020 with a deadline of submission on 30-10-2020.
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GDOY 281/2020
Procedure and conditiοns for granting aid in form of repayable advance APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Aid scheme in the form of a repayable advance is introduced for private companies, regardless of the sector where they perform economic activities, which have been financially affected by the outbreak and spread of COVID-19 for the months September and October 2020. The aid in the form of a repayable advance is exempt from seizure, tax-free and it is not offset against any debt while applications for inclusion in the scheme are submitted by 30 November 2020.
For further information regarding GDOY 281/2020 click here
Law. 4753/2020
Additional measures to implement Regulation (EU) 2019/1150 of the European Parliament
On 18.11.2020, Law 4753/2020 of the Ministry of Development and Investment was published, under the title "Taking additional measures for the implementation of Regulation (EU) 2019/1150 of the European Parliament and the Council of 20 June 2019 to promote fairness and transparency for business users of online mediation services, arrangements for the Inter-Service Market Control Unit, the Competition Commission, the operation of the market and other provisions. Articles 33 et seq. thereof include tax rules. Among other things, the law provides for an extension of the reduction of the rent of professional leases, leases of main residence, leases of dependent student- members and leases of seafarers (article 33), payment of half of the reduction of the rents to the landlords who receive a reduced rent by 40% (article 34), arrangements for rental of tourist accommodation exclusively concerning the temporary accommodation of natural persons in the context of dealing with the risk of transmission of COVID-19 (Article 36) and an extension of the application of the reduced VAT rate of 6% to specific goods associated with tackling the spread of COVID-19 (Article 39).
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Circular 2183/16-11-2020
Accepted documents for proof of taxable income from foreign pensions.
Based on the data of foreign pensions for tax year 2014, available to the Tax Administration, through the automatic exchange of information from EU countries, taxpayers were asked to fulfill their tax obligations by submitting the relevant tax returns and supporting documents provided by law. However, due to the COVID-19 pandemic, many of them cited difficulty in gathering the above-mentioned supporting documents. For this reason, these declarations will be received even if they are not accompanied by the required supporting documents at the time of their submission, if the taxpayer submits a formal declaration stating that he is unable to provide the relevant certificate, due to the fact that the competent services are suspended or restricted from operating due to the effects of the COVID-19 pandemic and will be required to provide the relevant certificate as soon as possible. Exceptionally, in these cases any suitable supporting document can be used to determine the final taxable amount of foreign pensions, such as a copy of the bank account statement to which the pension is paid by the foreign insurance company.
For further information regarding Circular 2183/16-11-2020 click here
Circular 2184/19-11-2020
Clarifications on issues related to the submission of the "Covid-19 Declaration" APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
As defined in an earlier decision of the Independent Authority for Public Revenue, the landlords who receive a notice from the Tax Administration for submitting the "Covid-19 Declaration" or the "Real Estate Lease Information Statement" of the months March to August 2020 in order to correct or cancel mistakes or omissions, have the opportunity to submit the relevant declarations by 15 December 2020. This decision provides further clarification on issues related to the submission of the "Covid Declaration" for these months.
For further information regarding Circular 2184/19-11-2020 click here
GDOY 282/2020
Amendment of GDOY 281 / 13-11-2020 "Procedure and conditions for granting aid in the form of a repayable advance to companies that have been financially affected by the occurrence and spread of COVID-19 coronavirus disease, during the months of September and October 2020" ( B '5047). More specifically, in par. 2 art. 3 of GDOY 281 / 13-11- 2020, a circumstance is added which stipulates that the companies which are beneficiaries / recipients of the aid in the form of a repayable advance must, among other things, observe and issue accounting records
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Ε. 2186/2020
Notification of the provisions of articles 290, 291 and 294 of law 4738/20120 (A 207 - 27.10.2020)
The provisions of Law 4738/2020 "Debt settlement and provision of second chance and other provisions" that are notified concerning the: 1. extension of payment of adjustment installments for those affected by the "Covid-19" pandemic (Article 290), 2. reintegration of those affected by the "Covid-19" pandemic in the regulations of Law 4321/2015 and Law 4611/2019 (article 291), the suspension of the provisions of Law 4152/2013 for a period of two years regarding the conditions for certification of independent appraisers for the provision of a guarantee or collateral security.
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Α. 1256/2020
Determination of the details on application of article 2 of the Legislative Act of 11-03-2020 (A. 55)
The decision determined the details of application of article 2 of the Legislative Act of 11-03-2020 (A. 55), as amended and currently applicable, which was ratified by article 2 of law 4682/2014 (A. 76), and adopts urgent measures to address the adverse effects of Covid-19 pandemic and the need to limit its spread. More specifically, the deadline for payment of the November 2020 installment of arrangements and facilities for partial payment of certified debts of specific groups of employees and companies is extended. This November installment is paid on the last business day of the month following the last installment of the existing installment payment arrangement program.
For further information regarding A. 1256/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1255/20-11-2020
Determining the details of application of article 1 of the Legislative Act of 11-03-2020
The decision determined the details of application of article 1 of the Legislative Act of 11-03-2020 (A.55), as amended and currently applicable, which was ratified by article 2 of law 4682/2014 (A. 76) and adopts urgent measures to address the adverse effects of Covid-19 pandemic and the need to limit its spread. Specifically, the deadlines for payment of certified debts from VAT returns with tax amount (debit) that expire or expired from 01-11-2020 to 30- 11-2020 for specific categories of companies, whose operation was suspended by order of a public authority, are extended until 30-04-2021.
For further information regarding A. 1255/2020 click here
Α. 1254/2020
Determining the details of application of article 2 of the Legislative Act of 11-03-2020
The decision determined the details of application of article 2 of the Legislative Act of 11-03-2020 (A. 55), as amended and currently applicable, which was ratified by article 2 of law 4682/2014 (A. 76), and adopts urgent measures to address the adverse effects of Covid-19 pandemic and the need to limit its spread. More specifically, the deadline for payment of the November 2020 installment of arrangements and facilities for partial payment of certified debts for companies that meet cumulatively certain criteria is extended.
For further information regarding A. 1254/2020 click here
ΓΔΟΥ 285/2020
Refundable advance payment 1
The decision (ΓΔΟΥ 285/2020) of the Ministers of Finance, Development and Investments "Procedure and conditions for granting aid in the form of a repayable advance to companies that have been financially affected by the occurrence and spread of coronavirus COVID-19" is amended (B’ 1645), as in force. More specifically, the submission of supporting documents by companies is extended until 28.2.2021.
For further information regarding ΓΔΟΥ 285/2020 click here
ΓΔΟΥ 286/2020
Refundable advance payment 2
The Common Ministerial Decision (ΓΔΟΥ 286/2020) "Procedure and conditions for granting aid in the form of a repayable advance to companies that have been financially affected by the occurrence and spread of coronavirus COVID-19 during the months of March, April and May 2020" (B’ 2729) is amended, as in force. More specifically, the submission of supporting documents by companies is extended until 28.2.2021.
For further information regarding ΓΔΟΥ 286/2020 click here APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
ΓΔΟΥ 287/2020
Refundable advance payment 3
The Common Ministerial Decision (ΓΔΟΥ 286/2020) "Procedure and conditions for granting aid in the form of a repayable advance to companies that have been financially affected by the occurrence and spread of coronavirus COVID-19 during the months of March, April and May 2020" (B’ 2729) is amended, as in force. More specifically, the submission of supporting documents by companies is extended until 28.2.2021.
For further information regarding ΓΔΟΥ 287/2020 click here
ΓΔΟΥ 392/2020
Amendment of the decision ΓΔΟΥ 392/2020 of the Ministers of Finance and Development and Investment
Amendment of the decision ΓΔΟΥ 392/2020 of the Ministers of Finance and Development and Investment "Procedure and conditions for granting aid in the form of a repayable advance to companies that have been financially affected by the outbreak and spread of COVID-19 coronavirus during the months of September and October 2020" (B '5047), as in force. In particular, this Decision establishes an aid scheme in the form of a repayable advance for companies, regardless of sector, which have been financially affected by the outbreak and spread of COVID-19 (COVID-19) for the months of September and October 2020, whose budget amounts to a total of 2.200.000.000 euros. For the months of November and December 2020, businesses, regardless of the type of books kept, complete the VAT turnover or gross income each month, as appropriate. The above data filled in by the company, are verified by the VAT and Income declarations, in the respective tax years, when they are submitted.
For further information regarding ΓΔΟΥ 392/2020 click here
Circular E. 2198/2020
Clarifications on the provisions of article 291 of law 4738/2012 (AD207) regarding the reintegration of those affected by COVID19 in the debt arrangements of articles 1-17 of law 4321/2015 and articles 98-109 of Law 4611/2019.
Debtors with certified debts to the Public Financial Services (Δ.O.Y.) and the Control Centers and installments of partial payment arrangements, for which a suspension of collection and extension of their payment has been granted in the context of dealing with the effects of Covid-19, who lost during the period March 2020 to November 2020 partial payment arrangement in accordance with the provisions of articles 1-17 of Law 4321/2015 and 98-109 of Law 4611/2019, may be reinstated in the same regulatory regime with the same terms and conditions for the remaining debt and the remaining number of installments after submitting an application for their reintegration into it. The reintegration in the regulation is conducted with the payment of the installment for the month of December 2020 until 31.12.2020. The debtor's reintegration request is submitted electronically at the online application myBusinessSupport of AADE.
For further information regarding 2198/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1274/2020
Specification of affected companies concerning the mandatory exemption from the obligation to pay 40% of the total rent for the month of December 2020.
The lessees of professional leases to set up a business, which has its headquarters or a branch in Greece and for which special and extraordinary measures have been taken to suspend or temporarily prohibit operation for precautionary or repressive reasons related to COVID-19 coronavirus, are released from the obligation to pay the 40% of the total rent for the month of December 2020, in derogation of the existing provisions on leases, in accordance with the provisions of the second and third subparagraph of par. 1 of the second article of 20.03.2020 Legislative Act (A '68) .
For further information regarding E. 1274/2020 click here
Δ1α/ΓΠ.οικ.80189/12.12.2020 Ministerial Decision concerning the emergency measures for the protection of public health from the risk of further spread of COVID-19 in the whole Territory that are valid as from Sunday 13 December 2020 at 6:00 am until Thursday 7 January 2021 at 6: 00 am.
Αccording to this Ministerial Decision, the work of the judicial formations of the Council of State and the administrative courts of the country is temporarily suspended. With regard to the Council of State, the mature cases for discussion, for which a joint or separate statement of performance without appearing at the hearing has been submitted by all parties, are exceptionally adjudicated.
With regard to the regular administrative courts, the mature cases, for which a joint or separate statement of performance without appearing at the hearing has been submitted by all parties, are exceptionally adjudicated.
For further information regarding Δ1α/ΓΠ.οικ.80189/12.12.2020 click here
Α. 1280/2020
Determining the details of the application of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to deal with the negative consequences of the appearance of coronavirus COVID-19 and the need to limit its spread" (A '55)
Decision A. 1280/2020 determines the details of the application of article 2 of the Legislative Act of 11-03-2020 “Urgent measures to deal with the negative consequences of the appearance of COVID-19 and the need to limit its spread" (A '55), as amended and in force, which was ratified by article 2 of law 4682/2020 (A '76). More specifically, the deadline for the payment of December 2020 installment is extended, as well as the arrangements and facilities for partial payment of certified debts to the Tax Authorities / Control Centers for companies that have a certain number of KAD and their activity is suspended by order of a public authority. This December installment is paid on the last working day of the next month of the last installment of the program of the existing installment payment arrangement, as it may have been formed, in accordance with the provisions of article 290 of law 4738/2020 (A '207) and the Decision A. 1254/2020 (B '5223) of the Deputy Minister of Finance.
For further information regarding A. 1280/2020 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
ΓΔΟΥ 1/2021
Procedure for submitting an expression of interest for the interim aid measure in the form of a Reimbursable Advance to companies which were financially affected by the spread of COVID-19 coronavirus during the months of September to December 2020 (Reimbursable Advance 5)
The abovementioned decision stipulates that in order to receive aid in the form of a Refundable Advance, the person concerned should submit an expression of interest to the online electronic platform "myBusinessSupport" of the Independent Public Revenue Authority (AADE) specific categories of companies of COVID-19. The expression of interest and accompanying data shall be submitted to the platform by January 15, 2021.
For further information regarding ΓΔΟΥ 1/2021 click here
Ε. 2207/24-12-2020
Extraordinary tax treatment due to deduction of 25% on VAT and regulated debts, based on the provisions of articles 1 and 2 of the Legislative Act of 11.03.2020
In particular, it is concluded that the benefit of the 25% deduction on the VAT debt paid to the companies financially affected by the spread of Covid-19 does not have the conceptual characteristics of income, therefore it is not taxable income for these companies. For the extraordinary revenue in question, in case of its distribution or capitalization, the provisions of par. 1 of article 47 of Law 4172/2013 do not apply, since it does not fall under the concept of income from business activity. As for the natural persons who do not operate business activities, any benefit they derive from the reduction of their tax liability to the Tax Administration, does not collect the conceptual data of income from any category and therefore is not stated in their tax return.
For further information regarding Ε. 2207/2020 click here
Ε. 2002/30-12-2020
Notification of provisions of article 73 of law 4764/2020 (A’256) regarding the application of zero VAT rate in vaccines and in vitro diagnostic medical devices for COVID-19 as well as services closely related to these goods - Transposition of Council Directive (EU) 2020/2020.
In particular, with this decision, we notify for information and application of article 73 of law 4764/2020 (A '256), with the provisions of which paragraph 1A is added to article 21 of the VAT Code. (Ratified with law 2859/2000 (A’ 248), which provides for the application of a zero VAT rate to vaccines and in vitro diagnostic medical devices for COVID-19 disease. These provisions are the incorporation of Article 129a of Council Directive (EU) 2020/2020 and they are intended to combat the pandemic and prevent the spread of the virus by reducing the purchase cost of the goods in question, thus facilitating access for health care providers and the general population of the country.
For further information regarding Ε. 2002/2020 click here
ΓΔΟΥ 4/2021
Amendment of ΓΔΟΥ 1 / 4.1.2021 «Procedure for submitting an expression of interest for the interim aid measure in the form of a Refundable Advance to companies which were financially affected by the spread of COVID-19 during September to December 2020» APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Specifically, the interested companies should submit to the "myBusinessSupport" platform the required data for the months January to December 2020. The submitted data cannot be modified by the company after their finalization, with the exception of the data of November 2020 and December 2020 which may be modified from the publication of this until the expiration of the deadline for submission of expressions of interest of par. 7. The data completed by the company are verified by the VAT and Income declarations, in the respective tax years, when they are submitted. The expression of interest and accompanying data are submitted to the platform by January 19, 2021.
For further information regarding ΓΔΟΥ 4/2021 click here
Ε. 2006/08-01-2021
Notification of Α.1285 / 17-12-2020 Decision on "Extension of submission of Aggregate Supply Documents (ΣΠΕ) of ships".
In particular, taking into account the difficulties observed in recent months due to measures in order to prevent the spread of the Covid-19 pandemic, this decision stipulates that the Aggregate Supply Documents (ΣΠΕ) of ships for the months of September, October, November and December 2020, may be accepted by the competent customs authorities within three months from the end of the month in which the supply took place.
For further information regarding Ε. 2006/2021 click here
Α. 1003/11-01-2021
Procedure and conditions for payment of an amount equal to half the rent reduction for rent from November onwards.
This decision defines the procedure and conditions for the payment of an amount equal to half the reduction of rents received by landlords for rents from November onwards, as required by law in the context of dealing with the effects of COVID-19. The amount paid does not fall into any category of income, is not subject to any tax, fee, contribution or other withholding in favor of the State, including the special solidarity contribution, it is inalienable and unsecured in the hands of the State or a third party and it is not offset by certified debts to the State.
For further information regarding Α. 1003/2021 click here
Ε. 2008/11-01-2021
Application of provisions a.39 of law 4753/2020, a. 64 of law 4758/2020 and article 75 of law 4764/2020
This decision provides instructions for the application of the provisions of article 39 of law 4753/2014 (Government Gazette 227 A ', 18.11.2020), article 64 of law 4758/2012 (Government Gazette 242A', 04.12.2020) and Article 75 of Law 4764/2020 (Government Gazette 256 A) - regarding the extension of the application of the reduced VAT rate of six percent (6%) to specific goods related to the treatment of the spread of the coronavirus COVID -19 -with the reduction of the VAT rate on food preparations of ΔΚ 2106 and mustard ΔΚ 2103, - and the inclusion of items for the service of persons with disabilities in the reduced VAT rate, respectively.
For further information regarding Ε. 2002/2021 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ε. 2009/13-01-2021
Instructions on the certification of the foreign tax residence on the application forms for the implementation of the Double Taxation Treaty between Greece and Spain, (Σ.Α.Δ.Φ.)
In particular, the tax authorities of Spain, due to the special circumstances of the COVID 19 pandemic, informed that they - temporarily - stop the sealing of forms of other countries and can only issue electronic Tax Residence Certificates, while they also informed that the issuance of electronic Tax Residence Certificates will be the only means of tax residence certification, as it was decided to serve the tax residents of Spain. Therefore, in order to ensure the security of the transactions of the tax residents and the work of the liable persons, specific instructions are provided by the Greek Administration regarding this issue.
For further information regarding Ε. 2009/2021 click here
A. 1011/20-01-2021
Modification of process
The abovementioned decision modifies the procedure provided for in A. 1003/2021 joint decision of the Minister, the Deputy Minister and the Undersecretary of Finance named "Procedure and conditions for payment of an amount equal to half the reduction of rents received by landlords for monthly rents from November onwards, as required by law in the context of dealing with the effects of COVID-19 ".
For further information regarding Α. 1011/2021 click here
ΓΔΟΥ 19/2021
Procedure and conditions for granting aid in the form of a repayable advance to companies financially affected by the outbreak and spread of COVID-19, during the months of September until December 2020
This decision establishes an aid scheme in the form of a repayable advance for companies, regardless of sector, which have been financially affected by the outbreak and spread of COVID-19 for the months as from September until December 2020.
For further information regarding ΓΔΟΥ 19/2021 click here
ΓΔΟΥ 38/2021
Amendment of the joint decision of the Ministers of Finance and Development and Investment under the title ΓΔΟΥ 19 / 25-1-2021 "Procedure and conditions for granting aid in the form of a repayable advance to companies financially affected by the occurrence and spread of COVID-19 coronavirus disease" during the months September to December 2020 "
Companies which started operations from 1 November 2019 until 29 February 2020, as well as from 1 August 2020 until 31 October 2020, and either have an active main KAΔ on 5-11-2020 one of those described in Annex V, which is an integral part of ΓΔΟΥ 19 / 25-1-2021, or whose gross active income during the 5-11-2020 KAΔ of secondary activity from those described in Annex V, as they arise from the initial income tax return for the tax year 2019, are higher than the gross income corresponding to the main KAΔ on 5-11-2020, are eligible regardless of their turnover or gross income.
For further information regarding ΓΔΟΥ 38/2021 click here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1015/25-01-2021
Determining the details of the application of article 2 of the Legislative Act of 11-3-2020 "Urgent measures to deal with the negative consequences of the spread of COVID-19 and the need to limit its spread", as amended and in force, which was ratified by article 2 of law 4682/2020.
Extension of the deadline is announced, for payment of the January 2021 installment of arrangements and facilities for partial payment of certified debts to the Tax Authorities / Control Centers for companies that have gross active income during the 20-03-2020 KAΔ secondary activity table, as they result from the initial income tax return for the tax year 2018, which are greater than the gross income corresponding to the main KAΔ on 20-03-2020. The January installment is paid on the last working day of the next month of the last installment of the program of the existing installment payment arrangement, as it may have been formed in accordance with the provisions of article 290 law 4738/2020, A. 1254/2020 (B '5223) and A. 1280 , Decisions of the Deputy Minister of Finance.
For further information regarding Α. 1015/2021 click here
Α. 1014/25-01-2021
Determining the details of the application of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to deal with the negative consequences of the outbreak of COVID-19 and the need to limit its spread", as amended and in force, which was ratified by article 2 of law 4682/2020.
Extension of deadline is announced, regarding the payment of the January 2021 installment of arrangements and facilities for partial payment of certified debts to the Tax Offices / Control Centers of employees in companies, which have an active, main activity code on 20/03/2020 by those listed in the attached to the said decision document, which is an integral part of this, or whose gross income is active on 20/03/2020 of the secondary KAΔ activity, as they result from the initial income tax return for the tax year 2018, are higher than the gross income corresponding to the main KAΔ on 20/03/2020, whose employment contract is suspended throughout the country or due to a ban on the operation of the company with order of a public authority, or due to the application of the measure of circumstance a 'of subpar. 2A of the eleventh article of the Legislative Act of 20-3-2020 (A '68), which was ratified by article 1 of Law 4683/2020 (A' 83). This decision excludes the persons of par. 5 of the thirteenth article of the Legislative Act from 14/03/2020 (A '64), which was ratified with article 3 of law 4682/2020 (A' 76 ). This January installment is paid on the last working day of the next month of the last installment of the program of the existing installment payment arrangement, as it may have been formed, in accordance with the provisions of article 290 of Law 4738/2020 (A '207) and A. 1256/2020 (B '5206) and A. 1279/2020 (B' 5638) decisions of the Deputy Minister of Finance.
For further information regarding Α. 1014/2021 click here
Α. 1022/09-02-2021
Determination of the Code Numbers of Activities (KAΔ) of the enterprises for the application of c. a 'of par. 1 of article 28 of law 4772/2021 of the COVID-19 pandemic, “Conduct of General Censuses for the year 2021 by the Hellenic Statistical Authority, urgent measures for the effects of the COVID-19 pandemic, urgent fiscal arrangements and other provisions”.
This decision determines the KAΔ for the inclusion from 25.1.2021 to 28.2.2021 of securities due to companies that have either suspended their activity in application of Regulatory Acts of the Administration or have been severely affected by Covid-19 epidemic, or were established after 1.1.2020 not taking their turnover into account.
For further information regarding Α. 1022/2021 click here APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1025/09-02-2021
Determination of affected companies for the mandatory exemption from the obligation to pay the total rent or 40% of the total rent for the months January and February 2021
More specifically, the lessee of a professional lease to establish a company, located or having a branch in Greece whose operation has been suspended or which is financially affected by Covid-19 is released from the obligation to pay the total rent or 40% of the total rent for the months of January and February 2021, by way of the existing provisions on leases.
For further information regarding Α. 1025/2021 click here
ΓΔΟΥ 154/2021
Aid in the form of a repayable advance
This decision defines the procedure for submitting an expression of interest for the temporary aid measure in the form of a Repayable Advance Payment to companies that have been financially affected by the appearance and spread of COVID-19, in January 2021.
For further information regarding ΓΔΟΥ 154/2021 click here
Α. 1028/15-02-2021
Determining the details of the application of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to address the negative consequences of coronavirus COVID-19 and the need to limit its spread" (A’ 55), as amended and in force, which was ratified by article 2 of law 4682/20120 (Α΄76).
Τhis decision extends the deadline for payment of the February 2021 installment of arrangements and facilities for partial payment of certified debts of employees whose employment contract is suspended either due to a ban on the operation of the company by order of a public authority or due to its application by 2A of its eleventh article from 20- 3-2020 ΠΝΠ (Legislative Act). This February installment is paid on the last business day of the month following the last installment of the existing installment payment schedule.
For more details in relation to A. 1028/15-02-2021 press here
Α. 1029/15-02-2021
Determining the details of the application of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to address the negative consequences of coronavirus COVID-19 and the need to limit its spread" (A’ 55), as amended and in force, which was ratified by article 2 of law 4682/20120 (Α΄76).
More specifically, the deadline for payment of the February 2021 installment of arrangements and facilities for partial payment of certified debts to the Tax Offices / Control Centers for companies that have an active, main activity code on 20-3-2020 or gross income active on 20-3 -2020 KAΔ of secondary activity, as they result from the initial income tax return for the tax year 2018, which are greater than the gross income corresponding to the main KAΔ on 20-3-2020, is extended. This February installment is paid on the last business day of the month following the last installment of the existing installment payment schedule. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For more details in relation to A. 1029/15-02-2021 press here
Α. 1030/18-02-2021
Procedure and conditions for payment of the amount of the landlords' compensation for the rents for January - February 2021, as required by law in the context of dealing with the effects of coronavirus COVID-19.
More specifically, for people who do not receive rent during the months of January and February 2021, the following is paid: a) for individuals, an amount equal to 80% of the total rent of each month and b) for legal entities an amount equal to 60% of the total rent for each month. This decision provides further details on the categories of beneficiaries of the payment, the procedure for submitting the Covid Declaration as well as the procedure for granting and paying the amount to the beneficiaries.
For more details in relation to A. 1030/18-02-2021 press here
Α. 1036/23-02-2021
Defining the procedure for the "Conduct of General Censuses of the year 2021 by the Hellenic Statistical Authority, urgent regulations for dealing with the effects of the coronavirus pandemic COVID-19, urgent fiscal and tax regulations and other provisions".
This decision determines the required data and supporting documents, the procedure of sending or transmitting them to the Tax Administration by taxpayers or third parties, the exempt KAΔ, as well as any other necessary technical or procedural details for the application of par. 3a of article 28 of law 4772/2021 (A’ 17) "Carrying out General Censuses of the year 2021 by the Hellenic Statistical Authority, urgent regulations for dealing with the effects of the coronavirus pandemic, urgent fiscal and tax regulations and other provisions".
For more details in relation to A. 1036/23-02-2021 press here
Α. 1040/27-02-2021
Amendment of the decision of the Deputy Minister of Finance under decision A.1025 / 2021 (Β '538 and Β΄ 655) for the determination of the affected companies for the obligatory exemption from the obligation to pay the total rent or 40% of the total rent for the months of January and February 2021.
It is stipulated that the lessee of a professional lease for which special measures have been taken to suspend or temporarily prohibit operation for precautionary or repressive reasons related to Covid-19 is released from the obligation to pay the total rent or 40% of the total rent for months January and February 2021.
For more details in relation to A. 1040/27-02-2021 press here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1043/01-03-2021
Extension of the deadline for submission of the "Lease Information Statement", the "Covid Declaration" and the deadline for acceptance of these statements by the tenants.
The deadline of the second paragraph of par. 1 of article 11 of Circular 1162/2018 (decision of the Commander of Α.Α.Δ.Ε) (ΒΔ 3579) for the submission of "Covid Declaration" for the month of January 2021 is extended until March 10, 2021 while the deadline for acceptance of "Covid Declaration" by the tenants for the month of January 2021 is extended until March 16, 2021.
For more details in relation to A. 1043/01-03-2021 press here
Α. 1047/03-03-2021
Amendment of the decision of the Deputy Minister of Finance under decision A.1251 / 20.11.2020 "Determination of affected companies for the mandatory exemption from the obligation to pay 40% of the total rent for the month of November 2020" (B '5204).
An exemption from the obligation to pay 40% of the total rent for the month of November 2020 is provided for the lessees of professional leases for the establishment of a company whose operation has been suspended due to COVID- 19. Especially for the companies that were not active on March 20, 2020, the main KAΔ is taken into account, as it appears in the Tax Register of AAΔE on November 5, 2020, if they are active on that date.
For more details in relation to A. 1047/03-03-2021 press here
Α. 1048/03-03-2021
Amendment of the decision of the Deputy Minister of Finance under decision A.1274 / 14.12.2020 "Determination of affected companies for the mandatory exemption from the obligation to pay 40% of the total rent for the month of December 2020" (B '5577).
An exemption from the obligation to pay 40% of the total rent for the month of December 2020 is provided for lessees of professional leases for the establishment of a company whose operation has been suspended due to COVID-19. Especially for the companies that were not active on March 20, 2020, the main KAΔ is taken into account, as it appears in the Tax Register of AAΔE on November 5, 2020, whether or not they are active on that date.
For more details in relation to A. 1048/03-03-2021 press here
A.1050/05-03-2021
Amendment of the decision under Circular 1162/2018 of the Commander of A.A.Δ.E. "Submission of Real Estate Lease Information Statement using the electronic method of communication via the Internet" (B’ 3579).
More specifically, in the event that a lease agreement that has been terminated by June 12, 2020, the lessor is required to state the date of termination by April 12, 2021, otherwise the lease agreement is deemed to be in force. Lessors who are notified of the submission of "Covid Declaration" from March to December 2020 in order to correct their errors or omissions, submit these declarations gradually from March 16 to April 19, 2021. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For more details in relation to A. 1050/05-03-2021 press here
Ε. 2053/02-03-2021
VAT rate for tickets for theatrical performances and concerts provided via live internet streaming (live-streaming) from 3.11.2020 and for the duration of the suspension of attendance at live shows and auditions.
In the case of live internet streaming, and in contrast to video recording to which the normal VAT rate of 24% applies, access to the above events is made by the recipient in real time (live), without the possibility monitoring at a time of his choice, which is characteristic of physical access to the event. Therefore, from 3.11.2020, date of implementation of the abovementioned joint ministerial decision with number Δ1α / Γ.Π.οικ.69863 / 2020, and for as long as the measure of suspension of attendance of the public to live shows and auditions lasts, due to COVID19, tickets for watching theatrical performances and concerts via live internet streaming are subject to a reduced VAT rate of 6%.
For more details in relation to Ε. 2053/02-03-2021 press here
Ε. 2054/10-03-2021
General guidelines for dealing with the effects of the Covid-19 pandemic on Transfer Pricing issues.
In particular, based on the general guidelines of the OECD, instructions are given for the management of issues arising due to the pandemic regarding the application of the arm’s length principle, in the context of intra-group transactions. These guidelines are based on the OECD Guidelines issued on 18 December 2020 on the impact of the COVID-19 pandemic on intra-group pricing issues (the "COVID Guidelines").
For more details in relation to Ε. 2054/10-03-2021 press here
Α. 1053/12-03-2021
Amendment of Α.1193 / 24.8.2020, decision of the Deputy Minister of Finance “Application of the provisions of article 13 of law 4690/2020 (Α '104), regarding the measures to support the landlords from the non-collection of rents by law for dealing with the effects of coronavirus COVID-19 "(B '3505).
In particular, it is stipulated that landlords who do not receive 30% or 40% of the rent due to the special circumstances due to Covid, are not subject to income tax and special solidarity contribution for the amounts they did not receive and they are not required to include such amounts in their annual tax return. These landlords have the right to deduct an amount of 20% on 60% of the rents of these months from debts to the tax authority with a final payment date of 31.7.2020 onwards, except for debts from partial payment arrangements, debts in favor of a foreign government and from recovery of state aid.
For more details in relation to A. 1053/12-03-2021 press here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ε. 2060/18-03-2021
Submission of "Covid Declaration" by landlords
With the provisions of par. 8 of article 11 of the Decision of the Commander of A.A.D.E. of Circular 1162 / 2018. (B’ 3579), it is stipulated that landlords who receive a notice from the Tax Administration for the submission of the "Covid Declaration" or the "Declaration of Real Estate Lease Information" have the ability to submit these declarations in order to correct errors or omissions. Decision E. 2060 / 18-03-2021 provides additional clarifications on issues related to the submission of the "Covid Declaration".
For more details in relation to Ε. 2060/18-03-2021 press here
Α. 1055/18-03-2021 & Α. 1056/18-03-2021
Determining the details of the application of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to address the negative consequences of the occurrence of coronavirus COVID-19 and the need to limit its spread" (A’ 55), as amended and in force, which was ratified by article 2 of law 4682/20120 (A’ 76).
More specifically, it is stipulated the extension of the deadline for payment of the March 2021 installment of arrangements and facilities for partial payment of certified debts to the Tax Authorities / Control Centers of employees whose employment contract is suspended throughout the territory public authority, or due to the application of the measure of circumstance a 'of subpar. 2A of the eleventh article of the Legislative Act of 20-3-2020 (A '68), which was ratified by article 1 of Law 4683/2020 (A' 83). This March installment is paid on the last business day of the month following the last installment of the existing installment payment schedule.
For more details in relation to A. 1055/18-03-2021 & A.1056/18-03-2021 press here and here
Α. 1057/18-03-2021
Defining the procedure and conditions for payment of compensation in commercial stores
This decision sets out the specific procedure, as well as the conditions for payment of the amount of compensation to which companies operating outlets, shopping malls or discount villages, which do not receive for the months of January and February 2021 "basic consideration", are entitled. By virtue of the law in the context of dealing with the effects of coronavirus COVID-19.
For more details in relation to A. 1057/18-03-2021 press here
Α. 1058/18-03-2021
Setting conditions for the payment of an amount equal to half the reduction of the consideration received by the landlords
This decision determines the specific procedure as well as the conditions for payment of an amount equal to half the reduction of the consideration received by the beneficiaries for the lease / concession of the right to use a kiosk or canteen in November onwards, as required by law in dealing with the effects of coronavirus COVID-19. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For more details in relation to A. 1058/18-03-2021 press here
Α. 1058/18-03-2021
Procedure and conditions for the payment of an amount equal to half of the reduction of the consideration received by the landlords
This decision determines the specific procedure as well as the conditions for payment of an amount equal to half of the reduction of the consideration received by the beneficiaries for the lease / concession of the right to use a kiosk or canteen from November onwards, as required by law in dealing with the effects of coronavirus COVID-19.
For more details in relation to A. 1058/18-03-2021 press here
Α. 1057/18-03-2021
Defining a more specific procedure and conditions for the payment of compensation to companies operating discount stores
This decision sets out the specific procedure, as well as the conditions for payment of the amount of compensation to which companies operating outlets, shopping malls or discount villages are entitled, and do not receive for the months of January and February 2021 "basic consideration", by virtue of the law in dealing with the impact of Covid-19.
For more details in relation to A. 1057/18-03-2021 press here
Α. 1063/22-03-2021
Identification of affected companies for the mandatory exemption from the obligation to pay the total rent or 40% of the total rent for the month of March 2021.
More specifically, the lessee of a professional lease to establish a business which is domiciled or has a branch in the Hellenic Territory and for which special and emergency measures have been taken to suspend or temporarily prohibit operation for preventive or repressive reasons related to the coronavirus COVID-19 or is financially affected due to the appearance and spread of coronavirus COVID-19, is exempted from the obligation to pay the total rent or 40% of the total rent (depending on the category of the company) for the month of March 2021.
For more details in relation to A.1063/22-03-2021 press here
Α. 1059/19-03-2021
Amendment of the decision of the Ministers of Finance - Development and Investment - Labor and Social Affairs - Shipping and Island Policy under decision A.1228 / 2020 on "Regulation of special issues regarding more specific terms and conditions for the implementation of the provisions on the partial payment of rents in the context of measures related to the spread of COVID-19 coronavirus "(B '4582).
This decision provides clarifications on the categories of beneficiaries of the partial or total exemption from the payment of professional rent, rent of main residence, rent of dependent members-university students and sailors. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
For more details in relation to A. 1059/19-03-2021 press here
13800/304/30.3.2021
Extension of the deadline for payment of the installments of active insurance contribution arrangements as well as the deadline of the monthly installments of each arrangement by one (1) month for employers and / or companies defined in article 2.
With this decision it is decided the extension of the deadline for the payment of the installments of active arrangements of insurance contributions of claimants until 31/3/2021 and the deadline of all subsequent monthly installments of each arrangement by one (1) month for employers and / or companies specified in a. 2. During the period of the extension of the payment of the installments, additional fees, interest and other surcharges and charges are not calculated.
For more details in relation to 13800/304/30.3.2021 press here
ΓΔΟΥ 366/2021
Defining the procedure for submitting an expression of interest for the repayable deposit
This decision sets out the procedure for submitting an expression of interest for the interim aid measure in the form of a repayable advance to companies financially affected by the outbreak of COVID-19 coronavirus in January, February and March 2021.
For more details in relation to ΓΔΟΥ 366/2021 press here
Α. 1054/18-03-2021
Amendment of the decision of the Deputy Minister of Finance and the Governor of AΑΑΔΕ under A.1138 / 2020 "Determining the scope of application, the time and the procedure of electronic transmission of data to the Independent Public Revenue Authority, as well as any other necessary matter for the application of the provisions of article 15A of law 4174/2013 (K.Φ.Δ)”
This decision modifies the decision under elements A.1138 / 2020 of the Deputy Minister of Finance and the Commander of AΑΔΕ "Determination of the scope of application, the time and the process of electronic transmission of data to the Independent Public Revenue Authority, as well as any other necessary matter for the application of the provisions of article 15A of law 4174/2013 (K.Φ.Δ.)", (B'2470), as in force. More specifically, paragraphs 2 and 3 of article 6 regarding the characterization and the procedure of transmission of revenues to AΑΔΕ and article 7 on the launch of a productive operation of the platform for receiving the transmitted data are replaced.
For more details in relation to Α. 1054/18-03-2021 press here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Α. 1071/29-03-2021
Determining application details of article 2 of the Legislative Act of 11-03-2020 "Urgent measures to deal with the negative consequences of the occurrence of coronavirus COVID-19 and the need to limit its spread" (A’ 55), as amended and in force, which was ratified by Article 2 of law 4682/2020 (A’ 76).
This decision defines the details of application of a.2 of the Legislative Act of 11-03-2020 "Urgent measures to address the negative consequences of the occurrence of coronavirus COVID-19 and the need to limit its spread" (A’ 55), as amended and in force, which was ratified by article 2 of law 4682/20120 (A’ 76). In particular, it is determined the extension of the deadline for payment of the March 2021 installment of arrangements and facilities for partial payment of certified debts to the Tax Offices / Control Centers for companies that have an active, main activity code on 20-03-2020 from the contents of the regulated table, or gross income active during the 20-03-2020 KAΔ of secondary activity from those listed in the regulated table, as they result from the initial income tax return for the tax year 2018, which are higher than the gross income corresponding to the main KAD on 20-03 -2020. It is noted that the abovementioned installment in March is paid on the last working day of the following month of the last installment of the program of the existing partial payment arrangement.
For more details in relation to Α. 1071/29-03-2021 press here
Ν. 4790/2021
Urgent arrangements for the protection of public health during the Covid-19 pandemic
This law establishes urgent arrangements to protect public health from the ongoing effects of the COVID-19 coronavirus pandemic, development, social protection and the reopening of courts and other issues. In particular, emergency measures are provided, a special contribution of the State to companies for repayment of loans, exemption of specific goods and services from VAT, while special procedural arrangements are defined for the Council of State, the Court of Auditors and the regular administrative courts.
For more details in relation to L. 4790/2021 press here
39421 ΕΞ 2021
Extension of the measures of par. 2, article 13 of law 4690/2020 (A' 104), as in force.
This decision extends the measures defined in par. 2 of article 13, law 4690/2020 accordingly for natural persons and for legal entities, including the Legal Entities under Public Law of subpar. 3 of par. 1 of article 68 , law 4235/2014 (A '32), as well as of the Legal Entities of Private Law of non-profit character, which, for the month of March 2021, do not receive rent, according to par. 10 of the second article of the Legislative Act of 20.3.2020, which was ratified by article 1 of law 4683/2020, in the context of dealing with the consequences of coronavirus COVID-19.
For more details in relation to 39421 ΕΞ 2021 press here
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
ΔΙΔΑΔ/Φ.69/ 154/οικ. 6020/5.4.20219 9 (38th CIRCULAR)
Clarifications for the operation of the Public Sector
With this circular, clarifications are given regarding the operation of the Public Sector, based on no. Δ1α / Γ.Π.οικ.20651 / 2.4.2021 (Government Gazette FEK Β’ 1308). Indicatively, the following measures are mentioned: compulsory teleworking at the maximum percentage of the employees, if it is in line with the tasks, service to the public only in urgent cases and by appointment and establishment of a specific procedure for the meetings of collective bodies.
For more details in relation to ΔΙΔΑΔ/Φ.69/ 154/οικ. 6020/5.4.20219 9 press here
Ε. 2072/06-04-2021
Clarifications regarding the submission of an application for the reintegration of those affected by the coronavirus COVID-19 pandemic in the debt arrangements of articles 1-17 of law 4321/2015 (A '32) and articles 98-109 of law 4611/2019 ( A '73)
This decision provides further clarifications on the provisions of article 291 of law 4738/2020 (A '207) regarding the submission of an application for the reintegration of those affected by the coronavirus COVID-19 in the debt arrangements of articles 1-17 of Law 4321/2015 (A '32) and Articles 98-109 of Law 4611/2019 (A' 73). More specifically, it was stipulated that the taxpayers who met the conditions of the reintegration process, but had not submitted the relevant request to the digital platform myBusinessSupport of AADE, or their application for reintegration to the competent Tax Office was made late, they may be reinstated in the provisions of Articles 11-17 of Law 4321/2015 (A '32) and Articles 98-109 of Law 4611/2019 (A' 73).
For more details in relation to Ε. 2072/06-04-2021 press here
Α. 1076/26-03-2021
Decision to extend the deadline for the electronic submission of return applications of excise duty on diesel fuel.
Taking into account, among others, the deadline of par. 1 of a. 3 of the decision A. 1072 / 22-2-2019 (Β΄750) of the Commander of AADE for the electronic submission of the return applications of excise duty on diesel fuel from the beneficiaries for the fiscal year 2020 to facilitate the beneficiary companies and organizations due to the state of emergency due to the COVID-19 pandemic, it is decided to extend the above deadline until May 31, 2021.
For more details in relation to Ε. 2072/06-04-2021 press here
A.1083/06-04-2021
Extension of the deadline of the foreseen obligations of specific companies
This decision provides for the extension of the term of the obligations of the companies a) holders of liquefied petroleum gas licenses, b) distribution of bottled liquefied petroleum gas and c) recipients / final consumers of bulk liquefied petroleum gas pursuant to Articles 3, 4, 5 and 9 of details Α.1001 / 31-12-2020 (B΄ 40/2021) of the decision APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 of the Commander of ΑΑΔΕ. In particular, taking into account the need to extend the deadlines set in Article 9 for submission by the abovementioned companies to facilitate them due to the state of emergency due to the COVID 19 pandemic, it is decided to extend the deadlines of the abovementioned article until 30/06/2021.
For more details in relation to Α.1083/06-04-2021 press here
Α.1088/19-04-2021
Determination of the Code Numbers of Activities (KAD) of the companies for the application of c. a of par. 1 of article 78 of law 4790/2021
This decision determines the Code Numbers of Activities (KAD) of companies for the application of c. a of par. 1 of article 78 of law 4790/2021, with the title: “Urgent regulations for the protection of public health from the ongoing consequences of the COVID-19 pandemic, development, social protection and the reopening of the courts and other issues ”(AD 48). More specifically, these are companies that have either suspended their activity, or have been severely affected by the coronavirus pandemic, or were established after 1.1.2020.
For more details in relation to A.1088/19-04-2021 press here
986/15/5.4.2021
Extension of the deadline for payment of annual radio spectrum fees
This decision provides for the extension specifically for the year 2021 of the deadline within which the person liable to pay the annual fees for the use of the Radio Frequency Spectrum can submit a settlement request until May 14, 2021, instead of the current deadline (31/03), while in case of settlement, the remaining amount can be paid until 30 November 2021.
For more details in relation to 986/15/5.4.2021 press here
ΓΔΟΥ 400/2021
Establishment of a more specific procedure for the payment of the advance payment of the landlords' compensation
This decision determines the specific procedure, as well as the details of the advance payment of the landlord compensation for the rent of March 2021, while the amount paid, does not fall into any income category, is not subject to any tax, fee, contribution or other deduction in favor of the State, including the special solidarity contribution of article 43A of law 4172/2013 as the case may be, is unassignable and unseized in the hands of the State or third parties.
For more details in relation to ΓΔΟΥ 400/2021 press here
Α. 1086/12-04-2021
Determining the type and content of the electronic application for the VAT Refund. to individuals through the myAADElive service APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
This decision determines the type and content of the electronic application for the VAT Refund. to individuals through the myAADElive service. In addition, for the submission of the application to the Tax Office for VAT refund to natural persons, the form M1 "DECLARATION OF TAX RETURN / CHANGE OF INDIVIDUAL DATA" is still valid according to the A.Y.O. 1027319/677 / 006Β / 03.03.1998, (Β’194).
For more details in relation to Α. 1086/12-04-2021 press here
A.1091/19-04-2021
Extension of the deadline for suspension of collection of certified debts
This decision provides for the extension of the deadline for suspension of collection of certified debts of par. 1 of the decision of the Deputy Minister of Finance under Decision A.1200 / 28.8.2020 (B '3612) until 31/12/2021, while this deadline initially expired on 30/4/2021. In addition, interest and surcharges for the period of suspension are not calculated at the time of payment.
For more details in relation to A.1091/19-04-2021 press here
For further information: [email protected] APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
4. DATA PROTECTION
INTRODUCTION
The Hellenic Data Protection Authority (the “HDPA”) following the example of the European Data Protection Supervisory Board and of supervisory authorities of other European countries1, issued recently guidelines in connection with the processing of personal data in the context of the coronavirus (COVID-19) outbreak (the “Guidelines”).
The HDPA clarifies that the right to protection of personal data is not absolute, but it must be weighed against other fundamental rights; it also stressed that the application of the legal framework for the protection of personal data does not hinder the implementation of the measures, necessary in the fight against coronavirus. According to the HDPA, the applicable legal framework [ie. the General Data Protection Regulation (“GDPR”) and Law 4624/2019 (the "Law")] provides the legal grounds for the processing, which is necessary in that respect.
Thus, implementing measures, and the subsequent processing of personal data, is possible, on the condition that the basic principles and other substantive and procedural guarantees and conditions laid down in the applicable legal framework for the protection of personal data are observed.
In a nutshell, the key takeaways form the Guidelines have as follows:
- The legal framework on the protection of personal data does not automatically prohibit the implementation of measures, which are necessary in the fight against coronavirus;
- Implementing measures and the inevitable processing of personal data in the fight against coronavirus is possible, on the condition that the fundamental principles and the technical and substantive safeguards laid down by the applicable legal framework on the protection of personal data are observed;
- In turn, employers, on the condition that the requirements listed above are met, in the context of their obligations to ensure health and safety in the workplace and with a view to implementing the necessary measures against coronavirus, may process personal data of their employees,;
- The collection and processing of personal data must be limited to such data, which are necessary and relevant for the purpose pursued;
- An oral communication by the data subject on their health condition, which is not accompanied by recording and/or processing the relevant information by manual or automated means does not, in principle, fall within the scope of the data protection legal framework;
1 Guidelines in that respect have been issued by the competent supervisory authorities in Belgium (Autorité de protection des données (APD)) ; France (CNIL); Germany (Datenschutzkonferenz (DSK), Datenschutzaufsichtsbehörde Baden-Würtenbergs), Ireland (Data Protection Commission) as well as in other member states of the EU. Guidelines have also been issued by the competent authority in the UK (Information Commission Officer). APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
- A systematic, continuous, and general collection of personal data, which leads to creating and constantly updating the employees’ health profile appears to be problematic.
On the basis of the Guidelines please find below answers to a number of frequently asked questions as well as a short analysis of the Guidelines.
FREQUENTLY ASKED QUESTIONS (FAQ)
1. Can the employer require their employees and visitors to fill in questionnaires requesting information on their health condition or on the health condition of their family members, such as symptoms of fever etc., as well as recent travel history concerning countries affected by coronavirus?
Employers have a statutory obligation to ensure the employees’ health and to safeguard a healthy work environment. In light of the extraordinary circumstances, employers may, in principle require such information by their employees and visitors.
The filling in and keeping of such forms entails processing of personal data. To the extent that such information concerns the data subjects’ health condition, the relevant information is classified as special category of personal data.
According to the Guidelines, in view of the extraordinary circumstances, the employer may, in principle, proceed to such processing. However, any such collection and processing of personal data should be carried out in compliance with the principles and the requirements laid down in the GDPR and the Law, including the accountability principle.
For instance, employers should make sure that the information collected is absolutely necessary in relation to the purposes, for which it is collected, and that such information is kept for the term which is absolutely necessary, again in relation to the processing purposes. In addition, the employers should implement appropriate technical and organizational measures to ensure that processing is secure, such as access levels. Last, the data subjects should be properly informed on the processing of their personal data, and a privacy impact assessment may also be required.
In any case, employers should avoid using the information collected, for the creation and constant update of a health profile for their employees.
2. Can the employer measure the temperature of the employees and visitors entering their premises?
According to the Guidelines preventive mandatory temperature measurement is a rather intrusive measure. This, does, not mean that employers are precluded from implementing such measures.
Thus, where the employees do not have any other less intrusive means to ensure compliance with their statutory obligations in connection with occupational health, they may proceed to such measures, on the condition that the other requirements listed above are also observed.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
3. Assuming that the relevant information is not kept or otherwise processed manually or by automated means, do the data protection law constraints still apply?
Where the relevant information is neither recorded nor kept, either manually or by automated means, in principle there is no processing of personal data; thus, the constraints laid down by the relevant legislation do not apply.
4. Can the employers disclose to their employees that a particular individual – employee has been affected by coronavirus or has symptoms, suspected for coronavirus? Can the employers inform the competent authorities of coronavirus incidents or suspected coronavirus incidents?
According to the Guidelines, disclosing to other employees that a particular individual has been affected of or has suspect symptoms is not permitted.
Employers could inform their employees that there has been a coronavirus incident or suspect incident, but in a general manner, which does not anyhow identify, directly or indirectly, the data subject concerned.
However, the employer, when lawfully requested by the competent authorities, may furnish to them information on incidents or suspected incidents of coronavirus within their organizations.
COMMENTARY ON THE GUIDELINES
The HDPA, at the outset, defines the scope of the legal framework for the protection of personal data in the context of measures to fight coronavirus, highlighting that the prerequisites for the application of data protection laws are that, (a) the relevant information is personal data and (b) that there is an act of processing on those personal data.
In that respect it is clarified that “information on the health condition of a natural person is personal data concerning health, i.e. a special category of personal data, the processing of which is subject to a more stringent protection regime. Such information include, inter alia, the status of the identified or identifiable data subject as ill or not, his home stay due to illness, the detection of evidence of illness, possibly through his clinical appearance (cough, runny nose, temperature above normal, etc.)”.
Other information concerning for instance “whether a data subject has recently traveled to a foreign country with a wide spread of coronavirus, or whether members of their family or business partners are sick or infected by the coronavirus, does not concern the health of the aforementioned data subject and, therefore it not classified as a special category of personal data, but under certain circumstance, it may deemed to be simple personal data”. Prerequisite in that respect is that such information concerns an identified or identifiable natural person.
Furthermore, it is clarified, that where the aforementioned information is provided orally, without being manually recorded in a file or subjected to processing by automated means, there is no action of processing and therefore the legislation on the protection of personal data does not apply.
As regards the private sector, and in particular processing in the context of an employment relationship, HDPA clarifies the following:
In light of the employer's statutory obligation to ensure the health and safety of his employees and the obligation of the employees to apply the health and safety rules, employers may process the personal data of employees for the APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 protection of health and safety2, in accordance with the legal grounds of Articles 6 par. (1), namely, alt. (c), (d) and (e), 9 par. (2), namely, alt. (b), (e) and (i) GDPR3.
However, this is without prejudice to the principles of Article 5 GDPR, such as the principle of purpose reduction, data minimization and storage time limitation, the principle of accountability should always be observed.
In any case, employers and generally speaking controllers, should ensure that only such data, which are necessary and relevant for the purpose pursued are collected and processed, as well as that the necessary technical and organizational security measures are applied.
In addition, it should be ensured that data subjects are properly informed on the intended processing, in accordance with Articles 12 ff. GDPR.
As regards the application of more intrusive measures which entail restriction of individual rights, such as: the temperature measurement at the entrance of the premises, HDPA notes, that it can take place, if the legal conditions are met and where any other less intrusive means are not available. HDPA notes, however, that “a systematic, continuous and generalized collection of personal data leading to the creation and continuous updating of employee health profiles could hardly be described as in line with the principle of proportionality”.
According to the Guidelines, disclosure of personal data to third parties, even where it complies with Articles 5, 6 and 9 of GDPR, is prohibited insofar as it may create a climate of prejudice and stigmatization, while, at the same time, it could also have a chilling effect as regards compliance with the measures announced by the competent authorities. In our view, however, this is not to be understood as precluding data controllers from providing information to the competent authorities in response to a lawful request by the authorities or in compliance with any other statutory obligation of the controller.
The Guidelines do not make any reference to protection of telecommunication data, including geolocation data. Likewise, no reference is made to issues concerning the handling of subjects' requests and possible failure by the controllers to comply with the time limits set by GDPR, due to the exceptional circumstances.
However, HDPA reserved itself to revert with more specific guidance, where necessary in the light of eventual factual or legal developments.
2 See indicative Articles 42, 45 and 49 of Law 3850/2010.
3 The legal bases referred to in Article 6 are as follows: processing which is necessary for the compliance with the legal obligation of the controller (Article 6 par. 1 ed. c΄), for the safekeeping of the data subject or other natural person's vital interest (Article 6 par. 1 ed. d΄), for the performance of a duty performed in the public interest or in the exercise of public authority assigned to the controller (Article 6 par. 1 ed. e΄). With regard to the specific categories of data (health data), the legal bases referred to in Article 9 are as follows: processing is necessary to carry out the obligations and to exercise specific rights of the controller or data subject in the field of labor law, social security and social protection law (Article 9 par. 2 ed. b΄); the processing concerns personal data which has been publicly disclosed by the data subject (Article 9 par. 2 ed. e΄); and processing is necessary for reasons of public interest in the field of public health, such as protection against serious cross-border health threats or ensuring high standards of quality and safety in healthcare and medicines or medical products and devices, under Union law, or under the law of a Member State, which provides for appropriate and specific measures to protect the subject's data rights and freedoms, in particular professional secrecy (Article 9 par. 2 ed. i΄). APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Guidelines by the Hellenic Data Protection Authority for the implementation of security measures in the context of teleworking.Due to the circumstances and the preventive measures for the spread of coronavirus, a significant number of organizations have implemented teleworking schemes. In light of this development, the HDPA issued Guidelines for the implementation of security measures in the context of teleworking.
According to the Guidelines, each organization, which has in place a teleworking scheme, must implement teleworking procedures. Such procedures need to take into consideration the nature and the gravity of the relevant privacy concerns. In addition, each organization must adequately inform, train and assist their employees for the proper implementation of such procedures and take into account that a significant number of users are not acquainted with the technologies, which support teleworking and with the risks in involved. Where a DPO has been appointed, the latter should also be involved.
The HDPA suggests that the procedures, implemented by the data controllers must include among other measures for secure access/connection to the network, the use of email exchange applications, the use of terminal equipment and storage devices, as well as the use of teleconference platforms.
Last, the HDPA highlights that the obligations of the employers for the protection of their employees personal data are of increased importance, in the context of teleworking. This is mainly because, the employee, while at home, has a higher expectation of privacy.
The Guidelines for the implementation of security measures in the context of teleworking are available in the website of the HDPA.
It is also noted that the European Union Agency for Cybersecurity (ENISA) has also published advice for cybersecurity when working from home. ENISA’s advice is available in ENISA’s website.
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
5. CORPORATE LAW ISSUES
Article 23 par. 2/Law 4712/2020
Amendment of article 90 of law 4548/2018: Place of meeting of the board of directors The invitation to the members of the board of directors may provide that the meeting of the board of directors will be held by teleconference with respect to some or all members. The Board of Directors may meet in the same way, if all its members agree. In this case, the invitation to the members of the board of directors includes the necessary information and technical instructions for their participation in the meeting.
Article 23 par. 3/Law 4712/2020
Amendment of article 90 of law 4548/2018: Place of meeting of the board of directors Any member of the board of directors may request that he/she participates through a teleconference , if he/she resides in a country other than the one where the meeting takes place or for good cause, in particular illness, disability or epidemic.
Article 23 par. 4/Law 4712/2020
Amendment of article 120 of Law 4548/2018; Venue of the General Assembly
If it is provided for in the articles of association or if there is good cause, the board of directors may decide that the general assembly will not convene at a certain place, but will be held entirely with the participation of shareholders remotely with the electronic means provided in Article 125 law. 4548/2018. The general assembly may be held according to the above, if all the shareholders agree.
Article 23 par. 5/Law 4712/2020
Amendment of article 120 of Law 4548/2018; Remote real time participation to the General Assembly
The invitation of the general assembly may provide for the possibility of participating in the general assembly remotely by audiovisual or other electronic means, without the physical presence of the shareholder at the venue. The general assembly may be held in the same way, if all the shareholders agree and the Company takes adequate measures to identify and monitor the participants.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 23 par. 6/Law 4712/2020
Amendment of article 120 of Law 4548/2018; Remote real time participation to the General Assembly
In any case, each shareholder may request to participate in the General Assembly through a teleconference, , if he resides in a country other than the one where the meeting takes place or for good cause, in particular illness, disability or epidemic.
Law 4722/2020 article 61 par. 3
Extension of deadlines for General Meetings of commercial companies
For the year 2020 the deadline for holding the General Assembly of par 1 of article 119 of Law 4548/2018 (A '104), article 69 of law 4072/2012 (A' 86) and article 10 of law. 3190/1955 (A '91) is extended for fifty (50) calendar days. Deadlines related to the submission of practical meetings of shareholders or partners and approved financial statements to the G.E.M.I. extended accordingly.
Law 4722/2020 article 70
Use of new technologies for the meeting of the boards of directors of associations and other legal entities under private law
Any association or other legal entity under private law by invitation to the members of the Board of Directors may provide that the meeting of the Board of Directors will be held by teleconference. In this case, the invitation to the members of the Board of Directors includes the necessary information and technical instructions for their participation in the meeting. This is valid until December 31, 2020
Law 4753/2020 Article 27
Possibility of teleconference
The force of par. 2 of Article 33 of the Legislative Content Act of 20.03.2020, which was ratified by article 1 of Law 4683/2020 (A’ 83), regarding the possibility of holding the General Meeting of shareholders or partners of any legal entity by teleconference, the content of the relevant invitation, as well as the ability of making resolutions of the boards of directors of private legal entities by teleconference, is extended from its expiration date until 28.2.2021.
Law 4790/2021 Article 89 par. 1
Use of new technologies for convening and holding meetings and elections of the collective bodies of legal persons
Provided there is still an immediate risk to public health from the spread of COVID-19 and for a period not exceeding 30.6.2021, the meeting of a collective body of any legal person governed by private law or any legal entity, especially Board of Directors meetings or shareholders’ General Assembly, may take place by teleconference with respect to some or all of their members. In this case the invitation to the members includes the necessary information and technical instructions for their participation in the meeting. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Law 4790/2021 article 89 par. 2
Use of new technologies for convening and holding meetings and elections of the collective bodies of legal persons
Provided there is still an immediate risk to public health from the spread of COVID-19 and for a period not exceeding 30.6.2021, the decision-making of the Boards of Directors and the General Assemblies of legal entities governed by private law may take place by teleconference for all or for some of their members, by any suitable means of telecommunication, as well as by circulation. In all the above cases, the signatures of the members of the collective body may be replaced by the exchange of messages via e-mail or other electronic means.
For further information: [email protected] and [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
6. EMPLOYMENT AND SOCIAL SECURITY PROVISIONS
TABLE OF CONTENTS
SUMMARY OF POSSIBLE SOLUTIONS
Businesses whose operation has been prohibited Businesses which are affected Businesses which operate
DETAILED LISTING OF EXTRAORDINARY PROVISIONS OF EMPLOYMENT AND SOCIAL SECURITY LAW AGAINST THE SPREAD OF COVID-19
Regarding the Legislative Act of the 11th of March 2020 Regarding the Legislative Act of the 14th of March 2020 Regarding the Legislative Act of the 20th of March 2020 Regarding the Legislative Act of the 30th of March 2020 Regarding the Legislative Act of the 1st of May 2020 Regarding the Legislative Act of the 10th of August 2020 Regarding the Greek Law 4690/2020 Regarding the Greek Law 4722/2020 Regarding the Greek Law 4727/2020 Regarding the Greek Law 4738/2020 Regarding the Greek Law 4756/2020 Regarding the Greek Law 4764/2020 Regarding the Greek Law 4790/2021
INTRODUCTION - SUMMARY OF POSSIBLE SOLUTIONS
1. A few thoughts for everyone:
The conditions prevailing the last year are unprecedented both nationally and globally. They have reasonably led to the issuing legislation of equally unprecedented size and scope, with a clear and often explicitly stated objective of protecting public health and rescuing employment positions (which, of course, requires the rescuing of businesses). The following must be read in light of the above.
As it is well known, the meaning of right abuse of Article 281 of the Greek Civil Code is widely applied in our labour law. You must have all heard about strikes or dismissals that have been judged to be abusive. The same thing may occur with the exercise of every right of the employer. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
This applies in particular to all rights exercised “in the context of exceptional and temporary measures in the labour market in order to counter and limit the spread of coronavirus”, such as the right of the employer to unilaterally impose a teleworking or a security staff system with a reduction in working time and a corresponding reduction in remuneration, or to suspend the employees’ employment agreements, etc. It also applies to all preceding employment legislation regarding the employers’ options in the event of a breakdown in their activity and their profit, such as e.g. the unilateral entry into a rotating employment system, the unilateral suspension, the agreement to obtain some form of leave of absence.
Consequently, if you take any of the following steps, you should do so with the required caution and with sole purpose to protect public health and to rescue the business and the employment positions.
For your convenience, kindly find below the options available to you, depending on whether the operation of your business has been prohibited upon order of a Public Authority (point 2), whether it belongs to the sectors affected (point 3) or whether your business operates(point 4):
2. Businesses whose operation has been prohibited a. Impossibility / prohibition of provision of work: suspension of employment agreements of April i. Compensation of 534.00 Euros for April 2021 b. Employees who provide (or are able to) work (even remotely) i. If they provide work: 1. Strict compliance with the hygiene and safety rules: q.v. Ministry of Labour and Social affairs and Hellenic Institute for Occupational Health and Safety Guidelines, Measures for the Protection of Public Health through prevention against the spread of coronavirus COVID-19 in the workplace and Measures for the protection of health and safety of the employees in workplaces and the prevention of the SARS-COV-2 spread during the lifting of the restrictive measures. At a corporate level -> avoiding overcrowding, organizing meetings with the use of Information Technology, avoiding of travelling / seminars, provision of antiseptic solutions and masks, adequate ventilation and thorough cleaning of workplaces (q.v. Urgent measures regarding the protection of public health from COVID-19 spread throughout the country from April 26th 2020 until May 3rd 2021)
At an individual level -> obligatory use of mask, frequent hand-washing or use of antiseptic solutions with alcohol, avoiding contact with eyes, nose, mouth, covering of the nose and mouth with a tissue when coughing or sneezing, avoiding sharing personal items, avoiding close contact (<2m) with colleagues.] and handshakes.
2. Self – test obligation before attending the workplace 3. Teleworking until 30/4/2021 4. Option for joining the employees' support mechanism "SYN-ERGASIA" until 30/6/2021 5. They are entitled to: a. Regular payroll b. Leave of absence of special purpose c. Replacement of working hours in case of absence due to COVID -19 (q.v art. 15 of law 4722/2020) d. Parental leave due to illness of children from COVID -19 (q.v art. 16 of law 4722/2020) APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
6. If they agree: a. Regular annual (paid) leave b. Amendment/reducing of working hours 7. Without requiring the employees’ agreement (in compliance with the legal prerequisites and combined or not with the aforementioned) 1. Transfer of personnel to companies within the same group (q.v. Article 10, Legislative Act of the 20th/03/2020 and Ministerial Decision no. 13564/Δ1.4770/30.3.2020)
Other options, alternatives of the above or in combination with the above, are the following. However, we do not suggest such options since they are practically difficult to implement (due to their legal requirements) and involve an increased risk to be claimed as an abuse of the employer’s rights in a possible litigation:
2. Rotation employment: Employment for fewer days per week or fewer weeks per month or fewer months per year or a combination of these, with a full-time working schedule. It can be imposed unilaterally by the employer on all or part of the staff, for a maximum of 9 months / year. The legal prerequisites of rotation employment are: Restriction of employer's financial activity, information and consultation with the employees’ representatives, notification of the agreement / decision to the Labour Inspection within 8 days (Article 38 of Greek Law 1892/1990).
3. Lay off: The employee does not provide work and receives ½ of the average of the last two months' remuneration under full-time employment. Lay off can be unilaterally imposed by the employer on all or part of the staff, for a maximum of 3 months / year. The legal prerequisites of lay off are: Restriction of employer's financial activity and information and consultation with the employees’ representatives (Article 10 of Greek Law 3198/1995)
ii. If they do not provide work for a reason not concerning the employer or the Public Authorities: 1. Illness: ordinary provisions and procedure 2. Inability to provide work without the employee’s fault: (e.g. quarantine due to contact with an infected person but without being ill): paid justified absence for up to 1 month (Articles 657 and 658 of the Greek Civil Code) 3. Unjustified absence: ordinary provisions and procedure
c. Other provisions regarding employers and employees iii. Social security provisions iv. Tax provisions (q.v. under 03. Tax Measures)
3. Businesses which are significantly affected
a. Option of temporary suspension of employment agreements b. Other options (q.v. 2.b. above) APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
c. Other provisions: (q.v. 2.c. above)
4. Businesses which operate:
a. As 2.b.i. above except for 6.1. (Transfer of personnel to companies within the same group)
DETAILED LISTING OF EXTRAORDINARY PROVISIONS OF EMPLOYMENT AND SOCIAL SECURITY LAW AGAINST THE SPREAD OF COVID-19
Regarding the Legislative Act of the 11th of March 2020 the following provisions require special attention:
Prolongation of deadline for the payment of social security contributions (Article 3)
1. Upon Joint Ministerial Decision of the Ministers of Finance and Labour and Social Affairs, the deadline for the payment of social security contributions may be extended, as well as the time limits for the payment of installments for debt settlement or partial payment installments for the social security contributions by businesses for their employees paid with salary or daily wage, with an employment agreement of indefinite or definite duration, with full- time or part-time or rotating employment. The extension of the deadline for the payment of social security contributions and the installments for debt settlement or partial payment installments for the social security contributions shall not be subject to any interest or surcharge.
2. The Joint Ministerial Decision referred to in paragraph 1 shall specify the affected businesses by sector and by region, the financial criteria for the eligibility of businesses and generally of the employers, the deadline for the payment of social security contributions and of the installments for debt settlement or partial payment installments for the social security contributions, the period of validity and any other necessary detail for the application of this Act.
Relevant Decisions: Greek Government Gazette Issue B’ 855/2020, 1044/2020, 1384/2020, 1775/2020, 2029/2020, 2076/2020 2096/2020, 2278/2020, 2332/2020 854/2020, 949/2020, 950/2020, 2599/2020, 5298/2020, 4/2021, 819/2021, 1256/2021
Relevant Legislation: Greek Law 4756/2020 ar. 32 (Greek Government Gazette Α΄235/2020),
Relevant Circulars: Φ80020/14013/Δ16.407, Social Security Fund no. 892/27.5.2020, Social Security Fund no. 2023/Σ628/5.1.2021, Social security Fund Circular No 110410/30-3-2021, Social Security Fund Circular No 24/19-04- 2021
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Extraordinary and temporary measures in the labour market in order to counter and limit the spread of coronavirus COVID-19 in terms of the organization of working time and place of work (Article 4)
From the entry into force of this Act until 10.4.2020, so that the parties can adapt to the special circumstances arising solely in order to counter and limit the spread of coronavirus COVID-19, the following extraordinary and temporary measures shall be adopted:
1. a) The obligation of the employer to register in the “ERGANI” Digital System of the Ministry of Labour and Social Affairs any amendment or modification of the working time or of the organization of working time of employees, as well as overwork and legal, in accordance with the legislation in force, overtime working is suspended. In any case, the provisions of the Presidential Decree 88/1999 (Issue A’ 94 of the Greek Government Gazette) shall continue to apply. Upon Joint Ministerial Decisions of the Ministers of Finance, Labour and Social Affairs and Health the time of implementation of the above extraordinary and temporary measure may be extended, taking into consideration the evolution of the phenomenon.
b) For as long as the aforementioned measure is in force, the employer is obliged to notify to the “ERGANI” Digital System of the Ministry of Labour and Social Affairs, collectively, any amendments or modifications to the working hours or to the organization of working hours of the employees, as well as overwork and legal, in accordance with the legislation in force, overtime working, which took place within the preceding month in the first ten days of the following month from the provision of work. A Ministerial Decision of the Minister of Labour and Social Affairs shall determine each condition and detail for the implementation of this paragraph.
Relevant Ministerial Decision (Issue B’ 854/2020 of the Greek Government Gazette)
2. The employer may determine upon his/her decision that the work provided by the employee at the place of work provided for in his/her individual employment agreement shall be carried out with the system of remote work (teleworking) Upon Joint Ministerial Decision of the Ministers of Finance, Labour and Social Affairs and Health, the period of application of the above extraordinary and temporary measure may be extended. A Ministerial Decision of the Minister of Labour and Social Affairs shall determine each condition and detail for the implementation of this paragraph.
Relevant Ministerial Decision: Greek Government Gazette Issue B’ 1290/2020, 2684/2020, 3148/2020, 3945/2020 4011/2020, 4750/2020, 5586/2020, 289/2021, 456/2021, 756/2021, 926/2021,
Relevant: MinEmpl. 12339/404, article 8 of the Legislative Act of 22.8.2020, Circular Min. Empl. n. 10221/239/04.03.2021
3. a) Working parents, other than the aforementioned alternatives, may make use of the special purpose leave of absence as defined herein below. For the implementation of this Act the following shall be considered as working parents of children:
i. who attend nursery and kindergarten schools ii. who attend mandatory education institutions iii. who attend special schools or institutions for special education and training, irrespective of the childrens’ age as well as working parents of children with disabilities, who irrespective of their age, attend special care facilities for people with disabilities In order to facilitate the working parents, in view of the suspension of the operation of the aforementioned educational institutions, the right to obtain a special purpose leave for as long as the above educational institution shall be closed is established, as a preventive measure to counter and limit the spread of coronavirus. The leave will be of at least three (3) days duration, provided that the employee uses one (1) day of his/her regular annual leave for APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 every three (3) days of the special purpose leave, in the framework of the a tripartite participation in the this extraordinary and temporary measure.
The aforementioned leave may be taken from the entry into force of this Act until the 10th.04.2020, provided that at least one parent is employed in the private sector as a salaried employee, even if the other parent is a freelance professional. b) In case that both parents are salaried employees, at the same or different employer, they shall notify their employer or employers upon common solemn declaration, regarding which one of them will make use of the aforementioned leave or, in case they divide the leave days, the particular periods of leave for each one of them. c) In case that one parent is an employee in the private sector and the other in the public sector, in the sense of Article 5, the submission to the employer of a solemn declaration of the working parent at the public sector stating that he/she has not taken special purpose leave is required so that the employee in the private sector takes that leave. d) In case that only one of the two parents are employed, he / she may not use the special purpose leave unless the non-working parent is hospitalized for any reason or is infected by coronavirus or is a person with a disability and receives a benefit from the Welfare and Social Solidarity Organization (OPECA). e) In the case of divorced or separated parents, the special purpose leave shall be granted to the parent who has custody of the child, unless it is otherwise agreed, in accordance with their common solemn declaration as set forth above. f) The employer shall declare to the “ERGANI” Digital System of the Ministry of Labour and Social Affairs, the employees who took the aforementioned leave, as well as its duration, after the 10th.4.2020. A Ministerial Decision of the Minister of Labour and Social Affairs shall determine each condition and detail for the implementation of this subparagraph. g) In any case, in order for an employee to be entitled to the special purpose leave, he/she must meet the legal prerequisites for taking a six (6) or a five (5) - day regular annual leave for a six-day and a five-day employment program respectively. In case that the above prerequisite is not met, the employee is entitled to the special-purpose leave in proportion to the days of regular annual leave he/she is entitled to. h) Two thirds (2/3) of the remuneration for the special purpose leave are covered by the employer, and one third (1/3) by the state budget, after cross-checking with the Ministry of Finance, Labour and Social Affairs and Internal Affairs, as defined in a Joint Ministerial Decision of the relevant Ministers. In particular for employees in the general public sector and employees in businesses of Chapter A’ of Greek Law 3429/2005 (Issue A’ 314 of the Greek Government Gazette), the three days of the special-purpose leave are covered by the employer. i) Upon Joint Ministerial Decision of the Ministers of Finance, Labour and Social Affairs and Health the time of implementation of the above extraordinary and temporary measure may be extended, taking into consideration the evolution of the phenomenon.
Relevant Joint ministerial decisions: Greek Government Gazette Issue B’ 1208/2020, 1566/2020, 1778/2020, 2083/2020, 5287/2020, 955/2021
Relevant Circulars: MinEmpl. 12339/404, Min.Empl. No. 20477/604, Min.Emp. No. 26696/791/1.7.2020, Circular No 39683/1259/1.10.2020, Min. Empl. No. 46621/1415/12-11-2020, Min. Empl. Circular no. 52713/1576, Min. Empl. Circular n. 6978/174/15.2.2021 APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Special purpose leave for public servants and further facilitations (Article 5)
1. Employees, who are employed at public services, decentralized administrations, ΟΤΑ Α΄ and Β΄ class and their legal entities, public law legal entities and private law legal entities within the General Government with any kind of employment relationship and who have children attending kindergartens and school units, the operation of which is temporarily suspended, following ministerial decrees that are issued by delegation of the provisions of the Legislative Decree dated 25.2.2020 (Issue Α΄ 42 of the Greek Government Gazette) “Extraordinary measures for the prevention and limitation of coronavirus expansion”, and in particular children that attend up to the third class of Greek Gymnasium, may be absent from their service for the suspension time of the operation of the educational units which their children attend.
For every four (4) days of absence, in accordance with the preceding subparagraph, the three (3) days shall be considered by the competent service as a paid justified absence due to the temporary suspension of the operation of the kindergarten or the school unit that the child of the employee attends and the one (1) day of absence is considered as a regular annual leave. In case that the employee uses a shorter period of time, this is considered in total as a regular annual leave.
2. In order to justify the absence, in accordance with paragraph 1, employees shall promptly inform the relevant Human Resources Directorate for the temporary suspension of the operation of the kindergarten or the school unit that their child attends and submit a solemn declaration or certificate from which it is indicated that their child attends the specific unit, unless this is already apparent from the service records. In the event of inability to provide promptly the above supporting documents, the employees shall inform the competent Human Resources Directorate and submit, within reasonable time, the required supporting documents. The competent Personnel Directorate shall cross- examine the suspension of the operation of the unit, based on a relevant publication on the website of the Ministry of Education and Religious Affairs. The above are not required in the event of a universal suspension of the operation of the kindergartens and school units.
3. The special purpose leave of par. 1 is granted, on a case-by-case basis, as follows: a) if both parents are employees of par. 1, by a joint solemn declaration that is submitted at their services, it is determined which one of them will make use of the special purpose leave, unless they point out, by the solemn declaration itself, the periods when they will make use of the special purpose leave alternately. The period of use of the leave cannot be shorter than four (4) days per parent. b) If one of the two parents is employed in the private sector, in order to obtain the special purpose leave referred to in paragraph 1, the submission of a solemn declaration of the parent who is employed in the private sector which will state that he/she has not used a special purpose leave or that he/she is not working remotely as referred to in Article 4. c) If the spouse of the employee of paragraph 1 who is employed by entities of paragraph 1 and is absent from working using any kind of leave, in particular childcare leave and service training leave, at the same time, with the exception of convalescence leave due to which childcare is not possible, the spouse is not entitled to use the special purpose leave of par. 1. If the spouse of the employee of paragraph 1 is not working, the spouse is not entitled to use the special purpose leave of paragraph 1, unless the parent who is not working is hospitalized for any reason or is infected coronavirus or is a person with a disability and receives a benefit from the Welfare and Social Solidarity Organization (OPECA). In this case the submission of the relevant solemn declaration is required. d) The parent who has the exclusive custody of the child, is entitled to the special purpose leave of par. 1. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
4. Instead of using the special purpose leave referred to in paragraph 1, the employees referred to in paragraph 1 may, upon their request, work part-time, up to 25% per day, without commensurate reductions in their salaries. Where the facilitation referred to in the previous segment is used, the employee shall, after the waiver of the temporary suspension of the operation of kindergartens or school units, work for the respective hours that have been reduced from his/her working hours, in accordance with segment 1, beyond his/her working hours without remuneration for overtime, and so this time is calculated as actual service. Where the fixed-term employment agreement under private law is terminated, the obligation to overtime working does not apply. In case that the employee makes use of the facilitation for the part-time working hours, he/she may also work beyond the statutory working hours of the public services.
If one of the two parents is employed in the private sector and makes use of the work facilitation, in accordance with Article 4, the employee that is employed in the public sector and selects to use the facilitating working hours, may work during the hours that the other parent, who is working in the private sector, does not work, even during hours beyond the statutory working hours for the public services.
5. For the implementation of the provisions of par. 1 to 4, for the employees that are employed, by any kind of employment relationship, at the Ministry of Health, health care providers, the Ministry of Migrations and Asylum and its services, as well as for the uniformed officers, a justified decision of the competent body of the service is required. The competent bodies shall decide whether the facilitations referred to in paragraphs 1 to 4 may be provided or, where both parents serve in the above services or are uniformed officers, to whom of the two parents the facilitations shall be provided, based on the department where they serve and their duties.
6. In case of an emergency due to the spread of coranavirus COVID-19, the number of staff required to attend the public service daily may be determined at the discretion of the Minister, with the possibility of rotating work or with the designation of security staff. In this case, the necessary measures shall be taken to ensure, depending on the nature of the object of the public service, the possibility of working remotely by electronic means.
7. By way of derogation from the provisions in force and exclusively within the context of preventive measures in order to protect public health against coronavirus, the hours of public access to public services may be reduced or extended upon Ministerial Decision of the competent Minister or of the competent management body of the public service. The public hours may be reduced or extended up to and by 50% for a specific period of time specified in that Ministerial Decision and even a complete suspension of provision of services to the public with a personal presence of the public may be decided, with the possibility of provision of services with a private meeting upon prior arrangement. The Decisions adopted hereunder are not published in the Greek Government Gazette, but are published in the “TRANSPARENCY” Program and must be notified to the General Secretariat for Human Resources of the Ministry of the Internal Affairs and to the Minister concerned.
8. The favorable provisions of par. 4, as well as exceptionally those of par. 1 if they are approved based on the operational needs by the competent body they are provided under the same conditions in the context of urgent measures also to the parents whose children of age up to four (4) years do not attend day care.
Relevant Decisions: Issue B’ of Greek Government Gazette 856/2020 863/2020, 865/2020, 870/2020, 909/2020, 913/2020, 914/2020, 926/2020, 929/2020, 936/2020, 939/2020,
Relevant Circulars: MinInt. 7874/2020, MinInt. 8000/2020, MinInt. 8189/2020 MinEmpl. 12339/404
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Regarding the Legislative Act of the 14th of March 2020 the following provisions require special attention:
Implementation of the leave of special purpose in private health service providers (Article 11)
Article 5 of the Legislative Act of the 11th.3.2020 “Urgent measures in order to deal with the negative effects of the occurrence of coronavirus COVID-19 and the need to restrain its spread» applies also to the medical and nursing staff as well as to all employees of private health service providers, such as hospitals, clinics, healing facilities, primary health care units. Article 5 also applies mutatis mutandis regarding the issue of reasoned decision by the responsible member of administration or legal representation of the private health service provider with regard to the provision of facilities mentioned in par. 1 to 4 of the same Article.
Employee support mechanism (Article 13)
1. A special support mechanism is established for employees with a contractual employment relationship in businesses-employers, the operation of which has been temporarily prohibited due to the urgent measures in order to deal with coronavirus COVID-19, including measures of financial support, compensation of special purpose, social security coverage, exceptional monetary subsidies and training vouchers.
2. Businesses-employers to which the temporary prohibition of operation has been imposed or will be imposed, upon public authority mandate, are obliged to submit a solemn declaration at the “ERGANI” Digital System of the Ministry of Labour and Social Affairs, in which they declare that the operation of their enterprise has been temporarily prohibited. The necessary information of the employees is automatically drawn from the D.S. ERGANI.
3. The employees who are employed based on a contractual employment relationship in businesses-employers of par. 1, submit individually a solemn declaration in a digital platform which exists for this purpose in the webpage of the Ministry of Labour and Social Affairs. The employees declare their personal and bank details (IBAN) as well as the details of the enterprise in which they are employed in order to be included in the employee support mechanism of par. 1.
4. For the implementation of the above, all necessary technical and organizational measures are taken to ensure the protection of personal data in all the processes set out herein.
5. The following categories are excluded from the above special support mechanism: a) the employees who work remotely (teleworking) b) the employees who have taken any type of leave of absence c) the employees who work as security staff d) the employees whose contractual employment relationship is not suspended due to the businesses’ prohibition of operation.
6. The conditions and any necessary detail regarding the implementation of this Article are defined by Ministerial Decision of the Minister of Labour and Social Affairs.
7. The kind, the amount and the implementation procedure of the measures of the special mechanism of par. 1 are defined by a Joint Ministerial Decision of the Minister of Finance and the Minister of Labour and Social Affairs. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Relevant Decisions: Issue Β΄ of the Greek Government Gazette 993/2020, 994/2020, 1217/2020, 1547/2020, 1694/2020, 1695/2020, 1779/2020, 1805/2020, 1841/2020, 1863/2020, 2775/2020, 2685/2020, 3371/2020, 3472/2020, 5246/2020, 5391/2020, 234/2021, 288/2021, 112/2021, 460/2021, 345/2021, 821/2021 822/2021, 823/2021, 926/2021, 955/2021, 1067/2021,
Relevant Circulars: Min.Emp. 19221/379, Min. Empl. 32117/1357/6.8.2020 , Min.Empl. 3541/80/26.1.2021
Special procedure for the granting of the leave of special purpose in the sectors of energy, water and fuel supply, medicines and paramedical items. Exceptional coverage of the leave of special purpose from the regular state budget (Article 14)
1. In order to grant the leave of special purpose of par. 3, Article 4 of the Legislative Act of the 11th.3.2020 to parents who are employed to companies or businesses, which operate in the energy and water supply sector and are obliged to sustain the unobstructed provision of the country’s electrical power, natural gas, liquid fuel and water supply, to businesses-employers that produce, transport and provide food, fuel, medicines and paramedical items for stores/businesses that sell relative items, a justified decision by the competent member of the enterprise administration is needed. The administration’s competent member decides, based on the working position and duties of the employed parents, if the leave of special purpose can be granted to him/her or, in the case that both parents are employed to the above companies or businesses, which one of the parents can be take the leave.
2. In the end of par. 2, Article 4 of the Legislative Act of the 11th.3.2020 a subparagraph is added as follows: “By decision of Minister of Labour and Social Affairs every condition and detail for the implementation of this Legislative Act is defined”.
3. In the end of (h΄) par.3, Article 4 of the Legislative Act of the 11th.3.2020, a subparagraph is added as follows: “Particularly regarding the employees in the wider public sector, as it has been specified by the legislative provisions of Greek Law 1256/1982 (Issue A’65 of the Greek Government Gazette), the three days of the leave of special purpose are financially covered by the employer”.
Exceptional procedure for the businesses/employers which have reached the maximum permitted limit of overtime working of the employees (Article 15)
As long as an immediate risk of occurrence and spread of the coronavirus COVID-19 persists, the absence of which is declared with a decision by the Minister of Health, and in any case for a period of time that does not exceed six (6) months from the entry into force of this Legislative Act, businesses-employers which have reached the maximum permitted limit of overtime working of the employees can employ them overtime without the need of the relevant decision of approval by the Ministry of Labour and Social Affairs the issuing of which demands the opinion of The Supreme Council of Labour (SCE), in accordance with Article 1 Legislative Decree 264/1973 (Issue A’ 342 of the Greek Government Gazette). The above overtime working cannot exceed the daily limits defined in the relevant legislative provisions.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Ability of exceptional and temporary derogation from the operation prohibition during Sundays and public holidays for certain businesses (Article 16)
As long as an immediate risk of occurrence and spread of the coronavirus COVID-19 persists, the absence of which is declared with a decision by the Minister of Health, and in any case for a period of time that does not exceed six (6) months from the entry into force of this Legislative Act, the operation of businesses that produce, transport, and supply food, fuels, medicines, and paramedical items to stores/businesses that sell relative items is permitted by derogation of legislative provisions of the Legislative Decree 748/1966 (Issue A’ 179 of the Greek Government Gazette). In any case, the relevant protective employment legislative provisions have to be respected regarding the working time limits of the employees.
Regarding the Legislative Act of the 20th of March 2020 the following provisions require special attention:
Reduction of professional tenancy rent and main residency rent (article 2)
1. The professional tenancy’s tenant for the installment of a business, for which special and urgent measures have been taken to suspend or temporarily prohibit operation for precautionary or repressive reasons related to coronavirus COVID-19, is exempted from the obligation to pay 40% of the total rent for the months of March and April 2020, by derogation of the existing provisions on tenancies. Stamp duty and VAT on a case-by-case basis are recalculated and imposed on the rent resulting from the above partial payment. The partial non-payment of the rent of the first subparagraph does not give rise to the right to terminate the contract to the detriment of the tenant or any other civil claim. The provisions of the preceding subparagraphs shall also apply in the case of employees who have been granted for rent the use of a thing, movable or immovable property, or both together, intended solely for professional use, under a financial lease, and relating to operations for which special and urgent measures have been taken to suspend or temporarily prohibit operation for precautionary or repressive reasons related to coronavirus COVID-19.
2. Paragraph 1 shall also apply to the tenancy agreements of the main residence, in which the tenant is an employee of a company of the same paragraph, whose employment contract has been temporarily suspended due to the measures to avoid the spread of coronavirus COVID-19. For the preceding subparagraph to be implemented, it is required that the employee was in a working relationship with the company at the time of application of the special and urgent measures of suspension or temporary prohibition of operation for precautionary or repressive reasons related to COVID-19.
RELEVANT LEGISLATION: Greek Law 4683/2020 ar. 26 (expansion of the possibility to the affected businesses based on their Code Activity Number), Greek Law 4778/2021, ar. 31 Greek Government Gazette Issue B’ 2219/2020, 2867/2020, 3048/2020, 4469/2020, 5203/2020, 5577/2020, 538/2021, 1155/2021, 1156/2021
Support for the unemployed (article 7)
1. The duration of the regular unemployment subsidy, the long-term unemployed benefit, the benefit for the unemployment of the self-employed and independently-employed insured in the Single Social Security Fund – former Social Security Organization for the Self-Employed (EFKA-OAEE), Single Social Security Fund for Employees in the Mass Media Sector (ETAP-MME) and the unemployment benefit for the self-employed and independently-employed insured in the Single Social Security Fund – former Single Fund for the Independently Employed (EFKA-ETAA)[former APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Sector of Engineers and Public Contractors Pension Fund (TSMEDE), former sector of Pension and Self-Insurance of Health Workers Fund (TSAY), former sector of Jurists Insurance], for those beneficiaries for whom it has expired or will expire within the first trimester of 2020, it is extended until the 31st of May 2020.
2. The days of subsidy during the period of the extension of par. 1 of the present article are excluded from the restriction of par. 8, article 6, Greek Law 1545/1985 (A’ 91). Otherwise, the provisions of Legislative Decree 2961/1954 (A’ 197) and article 44, Greek Law 4986/2011 (A’ 152) are applied.
3. By Joint Ministerial Decision of the Ministers of Finance and Labour and Social Affairs the duration of the benefits of par. 1 can be further extended.
RELEVANT JOINT MINISTERIAL DECISION: Issue B΄ of the Greek Government Gazette 1468/2020
Support measures for freelance professionals, self-employed and individual business owners (article 8)
1. By Joint Ministerial Decision of the Ministers of Finance, Development and Investments and Labour and Social Affairs the terms, the conditions, and the procedure for the adoption of financial support measures for the freelance professionals and the self-employed, as they are defined in article 2, Greek Law 4387/2016 (Greek Government Gazette Α' 85), as replaced by article 22, Greek Law 4670/2020 (Greek Government Gazette Α' 43), and for the individual business owners.
2. By decision of the Minister of Labour and Social Affairs, measures are provided for regarding the freelance professionals and the self-employed, as they are defined in article 2, Greek Law 4387/2016, as replaced by article 22, Greek Law 4670/2020, and for the individual business owners, regarding suspension of the deadline for the payment of social security contributions, overdue debts to the social security institutions and the installments or facilitations of split payment of social security contributions.
RELEVANT MINISTERIAL DECISIONS: Issue B’ of the Greek Government Gazette 1077/2020, 1457/2020, 1578/2020, 1587/2020, 1629/2020, 1775/2020, 1779/2020, 1812/2020, 2195/2020, 2225/2020, 2250/2020, 2278/2020, 2332/2020, 2371/2020, 2377/2020, 2599/2020, 2775/2020, 3460/2020, 3948/2020, 4752/2020
RELEVANT CIRCULAR: AADE Ε.2052/2020, E.2070/2020, Min.Emp. 19221/379
Businesses operation with personnel of safe operation (article 9)
In the context of urgent and temporary measures in labour market in order to counter and limit the coronavirus COVID- 19 spread, and in any case for a period time not exceeding six (6) months from the entry into force of the present Legislative Act, the employer, upon his own decision, can determine business’s safe operation personnel as follows: a) Each employee can be employed at least two (2) weeks with reference period of a month, continuously or discontinuously. b) The above way of organizing work is performed per week and at least 50% of the business’ staff is included in it. c) Employer who will apply this way of organizing work is obliged to maintain the same number of employees who were employed at the time when it started to be applied.
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CRITICAL LEGISLATION ON COVID-19
At the end of each month the employer is obliged to declare the application of the above way of organizing work in a special form in the Ministry’s of Labour and Social Affairs Digital System “ERGANI”.
Transfer of personnel in businesses within the same group (article 10)
In the context of urgent and temporary measures in labour market in order to counter and limit the coronavirus COVID- 19 spread the employer whose business activity is significantly affected or prohibited by virtue of the existing regulations, can transfer personnel from one business of the group to another business within the same group by a relevant agreement between them.
The group’s businesses which will apply the above are obliged to maintain, in total, the same number of employees who were employed before the transfer.
RELEVANT MINISTERIAL DECISIONS: Issue B’ of the Greek Government Gazette 1161/2020, 1779/2020, 2775/2020
RELEVANT CIRCULAR: Min.Emp. 19221/379
Invalidity of employment contract termination (article 11)
Dismissal prohibition Businesses-employers, whose business activity is suspended upon public authority’s order, and as long as the measures in order to counter the coronavirus COVID-19, are obliged to not reduce personnel by termination of the employment contracts. In case they perform such terminations, they are null and void. The date for the entry into force of the present is the 18th of March 2020
Employment contracts suspension in the businesses that are affected based on the Activity Code Number.
A
a) Business-Employers in the private sector, which are significantly affected due to the negative effects of the coronavirus COVID-19 phenomenon, can suspend the employment contracts of all or part of their personnel, in order to adopt their operational needs to the challenging environment that is being created. The employment contracts suspension can be applied within one (1) month from the publication of this Legislative Act, with the possibility of extension by joint decision of the Ministers of Finance and Labour and Social Affairs, taking under consideration the development of this phenomenon.
b) The businesses-employers in the private sector who use the above provision are explicitly prohibited from terminating the employment contracts of all personnel and in case they perform such termination it is null and void.
c) The businesses-employers in the private sector who use the above provision are obliged after the expiration of the employment contracts suspension period to maintain the same number of jobs for a time period equal to the time period of the suspension.
d) The provision of case a), subpar. 2A applies only to the businesses-employers in the private sector, which have been determined by the Ministry of Finance, based on the Activity Code Number (K.A.D.) of primary activity, as sectors affected by the coronavirus COVID-19 spread. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
B
a) The employees, whose employment contract is suspended, either due to the prohibition of the business operation upon public authority’s order either due to the application of the measure of case a), subpar. 2A, are beneficiaries of the exceptional financial aid, as a compensation of special purpose.
b) Beneficiaries of the exceptional financial aid, as a compensation of special purpose are also the employees whose employment contract has been terminated since the 1st of May 2020 until the 20th of May 2020, either by unilateral termination from the employer or by voluntary leave of their own.
c) The compensation of special purpose is not eligible for seizure, is tax-free and is not to be set-off by any other debt.
d) The Detailed Periodic Statements of the employees whose employment contracts are suspended, are submitted by the employer. The cost of their full insurance coverage is calculated based on their nominal salaries.
e) The cost for the compensation of special purpose and the insurance coverage of employees is covered by the state’s budget.
Compensation of special purpose a) In order for the employees to receive the compensation of special purpose, the employer is obliged to submit a solemn declaration in the Digital System “ERGANI” of the Ministry of Labour and Social Affairs, by which she declares the employees whose employment contracts are suspended either due to the prohibition of the business operation upon public authority’s order, either due to the application of case a) subpar. 2A.
b) Businesses-employers in the private sector are obliged to include in the solemn declaration the employees whose employment contract has been terminated, from the 1st of May 2020 to th2 20th of May 2020, either by unilateral termination or by voluntary leave of the employee.
c) In case that the businesses-employers in the private sector do not submit the solemn declaration of the previous cases, they are excluded from falling under the measures of suspension of debts installments or regulations or facilitation of split payment and any kind of established debts to the State.
d) The businesses-employers are obliged to notify on the same day the employee of the above solemn declaration, in writing or electronically, declaring also their act’s registration number in the Digital System “ERGANI”
IN THIS REGARD: Ministerial decision no. 12997/231/23.3.2020: Application mechanism for the employees support measures in order to counter the effects of the coronavirus COVID-19
Joint ministerial decision no.12998/232/28.3.2020: Support measures for employees of businesses-employers in the private sector who have employer’s registration number (A.M.E.) in the e- Single Social Security Fund (e-E.F.K.A.) whose business operation has been suspended based on the Activity Code Numbers upon public authority’s order or are significantly affected based on the Activity Code Numbers of primary or secondary activity based on the gross revenues of 2018, as defined by the Ministry of Finance, in order to counter the coronavirus COVID-19 effects.
Ministerial decision no.13272/D1.4607/30.03.2020: Amendment of the 40331/D1.13521/13.9.2019 (Greek Government Gazette B΄ 3520/19.9.2019) “Redefinition of the terms of electronic submission of forms under the Greek APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Labour Inspectorate’s (S.E.P.E.) and Manpower Employment Organization’s (O.A.E.D.) competence” decision of the Minister of Labour and Social Affairs, as amended and applicable.
Ministerial decision no.13564/D1.4770/30.3.2020: Amendment of the 40331/D1.13521/13.9.2019 decision of the Minister of Labour and Social Affairs (Greek Government Gazette B΄ 3520/19.9.2019) “Redefinition of the terms of electronic submission of forms under the competence of the Greek Labour Inspectorate and the Manpower Employment Organization”, as amended and applicable.
Circular no.13738/413/31.03.2020: Clarifications on the Joint Ministerial Decision no. 12998/232/23-3-2020 “Support measures for employees of businesses-employers in the private sector who have employer’s registration number (A.M.E.) in the e- Single Social Security Fund whose business operation has been suspended based on the Activity Code Numbers upon public authority’s order or are significantly affected based on the Activity Code Numbers of primary or secondary activity based on the gross revenues of 2018, as defined by the Ministry of Finance, in order to counter the coronavirus COVID-19 effects” (Greek Government Gazette 1078 B’).
Circular no. 13867/416/1.4.2020: Provision of clarifications regarding the right of the employees with fixed-term employment contracts which were terminated prematurely within the time period from 1/3/2020 to 20/3/2020 to receive compensation of special purpose.
Circular no.14012/246/2.4.2020: Clarifications on the Joint Ministerial Decision no. 12998/232/23-3-2020 (Greek Government Gazette 1078 B’) regarding the exclusion from the measure of receiving special purpose compensation of the employees of general government bodies, legal entities governed by public law, legal entities governed by private law etc.
Joint ministerial decision D.15/D’/13226/325/26.03.2020: Determination of the details for the application of article 3, Legislative Act of the 11th.03.2020 (Greek Government Gazette 55/A’) by virtue of which urgent measures in order to counter the negative effects of coronavirus COVID-19 are adopted (prolongation of the deadline for the payment of social security contributions of February and March 2020-Prolongation for the payment of installments arrangement of employers).
Ministerial decision no.D15/D΄/13412/327/27.03.2020:
Determination of the details for the application of article eight, Legislative Act of the 20th.03.2020 (Greek Government Gazette A’ 68) by virtue of which are adopted urgent measures in order to counter the effects of the coronavirus COVID-19 risk of spread, the society and entrepreneurship support and the safeguarding of the smooth functioning of the market and public administration (Prolongation of the deadline for the payment of social security contributions and installments - Arrangement of payments of current social security contributions).
Ministerial decision no.12747/D1/4493 26.3.2020: Determination of the procedure for the exceptional hiring of auxiliary staff in order to counter the urgent needs from the occurrence and spread of the coronavirus COVID-19.
Guidelines for the submission of the form for the declaration of the employment conracts’ suspension in Digital System “ERGANI” and Additional Guidelines
Circular Min.Empl. no. 17078/505: Resolving issues arising from the submission of the employees’ statements in the special application of the Ministry of Employment and Social Affairs, and particularly regarding special cases of employment in order for those employees to be beneficiaries of the special purpose compensation
Joint Ministerial Decision no. 17788/346: Further measures to support employees and businesses - employers of the private sector in order to address the ongoing consequences of the coronavirus COVID-19 pandemic and the gradual reopening of the labour market. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Circular Min. Empl. 19221/379: Clarificiations on Joint Ministerial Decision no. 17788/346/8-5-2020 (B΄1779) and other support measures in order to counter the effects of coronavirus COVID-19 for the gradual re-opening of the labour market.
Joint Ministerial Decision no. ΓΔ2/16764/106/2020: Definition of the process for the coverage of social security contributions due to the suspension of employment contracts.
Joint Ministerial Decision no. 34236/860/2020: «Suspension of employment agreements of employees in businesses – employers that belong in sectors affected based on their Activity Code Number for the months August and September 2020».
Announcement by “Ergani” 15/11/2020: «Submission of declarations concerning the suspension of the employment contracts of employees working for businesses closed by public order or affected according the Code Number Activity (ΚΑΔ) during November 2020» and additional guidelines.
Announcement by “Ergani” 15/11/2020: «Submissions’ Deadlines - Payment Schedules»
Greek Government Gazette Issue B’ 5246/2020: Suspension of employment agreements of employees in private sector businesses for Novermber.
Greek Government Gazette Issue B’ 5391/2020: Suspension of employment agreements of employees in private sector businesses for December.
Announcement by Digital System “Ergani” dated 8.12.2020: Guidelines on submiting the declarations of suspension of employment agreements for December 2020.
Ministerial Decision no. 3208/108/21 Min. Fin. & Min. Empl: Suspension of employment agreements of employees in private sector businesses for January.
Ministerial Decision no. 3719/116/21 Min. Fin. & Min. Empl : Amendment of ministerial decision Τροποποίηση κοινών υπουργικών αποφάσεων ως προς τη διαδικασία καταβολής της αποζημίωσης ειδικού σκοπού σε δικαιούχους.
Joint Ministerial Decision n. 4374/131: Suspension of employment agreements of employees in private sector businesses for February.
Joint Ministerial Decision n. 9500/322: Suspension of employment agreements of employees in private sector businesses for March
Regarding the Legislative Act of the 30th of March 2020 the following provisions require special attention:
Exceptional financial aid for personnel of hospitals, health centers and other structures of the Ministry of Health as well as of the General Secretariat for Civil Protection (article 4)
1. To all kinds of personnel serving in hospitals, Health Units S.A. (A.E.M.Y.), National Organization of Public Health, “Institute of Pharmaceutical Research and Technology” S.A. (IFET SA), National Center of Emergency Care (E.K.A.B.), health centers, mental health centers and rural clinics, central agency of the Ministry of Health, Health Districts (Ype) and the central agency of Health Districts, as well as to all kinds of personnel serving in General Secretariat for Civil Protection exceptional financial aid for the year 2020 is paid equal to the half of the paid basic monthly salary. This provision shall be counted on the basic salary of the beneficiary according to the dates defined in par. 2. APR 27TH 2021
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2. The above financial aid is provided in full, if the beneficiary was salaried for the whole time period from the 16th of December 2019 to the 15th of April 2020 and is paid with the payroll of April 2020.
3. The financial aid is not paid when the employee or the personnel employed in the entities of par. 1 is absent with any kind of leave during the time period from the date of entry into force of the urgent measures to counter the risk of spread effects of the coronavirus COVID-19 and until the 15th of April 2020, with the exception of sick leave and leave of special purpose.
4. In the cases that the salary has been paid for a time period shorter than the one specified in par. 2, part of the exceptional financial aid shall be paid in proportion to that which corresponds to the time period of the beneficiary’s payroll. .
5. The above provision is not eligible for seizure.
Reduction of social security contributions by twenty-five percent (25%) (Article 18)
1. The self-employed and freelance professionals, as defined in Article 2 of Greek Law 4387/2016 (Issue Α’ 85 of the Greek Government Gazette), which has been replaced by Article 22 of Greek Law 4670/2020 (Issue A’ 43 of the Greek Government Gazette), if they pay the current social security contributions for the employment period of February and March of the year 2020 on time, it is possible to pay the contributions reduced by twenty-five percent (25%) on the amount corresponding to the social security category of their choice or classification. In this case, the amount of the monthly social security contribution that has actually been paid divided by 0.20 is defined as pensionable earnings for the calculation of the compensatory part of the main pension.
2. The reduction of the social security contributions, according to par. 1, does not apply in case of selection of the measure of extension of payment of the social security contributions according to par. 2 of Article 8 of the Legislative Act of the 20th.03.2020 (Issue Α’ 68 of the Greek Government Gazette).
3. By decision of the Minister of Labour and Social Affairs, the procedure, the manner and the time of selection, as well as more specific issues for the implementation of this Article may be determined.
Relevant Ministerial Decisions: Greek Government Gazette Issue B’ 1265/2020, 2225/2020
Time of payment of the Easter allowance (Article 19)
1. Businesses - employers whose business activity has been suspended by public order, as well as businesses - employers belonging to the industries that are significantly affected, due to the negative consequences of the pandemic of the coronavirus COVID-19, according to the Legislative Act of the 20th.03.2020 (Issue A’ 68 of the Greek Government Gazette) and the regulatory acts issued upon authorization thereto, may pay the Easter allowance at a time later than the one specified in the Joint Ministerial Decision under n. 19040 / 7.12.1981 (Issue B’ 742 of the Greek Government Gazette) and in any case not beyond 30 June 2020.
2. In the event that the employment relationship of the employees of the aforementioned companies - employers is suspended and the duration of the employment relationship, until its suspension, does not cover the entire period from January 1 to April 30 of the current year, the Easter allowance is paid reduced, taking into account for its calculation, according to par. 3b of Article 1 of the Joint Ministerial Decision under n. 19040 / 7.12.1981, the duration of the employment relationship until its suspension. APR 27TH 2021
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3. In the event that the employment relationship of the employees of the aforementioned businesses - employers is suspended, the amount of the Easter allowance corresponding to the period of suspension of the employment relationship shall be paid from the state budget. As regards other relevant issues, the Joint Ministerial Decision under n. 19040 / 7.12.1981 is applicable.
4. In the cases of par. 2 and 3, the Easter allowance shall be calculated on the basis of the salary or daily wage paid on the day before the date of suspension of the employment relationship.
5. A Joint Ministerial Decision of the Ministers of Finance and of Labour and Social Affairs may determine the procedure and way of payment of the Easter allowance, as well as any other necessary details for the implementation of this Article.
Relevant Ministerial Decisions: Issue B’ of the Greek Government Gazette 2141/2020, 458/2021, 1656/2021
Relevant Circulars: Social Security Fund no. 134900/2020, Social Security Fund no. 131644/2020
Carrying out of audits of the Greek Manpower Employment Organization by electronic means (Article 20)
As long as there is still an immediate risk of the spread of coronavirus COVID-19, the lack of which is confirmed by a decision of the Minister of Health and in any case for a period not exceeding six (6) months from the entry into force of this Act, it is possible to carry out audits by employees of the Greek Manpower Employment Organization (OAED), according to the Joint Ministerial Decision under n. 2/82850/0022 / 259-2013, as supplemented by the Joint Ministerial Decision under n. 6965/222 / 29-5-2019 (Issue B’ 2008 of the Greek Government Gazette), in the context of implemented programs and remote services by electronic means.
Salary of teachers of the Professional Schools of the Greek Manpower Employment Organization (OAED) paid with an hourly wage, apprenticeship allowances for the Professional Schools of Apprenticeship and the Vocational Training Institutes of the Greek Manpower Employment Organization (OAED) and allowance for disabled persons who attend vocational training programs. (Article 21)
1. The hourly wage salary is paid to the teachers of the educational institutions of the Greek Manpower Employment Organization (OAED) (Professional Schools and Vocational Training Institutes, Special Centers for Vocational Training of disabled persons of Thessaloniki and School for disabled persons of Athens), whose educational operation has been temporarily prohibited due to the extraordinary measures taken against the coronavirus COVID-19, for the number of hours specified in the employment agreement, and for the period of prohibition of operation.
2. The apprenticeship allowance within the framework of the apprenticeship agreement is paid to the students of Professional Schools of Apprenticeship and of the Vocational Training Institutes of the Greek Manpower Employment Organization (OAED) based on the daily wages set by the agreement and for the period during which the extraordinary measures will be in force. The amount corresponding to the apprenticeship allowance is fully covered by the Greek Manpower Employment Organization (OAED), from national or other resources, including the amount that the employer has to pay and the employer's social security contributions for the period during which the extraordinary measures will be in force.
3. The allowance provided for in the decision under n. 92100/2018 of the Director of the Greek Manpower Employment Organization (Issue B’ 6107 of the Greek Government Gazette) is paid to the trainees School for disabled persons of Athens and of the Special Centers for Vocational Training of disabled persons of Thessaloniki, including the APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 trainees of the Centers for Protected Employment for the period during which the extraordinary measures will be in force.
4. By Ministerial Decision of the Minister of Labour and Social Affairs, the procedure and any necessary details for the implementation of this Article may be determined.
Extension of the deadline for payment of the social security contributions (Article 23)
At the end of the first subparagraph of par. 1 of Article 3 of the Legislative Act of the 11th.03.2020 (Issue A’ 55 of the Greek Government Gazette), the phrases “and the suspension of the collection of overdue debts. A similar decision shall determine the terms, conditions, manner and time of payment of the claims, the payment time limit of which is extended”.
RELEVANT MINISTERIAL DECISIONS: Issue B’ of the Greek Government Gazette 1044/2020, 1384/2020, 2076/2020, 2096/2020
Measures to support freelancer professionals, self-employed and sole proprietors (Article 25)
In par. 2 of Article 8 of the Legislative Act of the 20th.03.2020 (Issue A’ 68 of the Greek Government Gazette) the following modifications occur: a) The word “suspension" is replaced by the word "extension”, b) After the phrase “of the social security contributions,” the phrase “suspension of collection” shall be added. c) At the end of par. 2, subparagraphs are added as follows: “By decision of the Minister of Labour and Social Affairs, the terms, conditions, the manner and the time period for payment of the claims, whose payment deadline is extended, shall be determined. The provision applies only to professionals, self-employed and sole proprietors who have a main Activity Code Number number (KAD) on March 20, 2020, which is included in the Activity Code Numbers as defined each time by the Ministry of Finance, as branches affected financially due to occurrence and spread of the coronavirus COVID-19 and in all private businesses which are under temporary prohibition of operation, in accordance with Article 1 of the Legislative Act of the 25th.02.2020 (Issue A’ 42 of the Greek Government Gazette)”.
Special purpose leave for employees of Detention Centers (Article 48)
1. For the application of paragraphs 1 to 4 of Article 5 of the Legislative Act of the 11th.03.2020 (Issue A’ 55 of the Greek Government Gazette), for employees of any category, branch or specialty who are employed with any kind of employment relationship at the Detention Centers of the State and at the Foundation for the Education of Adult Males of Volos, a reasoned decision of the Head of the Directorate of the Detention Center or his legal deputy is required. The Head of the Directorate of the Detention Center or his legal deputy decide whether it is possible to provide the facilities of par. 1 to 4 of Article 5 of the Legislative Act of the 11th.03.2020, or in case that both parents are employed on the same Detention Center, which one will be entitled to the facilitations, based on their employment position and their duties. APR 27TH 2021
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2. In cases of emergency and for the proper operation of the Detention Centers of the State, the Secretary General of Anti-Crime Policy may revoke any licenses issued by the Head of the Directorate of the Detention Center or his legal deputy pursuant to paragraph 1.
Maritime work support measures (Article 63)
1. a) The duration of the regular unemployment benefit of seafarers of the beneficiaries for whom it has expired or will expire within the first trimester of 2020, is extended for two (2) months from its expiration, in derogation of the conditions of the Presidential Decree under n. 228/1998 (Issue Α’ 176 of the Greek Government Gazette), unless the par. 1f of article 2 thereof applies. b) The duration of the social security protection provided by the House of Sailors, concerning social security capacity and monetary benefits according to the Presidential Decree under n. 894/1981 (Issue Α’ 226 of the Greek Government Gazette), of the beneficiaries for whom it has expired or will expire within the first trimester of 2020, is extended by derogation from the relevant conditions until 31 May 2020. c) By Joint Ministerial Decision of the Ministers of Finance and Shipping and Island Policy, the duration of the provision of the benefit of paragraphs (a) and (b) may be further extended.
2. a) Shipping companies and ship-owners, who are severely affected by the negative consequences of the coronavirus COVID-19 pandemic and have stopped from March 1st 2020 or will stop carrying out their voyages or have not started them due to voyage obligations of their vessels for the months of March and April 2020 and have issued a crew list may suspend the maritime registration agreements of seafarers, who are not required as security personnel on board. Agreements of seafarers of professional fishing vessels with a total length of twenty-four (24) meters and above that do not perform voyages and have ceased fishing activity may also be suspended. The suspension of maritime registration agreements may be applied for up to one (1) month from the entry into force of this Act, with the possibility of extension by Joint Ministerial Decision of the Ministers of Finance and Shipping and Island Policy, taking into account the expansion of the coronavirus COVID-19. b) The registered seafarers whose agreement is suspended either due to the application of the provisions under (a) or due to the prohibition of execution of voyages by order of a public authority, especially in the case of professional tourist ships, are entitled to special financial aid, as a special purpose compensation. c) Beneficiaries of the special financial aid, as a special purpose compensation, are also the registered seafarers of passenger and passenger-vehicle vessels, tourist vessels, maritime intakes, as well as of vessels of international voyages, whose maritime registration agreement was terminated until the entry into force of this, regardless of the reason, except in cases of guilt of the seafarer, illness or injury. d) The special purpose compensation is unseizable, tax-free and cannot be offset with any debt. e) Shipping companies and ship-owners falling under subparagraphs (a) and (b) thereof are explicitly prohibited from terminating the maritime registration agreements and in such event the termination is deemed to be void. f) The Analytical Periodic Statement (APD) of seafarers, whose maritime registration agreements are suspended, is immediately submitted by the ship-owner to the Maritime Fund (N.A.T.) according to its more specific instructions. The cost of their full social security coverage is calculated on a monthly basis on the statutory salary which cannot be lower than the one provided for in the current or last applicable collective Labour agreement of the branch in addition to the benefits of Articles 84 and 85 of the Presidential Decree under n. 913/1978 (Issue Α’ 220 of the Greek Government Gazette). APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 g) Expenses for the special purpose compensation and the social security coverage of employees are covered by the state budget. h) In order for the seafarers to receive the special purpose compensation, the ship-owner is obliged to submit a solemn declaration to the Maritime Fund (N.A.T.), stating that the seafarers whose maritime registration agreements are suspended or stopped, in the sense of subparagraphs (a) to (c) thereof, accompanied by the approval of the competent authority in the event that the non-execution of voyages has not been imposed. Following the above notification, the Maritime Fund (N.A.T.), following relevant instructions, draws up lists of beneficiary seafarers to receive the special purpose compensation and sends them to the House of Sailors. i) The shipping companies and ship-owners are obliged to notify the above solemn declaration, in writing or electronically, on the same day to the seafarer and to the competent Port Authority where the ship which has stopped its voyages is located. j) Following the aforementioned notification, a solemn declaration-application of the seafarer is submitted to the Port Authorities. The competent Port Authority shall register "suspension of maritime registration agreement from… to…" in the vessel crew lists and the seaman’s books and keep a special archive with lists of the seafarers-applicants which it sends to the House of Sailors, which will pay the amounts. k) If the shipping companies-ship-owners do not submit the relevant solemn declaration, they are excluded from their inclusion in the measures of suspension of installments debts or arrangements or facilitation regarding the partial payment of confirmed debts to the State of any kind. l) By Joint Ministerial Decision of the Ministers of Labour and Social Affairs and Shipping and Island Policy, the terms, conditions and any other issue related to the implementation of this Article shall be determined.
3. The validity of Article 29 of Greek Law 4150/2013 (Issue Α’ 102 of the Greek Government Gazette), which determines the organic composition of personnel of general services of passenger and passenger / vehicle ferries that perform voyages between national ports of a total distance from the port of departure to the port of destination bigger than 30 nm, is extended for the current year until April 30, 2020.
RELEVANT JOINT MINISTERIAL DECISION: Issue B’ 1128/2020, 2209/2020, 3243/2020 of the Greek Governmet Gazette
Regarding the Legislative Act of the 1st of May 2020 the following provisions require special attention:
Extension of the suspension of the employment agreements (Article 10)
1. Businesses - employers of the private sector which are severely affected and have suspended the employment agreements of part or of all of their employees, in accordance with the provisions concerning the addressing of the consequences of the risk of spread of coronavirus COVID-19, may be extend the suspension of up to 60% of the employment agreements that have already been suspended, for a maximum period of thirty (30) days and in any case not beyond the 31st of May 2020. In case of exceeding the above percentage, the employer shall pay the remuneration of the employees exceeding the percentage of the previous subparagraph.
2. For the businesses - employers of the private sector for which the suspension of their operation continues by order of public authority during May 2020, the suspension of the employment agreements of the employees is extended for as long as the above suspension of operation continues. APR 27TH 2021
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3. The employees of paragraphs 1 and 2, whose employment agreements have been suspended, shall be entitled to financial support in proportion to the days of the extension.
4. Businesses - employers of the private sector, for as long as they make use of the measure of par. 1 and in any case until the 31st of May 2020, are obliged not to reduce their staff with terminations of employment agreements. Should such terminations take place, they are deemed to be void.
5. Businesses - employers of the private sector, which make use of the measure of par. 1, are obliged, after the expiration of the extension of the suspension of the employment agreements of these employees, to keep for a period of forty five (45) days the same number of employment positions with the same type of employment agreement.
6. A Joint Ministerial Decision of the Ministers of Finance and Labour and Social Affairs shall determine all the necessary details for the implementation of this article, as well as the financial support of the employees whose employment agreement is extended.
7. By Joint Ministerial Decision of the Ministers of Finance, Labour and Social Affairs and Health, the time of implementation of this article may be extended until the 30th of June 2020 for the businesses, whose operation is suspended during the month of May 2020 by order of public authority.
RELEVANT JOINT MINISTERIAL DECISION: Issue B' 1779/2020, 2775/2020,2783/2020, 3371/2020 of the Greek Government Gazette
RELEVANT CIRCULAR: Min.Emp. 19221/379
Permanent revocation of the suspension of employment agreements (Article 11)
1. Businesses - employers of the private sector, which have suspended the employment agreements of part or of all of their employees, in accordance with the relevant provisions concerning the addressing of the consequences of the risk of spread of coronavirus COVID-19, may proceed to revocation of the suspension of employment agreements for at least 40% of the employees whose employment agreements are suspended, provided that the suspension has been maintained for a minimum of fifteen (15) days.
2. Employment agreements of employees whose suspension is revoked may not be suspended again.
3. If the suspension of the employment agreement may be revoked pursuant to this article, employees shall be entitled to financial support in proportion to the days of suspension.
4. A Ministerial Decision of the Minister of Labour and Social Affairs shall determine the terms and any necessary details for the implementation of this article.
5. The application of this article is not allowed for businesses - employers for which the suspension of operation continues by order of public authority during May 2020.
RELEVANT JOINT MINISTERIAL DECISION: Issue B' 1779/2020, 2775/2020, 3371/2020 of the Greek Government Gazette
RELEVANT CIRCULAR: Min.Emp. 19221/379
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Temporary revocation of the suspension of employment agreements (Article 12)
1. The temporary revocation of the suspension of employment agreements of employees is allowed for extraordinary, urgent, non – deferrable, inelastic needs of businesses -employers, whose business activity has either been suspended by order of public authority or is severely affected, according to the Activity Code Numbers defined by the Ministry of Finance. During the period of revocation, according to the previous paragraph, the employer owes the contractual remuneration in proportion to the days of employment.
2. Businesses - employers, who make use of the temporary revocation of par. 1, are obliged to notify it in a special form in the “ERGANI” Digital System and in any case before the initiation of the extraordinary work provided.
3. After the expiration of the temporary revocation of the suspension of the employment agreement, the suspension of the employment agreement continues until its full completion.
4. For the period of temporary revocation of the suspension of the employment agreement pursuant to this article, the employer is obliged to pay the employees' remuneration.
5. A Ministerial Decision of the Minister of Labour and Social Affairs shall specify the terms and regulate every necessary detail for the implementation of this is article.
RELEVANT JOINT MINISTERIAL DECISIONS Issue B' 1695/2020, 1779/2020, 2775/2020, 2783/2020, 3371/2020, 3770/2020, 3873/2020of the Greek Government Gazette
RELEVANT CIRCULAR: Min.Emp. 19221/379
Extraordinary and temporary measures regarding the organization of the working schedule (Article 13)
Businesses - employers, whose operation was suspended by order of public authority or was significantly affected, based on the relevant Ministerial Decisions, adjust the working hours of their employees with their operating hours. The aforementioned adjustment of the working hours of the employees is carried out on the condition that the type of employment agreement of these employees is not changed.
Initiation and completion of the process of defining the legal minimum salary and the legal minimum daily wage during 2020 (Article 14)
In article 103 of Greek Law 4172/2013 (Issue A’ 167 of the Greek Government Gazette), par. 9 is added as follows:
“9. Especially for the initiation of the procedure of the present article during 2020, the time limits of par. 5 and of case a’ of par. 7 are defined as follows:
a) The sending of a written invitation by the Coordinating Committee of the Consultation, according to subpar. aa’ of case b’ of par. 5, takes place within the last ten days of September. b) The drafting and submission of the report of sub-case aa’ of case b’ of par. 5 take place not later than the 31st of October. c) The transmission of the brief and the documentation of each consulting party by the Coordinating Committee of the Consultation to the other representatives of the social partners, with an invitation for oral consultation, according to sub-case cc’ of case b’ of par. 5, takes place no later than the 15th of November. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 d) The transmission of all briefs and documentation of the consulting parties, as well as of the report of the specialized scientific and research bodies to the Center for Planning and Economic Research (KEPE) for the drafting of a Draft of the Consultation Summary Repot, according to sub-case dd’ of case b’ of par. 5, takes place no later than the 30th of November. e) The Draft of the Consultation Summary Report is completed, according to sub-case ee’ of case b’ of par. 5, not later than the 31st of December. f) The proposal of the Minister of Labour and Social Affairs to the Council of Ministers, for the determination of the legal minimum wage of employees and the legal minimum daily wage of workers, according to case a’ of par. 7, takes place within the last fifteen days of January 2021. g) For the rest, paragraphs 1 to 7 apply”
Extension of normative terms if collective labour agreements and arbitration decisions (Article 15)
The validity of the normative terms of the Collective Labour Agreements and the Arbitration Decisions, whose three- month extension of validity, according to Article 9 of Greek Law 1876/1990 (Issue A’ 27 of the Greek Government Gazette), expired from the 29th of February 2020 until the 30th of April 2020, is extended until the 30th of June 2020.
Maritime work support measures (article 40)
1. The long-term unemployed seafarers are registered in the lists provided for maritime registration and the subsidized unemployed kept in the Maritime Work Finding Office (GENE) and the Port Authorities and receive the regular subsidy, by derogation of cases a’ to c’ of par. 1 of article 2, par. 2 and 3 of article 7 and par. 2 of article 9 of the Presidential Decree under n. 228/1998 (Issue Α’ 176 of the Greek Government Gazette), for six (6) months from the entry into fore of this legislative act, as long as they fulfill the following requirements: a) they are registered seafarers and have maritime service for at least three (3) years, in total, in ships under greek or foreign flag which have a contract with the Maritime Fund (N.A.T.), or/and in ships under foreign flag which do not have a contract with the N.A.T., as long as it has been recognized and bought, without prejudice to the provisions of E.U. law for the coordination of the member-states social security systems. Of the above service, at least nine (9) months must have been served in the last three years, which is calculated retrospectively from the day of their registration to the lists provided for maritime registration. b) since their last dismissal from the above ships, a period of less than one (1) year has elapsed c) they are registerd in the lists provided for maritime registration of the Maritime Work Finding Office (GENE) of Piraeus or the Port Authorities for at least fifteen (15) days.
2. Subsidized seafarers are required to report to the GENE, on dates determined by it, or to the Port Authorities to which they are registered, otherwise they will be deleted from the respective lists.
3) The provisions of par.1 and 2 automatically include the unemployed seafarers who at the time of entry into force of the present are registered in the lists provided for maritime registration and do not receive a subsidy, if they meet the conditions of par. 1. APR 27TH 2021
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4. By joint decision of the Ministers of Finance and Maritime Affairs and Insular Policy, the terms and any necessary details for the implementation of the present may be determined, as well as the extension of the validity of the present for a period not exceeding six (6) more months, as long as the negative effects of the coronavirus COVID-19 pandemic are still present.
5. The subsidy cost of the present is covered through extraordinary financial grant by “Oikos Nautou” from the credits of the special body Hellenic Coastguard Headquarters (A.L.S. – HEL.AKT) of the regular budget of the Ministry of Maritime Affairs and Insular Policy, by derogation of existing provisions regarding financial grants of legal entities under public law, in accordance with the procedure of case g’ par. 2 of article 63 of the Legislative Act of the 30th.3.2020, which has been ratified by article 1 of the Greek Law 4684/2020 (Greek Government Gazette Issue A’ 86).
6. In par. 2 of the sixty-third article of the Legislative Act of the 30th.03.2020, ratified by article 1 of Greek Law 4684/2020 (Α΄86), the following changes take place:
α) Case a’ is replaced as follows: “a) Shipping companies – shipowners, that are significantly affected due to the negative effects of the coronavirus COVID-19 pandemic and have stopped after May 1st 2020 or will stop the ferry services or have not started the latter as part of their ship's voyage obligations for the months of March to June 2020 and have issued a crew list, they can suspend the maritime registration agreements of seafarers who are not required as security personnel on board.
Adding to the above cases, in a similar way, maritime registration agreements may be suspended: aa) of professional fishing vessels equiped with crew list or special lists, which are formed by the captain or the vessel commander and have ceased the fising activity after May 1st 2020. ab) ships operating as boats, in accordance with existing legislation, which do not perform voyages after May 1st 2020 and are equipped with crew list or special forms. ac) ships which fall under par. 1 of article 4 of Greek Law 2575/1998 (A’ 23) after March 1st 2020.
The contracting parties jointly declare the date of the entry into force of the martime registration agreement suspension, which may refer to the time of stoppage of voyages or non-execution of voyages, but not earlier than the date of imposition of the partial temporary restriction on the movement of all types of ships and boats, for the transportation of passengers by sea, as well as the departure and arrival of private pleasure boats and professional tourist ships in the greek territory, in order to limit the coronavirus COVID-19 spread, namely the 21st of March 2020, in accordance with joint the ministerial decision Δ1α/ΓΠ.οικ. 20009/2020 of the Ministers of Citizen Protection, Health, Interior and Maritime Affairs and Insular Policy (Greek Government Gazette Issue B’ 944).
For the ships that have not started their voyages as part of their voyage obligations for the months of March to June 2020, a crew list is opened, seafarers are recruited and the suspension of contracts is similarly declared jointly by the contracting parties and may coincide with the seafarers’ maritime registration date. During the suspension of maritime registration agreements, their health care is covered by “Oikos Nautou”. The suspension of the maritime registration agreements may be applied for up to one (1) month, with the possibility of extension by joint decision of the Ministers of Finance and Maritime Affairs and Insular Policy, taking into account the course of development of the coronavirus COVID-19.”. b) Case c’ is replaced as follows: “Beneficiaries of the special financial aid, as a special purpose compensation, are also the registered seafarers of passenger and passenger-vehicle vessels, cargo-vehicle ships of maritime intakes, of touristic or international voyages, whose maritime registration agreement was terminated from March 1st 2020 to March 31st 2020, regardless of the reason, except in cases of guilt of the seafarer, illness or injury”. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 c) Case g’ is replaced as follows: “g) the seafarers of cases a’ to c’ receive as extraordinary financial aid, a special purpose compensation of eight-hundred (800) euros. Expenses for the special purpose compensation and the social security coverage of employees are covered by extraordinary financial grant by “Oikos Nautou” from the credits of the special body Hellenic Coastguard Headquarters (A.L.S. – HEL.AKT) of the regular budget of the Ministry of Maritime Affairs and Insular Policy (YNANP), by derogation of article 91 of Greek Law 4270/2014 (Greek Government Gazette A’ 143) and of joint decision no. 2/39549/0026/11.6.2015 of the Ministers of Finance, Infrastacture, Maritime Affairs and Tourism and Deputy Minister of Finance (B’ 1138). The above financial grant is paid to the “Oikos Nautou”, by issuing a warrant form the General Directorate of Financial Services (GDOY) of the Ministry of Maritime Affairs and Insular Policy. The payment of the grant is not subject to insurance liability clearance check, stamp duty and any reservation. The grant is not eligible for seizure for the benefit of the State or third parties, by derogation of article 91 of Greek Law 4270/2014 nor it is offset with any debt.
The supporting documents for the issue of the said financial warrant for the payment of the amount of extraordinary grant of “Oikos Nautou” from the credits of the special body Hellenic Coastguard Headquarters (A.L.S. – HEL.AKT.) of the regular budget of the Ministry of Maritime Affairs and Insular Policy (YNANP) are the following: ga) decision for the grant by the competent authority, following a detailed proposal by “Oikos Nautou”, gb) copy of the decision to assume the obligation of the competent authority, gc) Expenditure payment form in three (3) copies, validated by the Director of the Financial Services of “Oikos Nautou” and includes in column: i) account details of “Oikos Nautou” (name-title, Tax Registation Number (AFM), bank account number in IBAN format, postal and electronic address), ii) the amount payable to the beneficiary, gd) bank certificate with the details of the account number of “Oikos Nautou” in IBAN format.
The above supporting documents are submitted by “Oikos Nautou” in the competent for the issue of the financial warrant Service of the General Directorate of Financial Services of the the Ministry of Maritime Affairs and Insular Policy (YNANP). The unallocated amounts, after the financial grant of “Oikos Nautou”, are returned until the end of this year, in accordance with article 41 of Greek Law 4129/2013 (A’ 52), by “Oikos Nautou”, and are deposited in the account of the Greek State in the Bank of Greece titled “Unallocated amounts of the extraordinary grant of “Oikos Nautou”, constituting revenues of the state budget”. e) In the end of case j’, a subparagraph is added as follows: “In particular, beneficiaries of the extraordinary financial aid of case c’, who have not been relevantly notified by the shipowner, may submit independently from the latter, applications-solemn declarations in Port Authorities and be included in the lists that are formed after reviewing the relevant requirements, in a maritime brochure by the Port Authorities.”.
7. Par. 3 of the sixty-third article of the Legislative Act of the 30th of March 2020, ratified by the article 1 of Greek Law 4684/2020, is replaced as follows: “3. The force of article 29 of the Greek Law 4150/2013 (A’ 102), by which the composition of the personell of general services of passenger and passenger-vehicle vessels that conduct voyages in ports of the greek territory is defined, of total distance of more than 30 n.m. from the departure port to the arrival port, is extended for this year until the 31st of May 2020. By decision of the Minister of Maritime Affairs and Insular Policy, the time period of the implementation of the previous subparagraph, as long as the negative effects of the coronavirus COVID-19 pandemic continue to be present.”.
8. In the sixty-third article of the Legislative Act of the 30th of March 2020, ratified by the article 1 of Greek Law 4684/2020, par. 4 is added as follows: “Seafarers whose maritime registration agreement is suspended in accordance with par. 2 are exempted from the obligation of payment of 40% of the total rent of their main residence for April 2020, by derogation of existing provisions regarding rents. The partial non payment of the rent of subparagraph 1, does not give rise to any right to terminate the contract to the detriment of the lessee, nor any other civil claim. By APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 joint decision of the Ministers of Finance, Development and Investments and Maritime Affairs and Insular Policy, the particular terms and requirements are determined as well ass any other detail for the implementation of the present.”.
9. The duration of the validity of the opinions of the Health Committees of Registered Seafarers and Sea Workers (YEANETH) which have been issued after June 11, 2019, is extended for the issue of maritime brochures until July 31, 2020, by derogation from the existing provisions. By decision of the Minister of Maritime Affairs and Insular Policy the validity of the present may be extended for an additional period which does not exceed six (6) months, as long as the negative effects of the coronavirus COVID-19 pandemic continue to be present.
Review of the legality of agreements for ensuring the minimum maritime transport service of island areas (article 42)
As an exception to those provided in par. 1 and 2 of article 35 of Greek Law 4129/2013 (A΄ 52), the contracts for the assignement of public service concluded for the execution of voyages, in accordance with article 62 of the Legislative Act of the 30th.3.2020 (A’ 75), ratified by article 1 of Greek Law 4684/2020 (A’ 86), are subject to review of their legality by the greek Court of Auditors in accordance with article 8 ot article 35 of Greek Law 4129/2013. If the review turns out negative and the agreement is considered as non concluded, the 3rd subparagraph of par. 9 of article 8 of Greek Law 2932/2001 (A’ 145) applies.
Regarding the Greek Law 4690/2020 the following provisions require special attention:
Reduction of social security contributions by twenty-five percent (25%) (Article 27)
In par. 1 of article 18 of the Legislative Act of 30.03.2020 (A’ 75), which was ratified by article 1 of Greek Law 4684/2020 (Α΄ 86), the words “April” and “May” are added after the word “March” and article 18 is formed as follows:
“Article 18
Reduction of social security contributions by twenty-five percent (25%)
1. The self-employed and freelance professionals, as defined in Article 2 of Greek Law 4387/2016 (Issue Α’ 85 of the Greek Government Gazette), which has been replaced by Article 22 of Greek Law 4670/2020 (Issue A’ 43 of the Greek Government Gazette), if they pay the current social security contributions for the employment period of February, March, April and May of the year 2020 on time, it is possible to pay the contributions reduced by twenty-five percent (25%) on the amount corresponding to the social security category of their choice or classification. In this case, the amount of the monthly social security contribution that has actually been paid divided by 0.20 is defined as pensionable earnings for the calculation of the compensatory part of the main pension.
2. The reduction of the social security contributions, according to par. 1, does not apply in case of selection of the measure of extension of payment of the social security contributions according to par. 2 of Article 8 of the Legislative Act of the 20th.03.2020 (Issue Α’ 68 of the Greek Government Gazette), as ratified by article 1 of Greek Law 4683/2020 (A’ 83).
3. By decision of the Minister of Labour and Social Affairs, the procedure, the manner and the time of selection, as well as more specific issues for the implementation of this Article may be determined.”.
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Prolongation of the term of office of trade unions’ administrative bodies of employees and employers and use of new techonologies for the convening of the General Assembly of trade unions (Article 28)
1. The term of office of trade unions’ administrative bodies of par. 1 of article 9, Greek Law 1264/1982 (A’ 79), as well as of the employers’ unions, which expires during the validity of the extraordinary measures for the confrontation and restriction of coronavirus COVID-19 spread and has been prolonged by article 17 of the Legislative Act of the 14th.3.2020 (A’ 64), as ratified by article 3 of Greek Law 4862/2020 (A’ 76), and article 12 of the Legislative Act of the 13th.4.2020 (A’ 83), is prolonged until 30.9.2020.
2. The General Assemblies of primary trade unions may be announced and held, following a decision by their respective bodies, using contemporary digital means of remote participation of their members. Article 8 of Greek Law 1264/1982 (A’ 79) and the statutes of the primary trade unions are applied regarding the adoption of decision by the General Assembly. Competent body regarding the coordination of the General Assembly’s work is the trade union’s Board of Directors, which decides respectively.
Time limit regarding inclusion in the provisions of Greek Law 4611/2019 (Article 29)
Par. 2 of article 13 of Greek Law 4611/2019 (A’ 73) is replaced as follows:
“2. Particularly for the debtors of articles 2 and 3, where the procedure for inclusion in the provision includes two stages, pursuant to par. 3 of article 11 of the present, the deadline mentioned above concerns the submission of the query for the determination of the debt in the e-platform of Social Security Fund (1st stage). As submission of the query for the determination of the debt is also considered the entry in the e-platform of Social Security Fund in cases of debtors that require confirmation of their insurance data or their debts are under process and without requiring the final choice of recalculation or not of debts. In these cases, the inclusion in the provision may also happen after the time limit elapses, when the debts are transmitted to the Center for Collection of Social Security Debts (KEAO) and if the query is submitted (2nd stage) regarding the inclusion in the provision through the e-platform of the Center for Collection of Social Security Debts (KEAO) which by all means cannot be submitted after 30.9.2020.
Conditions for the granting of regular unemployment benefit in special cases (Article 30)
Paragraph 7 of Article 4 of Greek Law 1545/1985 (Issue A’ 91 of the Greek Government Gazette is replaced as follows:
« 7. Exceptionally, for the employees employed during 2019 by the companies: a) of the Thomas Cook group which declared bankruptcy, or b) which are connected according to the provisions of case g’ of Article 2 of the Greek Law 4172/2013 (Issue A’ 167 of the Greek Government Gazette) with bankrupt companies of the Thomas Cook group, or c) whose client were the bankrupt companies of the Thomas Cook group, eighty (80) working days in the social security of the social security unemployment sector of the Greek Manpower Employment Organization are sufficient for the granting of the regular unemployment benefit.
A Joint Ministerial Decision of the Ministers of Finance, Labour and Social Affairs and Tourism shall set the criteria for determining the companies of the above paragraph, the time limits for the announcement of the employees employed by these companies to the services of the Greek Manpower Employment Organization, the initiation of their subsidy, APR 27TH 2021
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the procedure for their inclusion in the provisions of the aforementioned subparagraph, as well as any other necessary details.
Employment support mechanism “SYN-ERGASIA” (Article 31)
1. For the period from 15.6.202020 to 15.10.2020, an employment support mechanism in the form of financial support for short-term employment, called "SYN-ERGASIA", is established, in order to maintain full-time employment positions in the private sector.
2. a) Businesses – employers of the private sector, that are part of the "SYN-ERGASIA" mechanism, may reduce the weekly working hours by up to 50% either for a part or for all of their employees, depending on their operating needs. The reduction in the weekly working hours does not result in the conversion of the employment agreements of the employees included in the mechanism, for the period of time that the businesses -employers make use of this measure.
b) The mechanism shall apply exclusively to employees who have a dependent full time employment relationship, on the date of publication hereof. Businesses-employers may make use of this provision for one or more months within the period of validity of the mechanism for all or for a part of their staff.
3. a) The employees of the businesses-employers that are part of the mechanism shall be paid a financial allowance for short-term employment of 60% of their net earnings, which corresponds to the time during which they have not provided work. The social security contributions, corresponding to the amount of the financial allowance, are not covered by the mechanism. In the event that the net earnings, after the aforementioned adjustment, fall short of the net legal minimum wage or daily wage, the difference is reimbursed by the State Budget.
b) Within the framework of this mechanism, a proportion of the annual leave allowance and the Christmas allowance for the year 2020 shall be paid, calculated on the basis of the financial support for short-term employment, which amounts to 60% of the reduced remuneration of the employees, as defined in the current legislation.
c) Businesses-employers, who unilaterally reduce their employees' weekly working hours and are part of the “SYN- ERGASIA” mechanism, have the obligation to cover the social security contributions in total, calculated on the initial nominal salary of the employees included in the mechanism and for the time period during which each employee joined the mechanism. The provisions in this case also apply to the annual leave allowance, as well as to the Christmas allowance for the year 2020.
d) Businesses - employers that make use of the mechanism are obliged not to terminate the employment agreements of the employees who are part of it and, in case such terminations take place, they are deemed to be invalid. They are obliged to maintain the nominal salaries of these employees for as long as each one of them is included in the mechanism.
4. All businesses in the country, with continuous or seasonal operation, have the right to participate in the mechanism, regardless of their Activity Code Numbers, under the following conditions:
a) Businesses-employers who are required to submit a periodic VAT statement shall have a reduction of at least 20% of the VAT turnover (code 312 of the periodic VAT statement), in relation to the reference turnover, depending on the month of their entry into the mechanism and type of tax books, as follows: APR 27TH 2021
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Turnover in relation to which the reduction of at least Month of joining the mechanism of par. 2 20% is calculated
June 2020 Total turnover of March - April 2020
June 2020 Total turnover of March - April - May 2020
August - September 2020 Total turnover of March- April - May - June 2020
i) For the businesses which keep double-entry books
Month of joining the mechanism of par. 2 Reference turnover
Total turnover of March – April 2019. In case that the turnover of one of the two (2) months is not positive, the total turnover June 2020 of 2019 divided by six (6) is taken into account. In case that the turnover of 2019 is not positive, the turnover of February 2020, multiplied by two (2) is taken into account.
Total turnover of March - April - May 2019. In case that the turnover of one of the three (3) months is not positive, the total July 2020 turnover of 2019 divided by four (4) is taken into account. In case that the turnover of 2019 is not positive, the turnover of February 2020, multiplied by three (3) is taken into account.
Total turnover of March- April - May - June 2020. In case that the turnover of one of the four (4) months is not positive, the total turnover of 2019 divided by three (3) is taken into August - September 2020 account. In case that the turnover of 2019 is not positive, the turnover of February 2020, multiplied by four (4) is taken into account.
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ii) For the businesses which keep single-entry books
Month of joining the mechanism of par. 2 Reference turnover
Total turnover of the first and the second trimester of 2019, divided by three (3). In case that the turnover of one of the two trimesters is not positive, the total turnover of 2019 divided by six June 2020 (6) is taken into account. In case that the turnover of 2019 is not positive, the turnover of the first trimester of 2020, multiplied by two thirds (2/3) is taken into account.
Total turnover of the first trimester of 2019, multiplied by one third (1/3) and of the second trimester of 2019, multiplied by two thirds (2/3). In case that the turnover of one of the two trimesters July 2020 is not positive, the total turnover of 2019 divided by four (4) is taken into account. In case that the turnover of 2019 is not positive, the turnover of the first trimester of 2020, is taken into account.
Total turnover of the first trimester of 2019, multiplied by one third (1/3) and of the second trimester of 2019. In case that the turnover of one of the two trimesters is not positive, the total August - September 2020 turnover of 2019 divided by three (3) is taken into account. In case that the turnover of 2019 is not positive, the turnover of the first trimester of 2020, multiplied by four thirds (4/3) is taken into account.
Regardless of the month of joining the mechanism, businesses that keep double entry books have the right to participate, in case of a zero turnover in the year 2019 and February 2020, and businesses which keep single-entry books, in case of a zero turnover in the year 2019 and the first trimester of 2020.
b) Businesses-employers, who are not obliged to submit a VAT statement or are exempt from VAT, must have a reduction of at least 20% of their gross income (code 047 of the E3 statement), in relation to their gross reference revenue, depending on the month of joining the mechanism, as follows:
Gross revenue on the basis of which the reduction of at Month of joining the mechanism of par. 2 least 20% is calculated.
June 2020 Total gross revenue of March - April 2020
July 2020 Total gross revenue of March - April - May 2020
August - September 2020 Total gross revenue of March - April - May – June 2020 APR 27TH 2021
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The reference turnover for the companies which are not obliged to submit a periodic VAT statement is defined as follows:
Month of joining the mechanism of par. 2 Gross reference revenue
Total gross revenue of 2019 divided by six (6). In case of June 2020 non-positive gross revenue in 2019, the business has the right to participate.
Total gross revenue of 2019 divided by four (4). In case of July 2020 non-positive gross revenue in 2019, the business has the right to participate.
Total gross revenue of 2019 divided by three (3). In case of August - September 2020 non-positive gross revenue in 2019, the business has the right to participate.
5. a) Businesses - employers that are part of the mechanism "SYN-ERGASIA" and have as Main Activity Code Number, during the publication of this Article, one of the following:
51.10 "Passenger Air Transport",
51.21 "Air freight",
52.23 "Air Transport Related Activities" and
33.16 "Repair and maintenance of aircrafts and spacecrafts",
b) Businesses -employers that carry out activities of providing business advice and other management advice (Activity Code Number 70.22) exclusively to companies operating in the field of air transport, as it derives from their Main Activity Code Number (51.10, 51.21 and 51.23), as well as,
c) Businesses - employers that operate within the State Airports and only for their employees there, are obliged to pay the social security contributions corresponding to the reduced working time of the employees, by derogation of case c’ of par. 3, calculated on the basis of their nominal earnings. The social security contributions corresponding to the remaining contractual working time of these employees, calculated on the basis of their nominal earnings, are covered by the State Budget. Exceptionally, for these businesses, the period during which the mechanism will be in force extends until the 31st.12.2020. Businesses have the right to participate from the 16th.10.2020 to the 31st.12.2020, if they had the right to participate in the mechanism at any time during the previous period.
6. The expenses for the implementation of the employment support mechanism shall be covered by the State Budget and / or by European resources.
7. A Joint Ministerial Decision of the Ministers of Finance, Development and Investment and Labour and Social Affairs shall determine the manner, procedure, terms and conditions of financial support, as well as any other necessary details for the implementation of this Article.
8. By Ministerial Decision of the Minister of Labour and Social Affairs, the specific issues and details of the APR 27TH 2021
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9. Article 9 of the Legislative Act of the 20th.3.2020 (Issue A’ 68 of the Greek Government Gazette), as ratified by Article 1 of Greek Law 4683/2020 (Issue A’ 83 of the Greek Government Gazette) is abolished after the 15th.6.2020.
RELEVANT: Min.Empl. press release 10.6.2020, Min.Emp. 29408/682, Min. Emp. 26400/605/30.6.2020, articles 122, 123 of Greek Law 4714/2020, Circular of Greek Unified Social Security Fund with n. 39/2020, Greek Law 4778/2021, ar. 40
RELEVANT DECISIONS: Greek Government Gazette Issue B’ 2274/2020, 2273/2020, 2780/2020, 3371/2020, 3673/2020, 5515/2020, 5892/2020, 240/2021, 856/2021
Measures for the financial support of seasonal employees with the right to compulsory reinstatement (article 32)
1. a) Businesses-employers who have reinstated employees, who were employed in 2019 under an employment agreement in main and non-main hotel and tourist accommodation during the summer tourist season of 2020, in accordance with Article 8 of Greek Law 1346/1983 (Issue Α’ 46 of the Greek Government Gazette), in combination with the terms of the sectoral collective labour agreements in force, have the right from the 1st.6.2020 to the 30th.9.2020 to suspend the employment agreements of a part or of all thepersonnel of their businesses. b) Employees of case a’, whose employment agreements are suspended, are entitled to the special purpose compensation of the thirteenth article of the Legislative Act of the 14th.3.2020 (Issue A’ 64 of the Greek Government Gazette), as ratified by Article 3 of Greek Law 4682/2020 (Issue A’ 76 of the Greek Government Gazette).
2. a) Businesses - employers that have reinstated employees-drivers of tourist buses, who were employed in 2019 with an employment agreement by tourist bus companies, during the summer tourist season of 2020, according to par. 5 of Article 38 of Greek Law 1836/1989 (Issue Α’ 79 of the Greek Government Gazette), in combination with the terms of the collective labour agreements that are in force, have the right from the 1st.6.2020 to the 30th.9.2020 to suspend the employment agreements of a part or of all of the staff of their business. b) Employees of case a’, whose employment agreements are suspended, are entitled to the special purpose compensation of the thirteenth article of the Legislative Act of the 14th.3.2020 (Issue A’ 64 of the Greek Government Gazette), as ratified by Article 3 of Greek Law 4682/2020 (Issue A’ 76 of the Greek Government Gazette).
3. The employment agreements of the employees of businesses-employers of paragraphs 1 and 2, which will not reopen, are suspended and these employees are entitled to the special purpose compensation.
The special purpose compensation is set at the amount of five hundred and thirty-four (534) Euros for each month of suspension of the employment agreement and on the basis of this amount the social security contributions of the employer and the employee are calculated.
4. a) Employers-businesses of paragraphs 1 and 2 are obliged to permanently revoke the suspension of employment agreements of part or all of their employees, based on the percentage of occupancy for the hotel companies and the business bus companies of the company, gradually as follows: i) by completing 20% of the occupancy, final revocation of the suspension of at least 1/3 of the employment agreements of the above employees, ii) by completing 50% of the occupancy, final revocation of the suspension of at least 2/3 of the employment agreements of the above employees, APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 iii) by completing 80% of the occupancy, final revocation of the suspension of all employment agreements of the above employees. b) The employers-businesses of paragraphs 1 and 2 have the right to include to the mechanism "SYN-ERGASIA" the employees, whose suspension of the employment agreements has been permanently revoked. c) The employers-businesses of paragraphs 1 and 2 have the right to apply in combination the cases a’ and b’ until the 30th.9.2020.
5. The special purpose compensation is set at the amount of five hundred and thirty-four (534) Euros for each month of suspension of the employment agreement and on the basis of this amount the social security contributions of the employer and the employee are calculated.
6. Businesses-employers, that make use of the provisions of paragraphs 1 and 2, are obliged not to terminate the employment agreements and, if such termination takes place, it is deemed to be invalid.
7. A Joint Ministerial Decision of the Ministers of Finance and Labour and Social Affairs shall regulate the terms and conditions for the payment of the special purpose compensation, as well as any other relevant details for the implementation of this Article.
Relevant Decisions: Greek Government Gazette Issue B’ 2268/2020, 3472/2020
Relevant Circulars: Circular of Greek Unified Social Security Fund with n. 39/2020
Extraordinary compensation for seasonal employees without the right to compulsory reinstatement (Article 33)
1. Seasonal employees of the tourism and food industry, who are subsidized on the basis of case b’ of par. 2 of Article 4, in combination with par. 9 of Article 6 of e Greek Law 1545/1985 (Issue A’ 91 of the Greek Government Gazette) and were employed during 2019, under full or part-time employment, for whom there is no obligation to be reinstated in accordance with the applicable provisions and who received the regular unemployment benefit, of a duration of three (3) months and five (5) days, during the period from September 2019 until February 2020, are entitled to a monthly allowance equal to the last monthly unemployment benefit they received.
2. The compensation is paid on a monthly basis for the months of June, July and August 2020, provided that the above beneficiaries remain registered in the unemployment registry of the Greek Manpower Employment Organization for the corresponding period.
3. The employer's social security contributions of the employees of par. 1, who have been hired or will be hired until the 30th.9.2020 under part-time employment, are covered by the State Budget for the period from the 1st.6.2020 to the 30th.9.2020.
4. By Joint Ministerial Decisions of the Ministers of Finance and Labour and Social Affairs, the specific terms and conditions are set, as well as any further necessary details for the implementation of this Article.
5. The expenses caused by the application of this Article are covered by the State budget and are subject to the provision of par. 2 of Article 1 of the Presidential Decree 219/1973 (Issue Α’ 200 of the Greek Government Gazette).
6. The extraordinary compensation of par. 1 is exempt from any tax, state fee, contribution or deduction in favor of the State or a third party, including the special solidarity contribution of Article 29 of Greek Law 3986/2011 (Issue Α’ 152 of the Greek Government Gazette), it cannot be seized or offset with confirmed depts. to the State, legal entities APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 under public law, Local Government Organizations, the legal entities of the latter and social security funds and it cannot be seized by credit institutions for debts to them nor is it offset with debts to credit institutions and is not amounted in the total, real or imputed, family income.
Relevant Decisions: Greek Government Gazette Issue B’ 2268/2020, 3472/2020
Relevant Circulars: Circular of Greek Unified Social Security Fund with n. 39/2020
Right of the employees on leave to be included in the employment support mechanism (Article 34)
Employees in businesses-employers, whose operation was suspended by order of a public authority, who had been excluded from the special support mechanism of the thirteenth article of the Legislative Act of the 14th.3.2020 (Issue A’ 64 of the Greek Government Gazette) because they were on legal leave, such as illness leave, maternity leave or six-month special maternity protection benefit, if their leave expired during the suspension of the operation of the business by order of a public authority, they shall become beneficiaries of the special purpose compensation for the period from the 1st.5.2020 to the day of expiration of the suspension of operation of the business. The special purpose compensation is calculated in proportion to the days during which the employment agreement of the above employees is suspended with calculation basis the amount corresponding to thirty (30) calendar days and amounts to five hundred and thirty-four (534) Euros. The procedure followed is the one provided in sub-chapter A1 of the Joint Ministerial Decision under n. 17788/346/2020 (Issue Β’ 1779 of the Greek Government Gazette).
Relevant Circular: MinEmp 29262/948
Reduced working hours for parents as an extraordinary and temporary measure (Article 35)
1. By derogation of the existing provisions of the labour legislation for the working hours, the working parents of the first subparagraph of par. 2 of Article 4 of Greek Law 4682/2020 (Issue A’ 76 of the Greek Government Gazette) may, until the end of the school year 2019-2020, at their request and upon agreement with the employer, work with reduced working hours in their daily contractual working schedule, up to 25%, without a corresponding reduction in their remuneration. In this case, they will work beyond their working schedule on other working days at a time agreed between the parties, for hours corresponding to the aforementioned hours of reduction of their working schedule, without an additional overwork and overtime working remuneration.
2. The facilitation of par. 1 is granted independently or in addition to the special purpose leave of par. 3 of Article 4 of the Legislative Act of the 11th.3.2020 (Issue A’ 55 of the Greek Government Gazette, as ratified by Article 2 of the Greek Law 4682/2020 (Issue A’ 76 of the Greek Government Gazette).
3. By decision of the Minister of Labour and Social Affairs, the specific terms and any further necessary details for the implementation of this Article may be determined.
Transfer of a third country citizens for employment in agricultural work (Article 36)
Third – country citizens who are employed, pursuant to article 42 of the Legislative Act of the 1st.5.2020 (Issue Α’ 90 of the Greek Government Gazette), in the agricultural economy are insured with the Agricultural Social Security Organization with an insurance coupon, in accordance with Article 27 of Greek Law 2639/1998 (Issue Α’ 205 of the Greek Government Gazette) and Article 20 of Greek Law 3863/2010 (Issue Α’ 115 of the Greek Government Gazette). APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Extension of suspension of employment agreements for June and July 2020 (Article 37)
1. Businesses-employers of the private sector that belong to the sectors of tourism, transport, culture and sports and are significantly affected, according to the Activity Code Numbers defined by the Ministry of Finance, may extend the suspension of the employment agreements of their employees which have already been suspended or suspend the employment agreements of part or all of their employees, for a maximum period of up to thirty (30) days per month and in any case not beyond the 31st.7.2020.
2. Businesses-employers of the private sector that belong in the catering sector who are significantly affected, according to the Activity Code Numbers defined by the Ministry of Finance, may extend the suspension of the employment agreements of their employees which have already been suspended or suspend the employment agreements of part or all of their employees, for a maximum period of up to thirty (30) days per month and in any case not beyond the 30th.6.2020.
3. The employees of par. 1 and 2, whose employment agreements are suspended, are entitled to the special purpose compensation of the thirteenth article of the Legislative Act of the 14th.3.2020 (Issue A’ 64 of the Greek Government Gazette), as ratified by the Article 3 of Greek Law 4682/2020 (Issue A’ 76 of the Greek Government Gazette) in proportion to the days of the extension of the suspension of their employment agreements, calculated on the basis of the amount of five hundred and thirty four (534) Euros corresponding to thirty (30) days and with full social security coverage on the basis of their nominal salary.
4. The businesses-employers of par. 1 and 2 for as long as they make use of the aforementioned measures and in any case until the 31st.7.2020 and the 30th 6.2020 respectively, are obliged not to make reductions of their staff by terminating employment agreements and, in case such terminations take place, they are deemed to be invalid.
5. The businesses-employers, who make use of the provisions of par. 1 and 2, are obliged, after the expiration of the period of suspension of the employment agreements of the employees, to keep for the same period of thirty (30) days the same number of employment positions and the same type of employment agreements.
6. By Joint Ministerial Decision of the Ministers of Finance and of Labour and Social Affairs, the more specific terms and conditions for the payment of the special purpose compensation are regulated, as well as any other further necessary details for the implementation of this Article.
Relevant Decisions: Greek Government Gazette Issue B’ 2268/2020, article 124 of Greek Law 4714/2020, 3472/2020, 3770/2020, 3873/2020
Regarding the Legislative Act of the 10th of August 2020 the following provisions require special attention:
Suspension of employment contracts of employees in businesses – employers that are significantly affected for the months August and September 2020 (article 1)
The title and par. 1 of article 124 of the Greek Law 4714/2020 (Greek Government Gazette Issue A 148) are replaced as follows:
«Article 124 Suspension of employment contracts of employees in businesses – employers that are significantly affected for the months of August and September 2020: 1. Businesses-employers of the private sector that belong in the fields of tourism, of seasonal or not operation, air and APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 maritime transportations, land passengers’ transportation, alimentation, culture and sports, as well as of every other field which is significantly affected, as those are defined by the Ministry of Finance, based on Activity Code Numbers, may suspend or extend the suspension of the contracts of their employees, whose have already been suspended, or even suspend for the first time the employment contracts of part or all of the employees who have been hired until the publication of the present, for the months of August and September 2020 for a maximum period of thirty (30) days per month and in any event not exceeding the 30th of September 2020.».
Integration of employees in the “SYN-ERGASIA” mechanism (Article 2)
Case b of par. 2 of article 31 of the Greek Law 4690/2020 (Greek Government Gazette Issue A 104) is replaced as follows:
«b) The mechanism applies to employees who have a full-time employment relationship at the date of publication of the present. Businesses-employers may make use of the provisions hereof for one or more months within the period of validity of the mechanism for all or part of their personnel.».
Regarding the Greek Law 4722/2020 the following provisions require special attention:
Replacement of the employee's absence time from work, due to the restriction of the employee at home in order to prevent the spread of coronavirus COVID-19 (Article 15)
1. Employer, who employs an employee who is restricted for seven (7) or fourteen (14) days, as part of the preventive control measures to limit the spread of coronavirus COVID-19, according to the official guidelines of the National Public Health Organization (EODY), can: a) determine by its decision, that the work provided by this employee, at the provided by the individual contract place of work, will be carried out by the system remote working of case a) of par. 2 of article 4 of the Legislative Act dated 11.3.2020 (A` 55), which was ratified by article 2 of Greek law 4682/2020 (A` 6), or b) if the application of remote working is not possible according to case a), to employ the employee, according to the company’s needs, beyond his contractual daily working hours, by one (1) hour per day, in other working days, from the end of the employee's restriction until the completion of half of the hours corresponding to the working days of staying at home.
The replacement time provided for in the previous subparagraph shall not be considered as overwork or overtime in case of full-time work, neither as additional work in case of part-time work. The employee is not entitled, during the replacement of half of the working hours corresponding to the period of staying at home, to any increase or remuneration for additional work.
In any case, the relevant protective provisions of the labor legislation regarding the employees’ working time limits shall be followed.
2. The employer normally pays all the remuneration and social security contributions during the period that the employee is staying at home.
3. By joint decision of the Ministers of Finance, Employment and Social Affairs and Health any relevant and necessary detail for the implementation of the present may be regulated. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
4. This shall enter into force on September 1st 2020.
Parental leave due to illness of children from coronavirus COVID -19 (article 16)
1. Working parents, in case of COVID-19 coronavirus illness of their children, infants, preschoolers, primary and secondary school students, as well as children attending special schools or special education and training units, regardless of their age limit, and persons with disabilities, who, regardless of their age, are beneficiaries of open care services for persons with disabilities, are entitled to use a special leave for the illness of children for fourteen (14) days or for a longer period of time in case this is deemed necessary with a medical certificate or in case of hospitalization of a child. This leave is granted in addition to other leaves for illness or childcare.
2. Working parents, during the leave of par. 1 due to illness of their children, receive remuneration: two thirds (2/3) from the employer and one third (1/3) from the regular budget, after checking with the data by the Ministries of Finance, Employment and Social Affairs and Interior, the manner of which is defined with a joint decision by the competent Ministers of Finance, Education and Religion, Employment and Social Affairs, Health and Interior. Especially for the employees of the wider public sector and the businesses of Chapter A` of Greek Law 3429/2005 (A` 314), the above leave is fully covered by the employer. By joint decision of the Ministers of Finance, Education and Religions, Employment and Social Affairs and Health, any necessary detail regarding the implementation of the present is determined.
3. The leave of par. 1 is granted regardless of other measures to deal with and limit the spread of coronavirus COVID- 19 in the labor market. No prior service is required for its provision.
4. Employers are obliged to declare to the Digitalised System "ERGANI" of the Ministry of Employment and Social Affairs those employees who make use of the leave of par. 1, as well as its duration.
5. By decision of the Minister of Employment and Social Affairs, any specific term and detail for the application of this may be determined.
Conditions for regular unemployment subsidy for seasonal workers in tourism and alimentation professions (Article 17)
In article 4 of Greek Law 1545/1985 (A` 91) par. 8 is added as follows:
«8. Exceptionally, especially for the year 2020, for the employees in tourism and alimentation professions, which are subject to case b) of par. 2, for the granting of the regular unemployment benefit, fifty working days in the unemployment insurance of Manpower Employment Organization (OAED) are enough, in order for them to receive the regular unemployment subsidy of par. 9 of article 6 of Greek Law 1545/1985 (A` 91).
By joint decision of the Ministers of Finance and of Employment and Social Affairs, the conditions, as well as any other necessary detail for the implementation of the present, may be determined».
Duration of validity of «SYN-ERGASIA» mechanism (article 18)
1. Par. 1 of article 31 of Greek Law 4690/2020 (A’ 104) is replaced as follows: APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
«1. An employment support mechanism is introduced for the period from 15.6.2020 until 31.12.2020 in the form of financial support for short-term work, called «SYN-ERGASIA» in order to maintain full-time jobs in the private sector. "
2. Par. 4 of Article 31 of Greek Law 4690/2020 is replaced as follows:
«4. Eligible to participate in the mechanism «SYN-ERGASIA» are all the businesses in the country, of continuous or seasonal operation, regardless of Activity Code Number (KAD), under the following conditions:
(a) Employers who are required to submit a periodic declaration of VAT shall present a reduction of at least 20% of VAT turnover (code 312 of the VAT periodic declaration) in relation to the reference turnover, depending on the month of entry in the provision and the type of tax books, as follows:
Turnover in reference to which the reduction by at least Month of entry in the provision of par. 2 20% is calculated
June 2020 Turnover sum of March-April 2020
July 2020 Turnover sum of March-April-May 2020
August-September 2020 Turnover sum of March-April-May-June 2020
October-December 2020 Gross income sum of May-June-July-August 2020
The reference turnover, regarding the businesses subject to periodic VAT declaration, is defined as follows: i) As for the businesses that keep double-entry books:
Month of entry in the provision of par. 2 Reference turnover
Turnover sum of March-April 2019. In case the turnover of one of the two (2) months is not positive, the total turnover of 2019, June 2020 divided by six (6) is calculated. In case the turnover of 2019 is not positive, the turnover of February 2020 is calculated, multiplied by two (2).
Turnover sum of March-April-May 2019. In case the turnover of one of the three (3) months is not positive, the total turnover July 2020 of 2019, divided by four (4) is calculated. In case the turnover of 2019 is not positive, the turnover of February 2020 is calculated, multiplied by three (3).
Turnover sum of March-April-May-June 2019. In case the August-September 2020 turnover of one of the four (4) months is not positive, the total turnover of 2019, divided by three (3) is calculated. In case the APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Month of entry in the provision of par. 2 Reference turnover turnover of 2019 is not positive, the turnover of February 2020 is calculated, multiplied by four (4).
Turnover sum of March-April-May-June-July-August 2019. In case the turnover of one of the six (6) months is not positive, October-December 2020 the total turnover of 2019, divided by trwo (2) is calculated. In case the turnover of 2019 is not positive, the turnover of February 2020 is calculated, multiplied by six (6).
ii) As for the businesses that keep single-entry books:
Month of entry in the provision of par. 2 Reference turnover
Sum of turnover of the first and second trimester of 2019, divided by three {3). In case the turnover of one of the two trimesters is not positive, the total turnover of 2019, divided by June 2020 six (6) is calculated. In case the turnover of 2019 is not positive, the turnover of the first trimester of 2020 is calculated, multiplied by two thirds (2/3).
Sum of turnover of the first trimester of 2019, multiplied by one third (1/3) and the second trimester multiplied by two thirds (2/3). In case the turnover of one of the two trimesters is not July 2020 positive, the total turnover of 2019, divided by four (4) is calculated. In case the turnover of 2019 is not positive, the turnover of the first trimester of 2020 is calculated.
Sum of turnover of the first trimester of 2019, multiplied by one third (1/3) and the second trimester of 2019. In case the turnover of one of the two trimesters is not positive, the total August-September 2020 turnover of 2019, divided by three (3) is calculated. In case the turnover of 2019 is not positive, the turnover of the first trimester of 2020 is calculated multiplied by four thirds (4/3).
Sum of turnover of the first trimester of 2019, multiplied by one third (1/3) and the second trimester of 2019 and the third trimester of 2019, divided by two (2). In case the turnover of October-December 2020 one of the three trimesters is not positive, the total turnover of 2019, divided by two (2) is calculated. In case the turnover of 2019 is not positive, the turnover of the first trimester of 2020 is calculated multiplied by two (2). APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Regardless of the month of entry, they are entitled to participate the businesses that keep double-entry books, in case of zero turnover in the year 2019 and February 2020, and the businesses that keep single-entry books, in case of zero turnover in the year 2019 and the first trimester of 2020. b) Employers, who are not required to submit a VAT declaration or are exempt from VAT, must present a reduction of at least 20% in gross income (code 047 of declaration E3), in relation to the reference gross income, depending on the month of entry, as follows:
Gross Income in reference to which the reduction by at least Month of entry in the provision of par. 2 20% is calculated
June 2020 Gross Income sum of March-April 2020
July 2020 Gross Income sum of March-April-May 2020
August-September 2020 Gross Income sum of March-April-May-June 2020
October-December 2020 Gross Income sum of March-April-May-June-July August 2020
The reference turnover for the businesse which are subject in periodic VAT declaration, is defined as follows:
Month of entry in the provision of par. 2 Reference Gross Income
Gross income sum 2019, divided by six (6). In case of not- positive gross income in 2019, the business is eligible for June 2020 participation.
Gross income sum 2019, divided by four (4). In case of not- July 2020 positive gross income in 2019, the business is eligible for participation.
Gross income sum 2019, divided by three (3). In case of not- August-September 2020 positive gross income in 2019, the business is eligible for participation.
Gross income sum 2019, divided by two (2). In case of not- October-December 2020 positive gross income in 2019, the business is eligible for participation.
Relevant Legislation: Greek Government Gazette Issue B 856/2021 APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Suspension of employment agreements of employees in businesses – employers significantly affected for the month October ( Article 19)
1. Businesses-employers of the private sector that belong in the fields of tourism, of seasonal or not operation, air and maritime transportations, land passengers’ transportation, alimentation, culture and sports, as well as of every other field which is significantly affected, as those are defined by the Ministry of Finance, based on Activity Code Numbers, may suspend or extend the suspension of the contracts of their employees, whose have already been suspended, or even suspend for the first time the employment contracts of part or all of the employees who have been hired until the publication of the present, for the months October 2020 for a maximum period of thirty (30) days per month and in any event not exceeding the 31st of October 2020.
2. The employees of par. 1, whose employment agreements are suspended, are entitled to the special purpose compensation of the article 13 of the Legislative Content Act of 14.3.2020 (A΄64), which was ratified by article 3 of Greek Law 4682/2020 (A’ 76), in proportion to the days of suspension of employment agreements based on the calculation of the amount of five hundred and thirty four (534.00) euros corresponding to thirty (30) days. They are provided with full insurance coverage on their nominal salary.
3. The compensation of par. 2 is tax-free, non – assignable and not eligible for seizure in the hands of the State or third parties, by derogation of any general and special provision, is not subject to any reservation, fee or contribution, including the special solidarity contribution of article 43 A of Greek Law 4172/2013 (A 167), is not committed and is not set off with certified debts to the tax administration and the State in general, the municipalities, the regions, the insurance funds or the credit institutions.
4. The cost for the special purpose compensation, as well as for the total social security contributions, in proportion to the period of suspension, is covered by the State Budget.
5. Employment agreements of employees in businesses-employers of par. 1, which were suspended before the publication of this and their suspension has been permanently revoked, may be suspended again and in any event not beyond 31 October 2020.
6. The businesses-employers of par. 1, for as long as they use the above measures and in any case until October 31, 2020, are obliged not to reduce their personnel by termination of employment agreements and in case it happens, the termination is invalid.
7. Businesses-employers, who make use of the measures of par. 1, are obliged, after the expiration of the period of suspension of the employment contracts of these employees, to maintain for a period of thirty (30) days the same number of jobs and with the same kind of employment agreement.
8. By joint decision of the Ministers of Finance and of Employment and Social Affairs, the particular terms and conditions for the payment of the special purpose compensation are regulated and the Code Activity Numbers of businesses that are affected are specified. By a similar decision, fields may be added or removed from the scope of the present, its validity may be extended and any other specific issue necessary for its implementation may be regulated.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Measures to support professions of art and culture, tour guides and tour escorts (Article 20)
1. The following employees are entitled to the special purpose compensation of the thirteenth article of the 14.3.2020 Decree Law (A` 64), as ratified by article 3 of law 4682/2020 (A` 76) during the time period of 1.9 .2020 to 31.10.2020:
a) Artists, creators and professionals of art and culture, who are registered until the 15th of October 2020 in the special electronic platform artandcultureprofessionals.services.gov.gr in the Information System ERGANI of the Ministry of Labor and Social Affairs. b) The persons who are engaged in the tour guide profession and are obliged to pay contributions to the Greek Unified Social Security Fund (e-EFKA).
c) The tourist escorts, as well as the persons who graduated in 2019 from the two-year school of tour guides and have a tour ID.
2. The persons of par. 1 are entitled to special purpose compensation amounting to five hundred thirty four (534.00) euros per month, on which amount full insurance coverage is provided, if they do not have an employment agreement with another employer or do not receive a regular unemployment benefit by the Manpower Employment Organization.
3. The compensation of par. 2 is tax-free, unassignable and unseizable by the State or third parties, notwithstanding any general and special provision, is not subject to any withholding, fee or contribution, including the special solidarity contribution of article 43. A of Law 4172/2013 (A` 167), may not be committed and offset with certified debts by the tax authorities and the State in general, the municipalities, the regions, the insurance funds or the credit institutions.
4. a) For the payment of the special purpose compensation, the persons of par. 1 must submit a solemn declaration of law 1599/1986 (A` 75) on the electronic platform of the special mechanism for the support of employees (supportemployees.services.gov.gr), without requiring an employer’s solemn declaration.
b) For the submitted rsolemn declarations a cross check is carried out: i. with the data of the special electronic platform artandcultureprofessionals.services.gov.gr in the case of artists, creators and professionals of art and culture,
ii. with the data of e-EFKA for the case of tour guides,
iii. with the data of the records of the beneficiaries of the special purpose compensation of no. ec.16073 / 287 / 22.4.2020 of joint ministerial decision (Β` 1547).
5. The expense for the special purpose compensation and the total of the insurance contributions of the persons of par. 1 are covered by the state budget.
6. By joint decision of the Minister of Finance and the Minister of Labor and Social Affairs are regulated the terms and conditions of inclusion in the above categories of beneficiaries, the manner of submission of the solemn declaration of the beneficiaries, as well as the manner and conditions of payment of special purpose compensation and provide any extension of the measure, as well as any other details necessary for the implementation of the present document. By decision of the Minister of Labor and Social Affairs, any more specific issues concerning the competence of the Ministry of Labor and Social Affairs for the implementation of the present may be specified.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Deposit of special purpose compensation to suspended employees and seasonal workers (Article 21)
1. At the end of case e) of article eight of the Legislative Act of 22.8.2020 (A` 161), the following paragraphs are added:
"The above employees are entitled to special purpose compensation of the thirteenth article of the Legislative Content Act of 14.3.2020 (A` 64), which was ratified by article 3 of Law 4682/2020 (A` 76). The special purpose compensation is calculated in proportion to the days during which the employment agreement of the above employees is suspended based on the calculation of the amount corresponding to thirty (30) calendar days and amounts to the amount of five hundred and thirty four (534.00) euros. For the days during which n the employment agreement is suspended, full insurance coverage is provided added on the nominal salary of the above employees. The cost, including all insurance contributions, is covered by the regular Budget. The compensation of the present is tax-free, unassignable and unseizable by the State or third parties, notwhithstanding any general and special provision, is not subject to any withholding, fee or contribution, including the special solidarity contribution of article 43 A of law 4172 / 2013 (A` 167), may not be committed and offset with certified debts by the tax authorities and the State in general, municipalities, regions, insurance funds or credit institutions.
The procedure followed is the one provided in subchapter A1 of no. 17788/346/2020 of the joint ministerial decision (B` 1779). "
2. The special purpose compensations, due to the suspension of the employment contracts, of articles 32, 34 and 37 of law 4690/2020 (A` 104), of the eighth article of the Legislative Content Act of 22.8.2020 (A` 161), of Articles 123 and 124 of Law 4714/2020 (A` 148), as well as insurance contributions, at the request of the Electronic National Social Security Agency (e-EFKA), are covered by the regular budget of the Ministry of Labor and Social Affairs.
3. Paragraph 3 of Article 32 of Law 4690/2020 is replaced after it has been in force as follows:
“3. The employees of the companies-employers of par. 1 and 2 which will not reopen for the whole period from 1.6.2020 to 30.9.2020 or part of it are entitled to the special purpose compensation of par. 5.”
4. At the end of par. 5 of article 32 of law 4690/2020, the following paragraphs are added:
"The Ministry of Labor and Social Affairs undertakes the payment of all insurance contributions (insured and employer) calculated on the amount of five hundred thirty four (534.00) euros for twenty-five (25) insurance salaries and with the same coverage package as they had insured in the previous pay period. For a shorter period, a proportion of the special purpose compensation of five hundred and thirty four (534.00) euros is paid with a corresponding insurance coverage.
A Detailed Periodic Statement (DPS) is produced based on the Information Systems and archives of the Ministry of Labor and Social Affairs, the e-EFKA, the Labor Employment Organization (OAED) and other co-competent bodies.
The DPS for the period from 1 June 2020 to 20 September 2020 is submitted as independent until 31.12.2020, final date of deposit and the corresponding insurance contributions, without calculation of interest and other surcharges due to overdue payment.
After October 1, 2020, the above beneficiaries of the special purpose compensation are considered to have been dismissed automatically, without any other action of termination of the agreement and the Ministry of Labor and Social Affairs sends a relevant file to OAED. for the beneficiaries of the seasonal unemployment benefit. "
Relevant Legislation: Issue B’ of the Greek Government Gazette 4750/2020 APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Granting of the Christmas holiday allowance 2020 (Article 22)
1. (a) Employers whose business activities have been suspended by order of a public authority, as well as employers belonging to sectors which are materially affected by the adverse effects of the COVID-19 coronavirus pandemic, shall pay the holiday Christmas allowance at the time specified in no. 19040 / 7.12.1981 joint ministerial decision (B '742). b) In the case that the employment agreement of the employees occupied by the above companies-employers is suspended and the duration of the employment relationship, excluding the suspension periods, does not cover the entire period from 1 May to 31 December of the current year, the Christmas holiday allowance is paid reduced, taking into account for its calculation, according to par. 3a of article 1 of no. 19040 / 7.12.1981 of joint ministerial decision, the duration of the employment agreement until its suspension. c) In case that the employment agreement of the employees occupied by the above companies-employers is suspended, the amount of the Christmas holiday allowance corresponding to the period of suspension of the employment contract is paid from the state budget. The 2020 Christmas allowance is calculated on the amount of the special purpose allowance.
Regarding the rest, the no. 19040 / 7.12.1981 joint ministerial decision applies.
2. The employees, whose employment agreement is suspended according to article 32 of law 4690/2020 (A '104), are entitled to the amount from the Christmas holiday allowance, which corresponds to the period during which they receive the foreseen special purpose compensation and is paid from the state budget. The 2020 Christmas allowance is calculated on the amount of the special purpose allowance. Regarding the rest, the no. 19040 / 7.12.1981 joint ministerial decision applies.
3. By the joint decision taken by the Minister of Finance and the Minister of Labor and Social Affairs, the procedure and the manner of payment of the Christmas holiday allowance 2020 may be determined, as well as any other necessary details for the implementation of this.
RELEVANT DECISIONS: Greek Government Gazette Issue B’ 5515/2020, 172/2021
Extension of validity of provisions in order to deal with extraordinary needs due to coronavirus COVID-19 (Article 23)
The validity of article fifteen of the Legislative Act of 14.3.2020 (A '64), which was ratified by article 3 of Greek Law 4682/2020 (A' 76), is extended until 31.12.2020. Overtime working pursuant to the preceding subparagraph may not exceed the maximum daily and weekly working hour limits provided for in the relevant provisions.
Initiation and completion of the process of setting the statutory salary and the statutory daily wage (Article 24)
Par. 9 of article 103 of Greek Law 4172/2013 (A '167) is replaced as follows:
«9. Due to the extraordinary and necessary measures to limit the spread of the COVID-19 coronavirus pandemic, the time-limits of par. 5 and case a’ of par. 7 are defined as follows: a) The sending of a written invitation by the Consultation Coordination Committee, according to subpar. aa’ of case b' of par. 5, takes place within the last ten days of November 2020. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 b) The drafting and submission of the report of sub-case aa’ of case b' of par. 5 take place no later than December 31 2020. c) The transmission of the memorandum and the documentation of each of those participating in the consultation by the Consultation Coordination Committee to the other representatives of the social partners, with an invitation for oral consultation, pursuant to sub-case cc’ of case b’ of par. 5, takes place no later than January 15th, 2021. d) The transmission of all the memoranda and the documentation of the consultants, as well as the report of the specialized scientific and research bodies to the Center for Planning and Economic Research (KEPE) for the preparation of a Plan
Conclusion of the Consultation, according to subparag. dd of case b of par. 5, takes place no later than January 31, 2021. e) The Draft Consultation Finding is completed, according to subpar. ee 'of case b' of par. 5, no later than February 28, 2021.
f) The recommendation of the Minister of Labor and Social Affairs to the Council of Ministers, for the determination of the minimum salary of the employees and the minimum wage of the craftsmen, according to case a 'of par. 7, takes place within the last fortnight of March 2021 .
g) Regarding the rest, paragraphs 1 to 7 shall apply. "
Extension of term of office of the administrative bodies of the labour unions of employees and employers (Article 25)
The term of office of the administrative bodies of the labour unions of par. 1 of article 9 of Greek Law 1264/1982 (A` 79), as well as of the employers' unions, which has been extended by article 28 of Greek Law 4690/2020 (A` 104) until 30.9.2020, is extended until 31.12.2020.
Regarding the Greek Law 4727/2020, the following provisions require special attention:
Measures of immediate implementation in the Attica region fort he organization of time and place of work with a view to decongest public transportation and workplaces (Article 235)
In order to prevent and limit the spread of the coronavirus COVID-19 in the Attica region, the following measures to organize the place and time of work apply:
(a) a system of distance working, taking advantage of all the available technological possibilities and digital applications, at a rate of 40% of the total number of employees who can work with this system.
More specifically, the employer is obliged to announce within 24 hours from the publication of the present law the staff that will be employed remotely by completing and submitting the relevant form to the Information System "ERGANI". Any breach by the employer of this obligation, gives rise to a fine, amounting to 3,000 euros, which is imposed following check from the Labor Inspection Body of the Ministry of Labor and Social Affairs. b) starting and ending working hours shall be adjusted in a way that the employees come and leave per half-hour and within two hours in relation to the start and end respectively of their working hours. During the implementation period hereof, the obligation of the employer to register in the “ERGANI” Information System of the Ministry of Labor and APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Social Affairs every change or amendment of the working hours or the organisation of employees’ working time shall be suspended. In any event, the protective provisions of the presidential decree 88/1999 (A’ 94), as well as the employer’s obligation to announce the additional work and the lawful overtime work before their implementation in the “ERGANI” Information System of the Ministry of Labor and Social Affairs continue to apply. c) the aforementioned measures apply within Attica region from the publication of the law in the Government Gazette until October 4th, 2020.
RELEVANT LEGISLATION: Issue B' No 4316/2020 of Greek Government Gazette, 4830/2020, 5245/2020, 292/2021, 756/2021, Circular Min. Empl. 10221/239/04.03.2021, 1255/2021
Regarding the Greek Law 4738/2020, the following provisions require special attention:
Employment support mechanism “SYN-ERGASIA” – Amendment of par. 3 art. 31 Greek Law 4690/2020 and par. 2 art. 123 law 4714/2020 (Article 283)
1. The fourth subparagraph of case c par. 3 art. 31 Greek Law 4690/2020 (Α΄ 104) is being amended as follows: «From 1.7.2020 until 31.12.2020 the total amount of the social security contributions corresponding to the time of non – employment is granted by the state budget at a rate of 100%».
2. Par. 2 art. 123 Greek Law 4714/2020 (Α΄ 148) is being amended as follows: «2. By way of exception to case c par. 3 art. 31 Greek Law 4690/2020 (Α΄ 104), the total amount of the employer’s social security contributions, as regards the employers mentioned in par. 1 that are included in the employment support mechanism “SYN-ERGASIA”, is granted by the state budget from 1.7.2020 until 31.12.2020.»
3. Par. 1 and 2 are in force as from 16.10.2020.
Urgent support measures for employees employed by companies in Regional Units that are in epidemiological level «extremely high» (article 284)
1. The employment agreements of employees employed by companies, which have its registered seat or branch in a Regional Unit that is in epidemiological level «extremely high», so as to restrict the spread of COVID-19, pursuant to the Joint Ministerial Decision with No Δ1α/Γ.Π. οικ. 64450/11.10.2020 (Β΄ 4484), are being suspended in cases that the operation of the company or the branch is suspended by an order of the public authority, based on the Activity Code Number of the main or the secondary business activity, which has the highest turnover in the year 2018.
2. The employment agreements of employees employed by companies, which have its registered seat or branch in a Regional Unit that is in epidemiological level «extremely high», so as to restrict the spread of COVID-19, pursuant to the Joint Ministerial Decision with No Δ1α/Γ.Π. οικ. 64450/11.10.2020 (Β΄ 4484), which or the branches of which are being seriously affected based on the Activity Code Number of the main or the secondary business activity which has the highest turnover in the year 2018, may be suspended, regarding all or part of the employees, for the time period that the Regional Unit is in epidemiological level «extremely high» but not less than fourteen (14) days.
3. The employees, whose employment agreements have been suspended, are entitled to compensation of special purpose, corresponding to the time period mentioned above, which is equal to fourteen (14) days at least and calculated based on the amount of five hundred thirty four euros (534.00 €), which corresponds to thirty (30) days. APR 27TH 2021
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4. The compensation of special purpose is tax-free, and cannot be assigned to or seized by the State or any third party, by way of derogation to any general or special provision, and is exempt from any deduction, fee or contribution, and cannot be seized or offset with any confirmed, by the Tax Authorities, the State, in general, the municipalities, the regions, the social security funds and the credit institutions, debts.
5. In order for the compensation of special purpose to be paid, the suspensions of employment agreements are being declared to the digital system “ERGANI”.
6. During the suspension period, the social security contributions are being covered by the state budget, calculated based on the employees’ nominal salary.
7. The employers of par. 1 and 2 are obliged to refrain from reducing their personnel via dismissals during the suspension period. In case of such a dismissal, the latter is null and void.
8. The employers of par. 2: a) are obliged to retain the same number of employees, after the end of the suspension, for a time period equal to the suspension period of those employees, b) may include in the employment mechanism “SYN-ERGASIA” of art. 31 Greekl Law 4690/2020 (Α΄ 104) the employees, whose employment agreements are not being suspended, c) are obliged to impose a teleworking system on their employees, who may provide work via this system, at a rate of forty (40%) percent of the total number of those employees (i.e who may provide work via this system), d) are obliged to declare to the digital system “ERGANI” of the Ministry of Employment before the provision of work, the provision of telework of the forty (40%) percent of the employees, who may provide work via the teleworking system, in order to comply with the aforementioned under c, for the time period that the regional unit, in which the company has its regional seat or branch, is in epidemiological level “extremely high” by completing the Document 4.1 «DECLARATION OF TELEWORKING – DOCUMENT OF SPECIAL PURPOSE» pursuant to par. 2 art. 4 of the Legislative Act dated 11.3.2020 (Α΄ 55), which has been ratified by art. 2 Greek Law 4682/2020 (Α΄ 76), e) in case of breach of the aforementioned under d, a fine will be imposed amounting to three thousand (3.000) euros on the company-employer, following an audit by the Labor Inspection of the Ministry of Employment.
9. The regional units, the duration of the measures, an extension, the Activity Code Numbers of the employers, the operation of which is either being forbidden or seriously affected, the granting process of the compensation of special purpose, as well as any other necessary for the implementation of the present matter are defined by a joint decision of the Ministers of Finance and Employment.
Urgent support measures for employees employed by companies in Regional Units that are in epidemiological level «high», «moderate», «low» (article 285)
1. The employment agreements of employees employed by companies, which have its registered seat or branch in a Regional Unit that is in epidemiological level «high», «moderate» or «low», so as to restrict the spread of COVID-19, pursuant to the Joint Ministerial Decision with No Δ1α/Γ.Π. οικ. 64450/11.10.2020 (Β΄ 4484), may be suspended, as regards all or part of the employees, for the time period that the Regional Unit is included in epidemiological level of the present based on Activity Code Number. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
2. The companies-employers may include in the employment mechanism “SYN-ERGASIA” of art. 31 law 4690/2020 (Α΄ 104) the employees, whose employment agreements are not being suspended.
3.a) In cases of companies-employers in Regional Units that are in epidemiological level “high”, a teleworking system on employees, who may provide work via this system is obligatorily being imposed at a rate of forty (40%) percent of the total number of those employees (i.e who may provide work via this system). b) In cases of companies-employers in Regional Units that are in epidemiological level “moderate”, a teleworking system on employees, who may provide work via this system is obligatorily being imposed at a rate of twenty (20%) percent of the total number of those employees (i.e who may provide work via this system), c) In cases of companies-employers in Regional Units that are in epidemiological level “low”, a teleworking system may be imposed based on the current legislation.
4. In order to comply with the aforementioned under a΄ and b΄ par. 3, the companies – employers shall declare to the digital system “ERGANI” of the Ministry of Employment before the provision of work, the provision of telework of the employees, who may provide work via the teleworking system, for the time period that the regional unit, in which the company has its regional seat or branch, is in epidemiological level «high» or «moderate», by completing the Document 4.1 «DECLARATION OF TELEWORKING – DOCUMENT OF SPECIAL PURPOSE» pursuant to par. 2 art. 4 of the Legislative Act dated 11.3.2020 (Α΄ 55), which has been ratified by art. 2 law 4682/2020 (Α΄ 76).
5. In case of breach of the aforementioned under par. 4, a fine will be imposed amounting to three thousand (3.000) euros on the company-employer, following an audit by the Labor Inspection of the Ministry of Employment.
Regarding the Greek Law 4756/2020 the following provision require special attention:
Suspension of employment agreements of employees working in businesses-employers for November 2020 (Article 68)
1. Businesses-employers of the private sector whose operation is suspended upon public order, based on the Activity Code Numbers determined by the Ministry of Finance, shall suspend the contracts of their employees who have been recruited until November 4th 2020 or extend the suspension of the contracts of their employees that have already been suspended, regarding November 2020 starting from the date of the entry into force of the suspension of their operation, as per each district, and up until November 30th 202, subject to article 7 of the Legislative Act dated 30.3.2020 (Α΄ 75), ratified by article 1 of Greek Law 4684/2020 (Α΄ 86), whose force has been extended by par. 4, article 18 of greek Law 4725/2020 (Α΄ 186) and all relevant ministerial decisions that were issued based on that.
2. Businesses-employers of the private sector that belong in the fields which are significantly affected, as those are defined by the Ministry of Finance, based on Activity Code Numbers, may suspend or extend the suspension of the contracts of their employees, whose have already been suspended, or even suspend for the first time the employment contracts of part or all of the employees who have been hired until November 4th 2020, regarding November 2020, not exceeding thrity (30) days, as per each district, and in any event, not exceeding November 30th 2020.
3. The employees of par. 1 and 2, whose employment agreements are suspended in November 2020, are entitled to the special purpose compensation of the article 13 of the Legislative Content Act of 14.3.2020 (A΄64), which was ratified by article 3 of Greek Law 4682/2020 (A’ 76), in proportion to the days of suspension of employment agreements based on the calculation of the amount of eight hundred (800.00) euros corresponding to thirty (30) days. They are provided with full insurance coverage on their nominal salary. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
4. The compensation of par. 3 is tax-free, non – assignable and not eligible for seizure in the hands of the State or third parties, by derogation of any general and special provision, is not subject to any reservation, fee or contribution, including the special solidarity contribution of article 43 A of Greek Law 4172/2013 (A 167), is not committed and is not set off with certified debts to the tax administration and the State in general, the municipalities, the regions, the insurance funds or the credit institutions.
5. The cost for the special purpose compensation, as well as for the total social security contributions, in proportion to the period of suspension, is covered by the State Budget.
6. a) The businesses-employers of par. 1 and 2, for as long as they use the above measures and in any case until November 31st, 2020, are obliged not to reduce their personnel by termination of employment agreements and in case it happens, the termination is invalid. b) The businesses-employers of par. 2: i) are obliged, after the period of suspension of employment agreements, to keep the same number of employees and of the same type of employment agreements, for a time period equal to the time period of suspension of employment agreements of such employees. ii) may use “SYN-ERGASIA” mechanism of article 31 of Greek Law 4690/2020 (Α΄ 104) for the employees whose employment agreements have not been suspended. c) The businesses-employers of par. 2, as well as those of par. 1 in cases of activities that do not fall under the scope of suspension of their operation, based on Activity Code Numbers, may decide that their employees have to work remotely provided that their employment agreements have not been suspended and that their type of work can be provided remotely.
7. By decision of the Minister of Employment and Social Affairs, the particular terms and details of the present may be regulated.
8. By joint decision of the Ministers of Finance and of Employment and Social Affairs, the particular details regarding different districts, sectors and Code Activity Numbers of businesses whose operation is suspended upon public order or that are significantly affected the terms may be regulated, the conditions of provision and the amount of special purpose compensation may be regulated, the force of the present may be extended and any other detail regarding the implementation of the present may be provided.
9. By joint decision of the Ministers of Finance and of Employment and Social Affairs, the issues regarding employees in businesses that belong in special categories of employment may be regulated in order for them to be eligible to receive special purpose compensation. Also, by the aforementioned decision, the terms of provision, the amount, the procedure of payment and any other detail may be regulated.
10. The present enters into force on November 1st 2020.
Relevant: Greek Government Gazette Issue B’ 5246/2020, 5391/2020 , 234/2021, 345/2021, 607/2021, Circular Min. Empl. 3541/80/26.1.2021, Greek Law 4778/2021 ar. 31, Greek Government Gazette Issue B’ 821/2021, 822/2021, 1067/2021
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Transfer of the annual leave of 2020, regarding employees with suspended employment agreements (Article 69)
1.Businesses with employees whose employment agreements are suspended since March 2020 and continue to be suspended, either with intervals or not until December 31st 2020, may, by derogation of any other relevant legislative provision on annual leave, transfer the total or part of their days of annual leave not taken of 2020, until June 30th 2021.
2. Subject to par. 1, any other legislative provision regarding the annual leave and the annual leave benefit applies.
Relevant: Min. Empl. Circular no. 49500/1498
Regarding the Greek Law 4764/2020, the following provisions require special attention:
Procedure for determining statutory monthly and daily wage for 2021 – Amendment of par. 9, article 103, Greek Law 4172/2013 (Article 110)
Par. 9 of article 101 of Greek Law 4172/2013 (Α΄167) is replaced as follows:
«9. Due to the extraordinary and necessary measures to limit the spread of the COVID-19 coronavirus pandemic, the process of the present for 2021 is shaped as follows: a) The sending of a written invitation by the Consultation Coordination Committee, according to subpar. aa’ of case b' of par. 5, takes place within the last ten days of March 2021. b) The drafting and submission of the report of sub-case aa’ of case b' of par. 5 take place no later than April 31st 2020. c) The transmission of the memorandum and the documentation of each of those participating in the consultation by the Consultation Coordination Committee to the other representatives of the social partners, with an invitation for oral consultation, pursuant to sub-case cc’ of case b’ of par. 5, takes place no later than May 15th, 2021. d) The transmission of all the memoranda and the documentation of the consultants, as well as the report of the specialized scientific and research bodies to the Center for Planning and Economic Research (KEPE) for the preparation of a Plan regarding the Findings of Consultations, according to subparag. dd of case b of par. 5, takes place no later than May 31, 2021. e) The draft of Plan regarding the Findings of Consultations is completed, according to subpar. ee 'of case b' of par. 5, no later than June 30th, 2021.
f) The recommendation of the Minister of Employment and Social Affairs to the Council of Ministers, for the determination of the statutory monthly wage of white-collar employees and the statutory daily wage of blue-collar employees according to case a 'of par. 7, takes place within the last fifteen days of July 2021 .
g) As to the rest, paragraphs 1 to 7 shall apply.”.
Extension of “SYN-ERGASIA” mechanism (article 112)
Article 31 of Greek Law 4690/2020 (A’ 104) is amended as follows: 1. Par. 1 is replaced as follows: APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
«1. For the period from 15.6.202020 to 28.2.2021, an employment support mechanism in the form of financial support for short-term employment, called "SYN-ERGASIA", is established, in order to maintain full-time employment positions in the private sector.»
2. In the end of case a΄ of par. 3, two subparagraphs ar added and case a΄ is shaped as follows: «3. α) The employees of the businesses-employers that are part of the mechanism shall be paid a financial allowance for short-term employment of 60% of their net earnings, which corresponds to the time during which they have not provided work The social security contributions, corresponding to the amount of the financial allowance, are not covered by the mechanism. In the event that the net earnings, after the aforementioned adjustment, fall short of the net legal minimum wage or daily wage, the difference is reimbursed by the State Budget. The nominal salary taken into account for the calculation of financial allowance for short-term employment shall not exceed the maximum limit of the earnings subject to social security contributions of article 38 of Greek Law 4387/2016 (Α’ 104). Any money that exceeds the aforementioned earnings paid starting from the publication of the present and onwards, are sought in accordance with the procedure provided by article 2 of Joint Ministerial Decision no. 23103/478/13.6.2020 (Greek Government Gazette Issue Β΄ 2274).».
3. In the second subparagraph of case b’ of par. 3, article 31, the words “Easter Allowance 2021” are added and the subparagraph is shaped as follows: «Within the framework of this mechanism, a proportion of the annual leave allowance, the Christmas allowance for 2020 and the Easter Allowance for 2021, shall be paid, calculated on the basis of the financial support for short-term employment, which amounts to 60% of the reduced remuneration of the employees, as defined in the current legislation.
4. In the second subparagraph of case c’ of par. 3, article 31, following the words “Christmas allowance for 2020” the words «and Easter Allowance for 2021» are added, as follows: « The provisions in this case also apply to the annual leave allowance, as well as to the Christmas allowance for 2020 and the Easter Allowance for 2021».
5. In the fourth subparagraph of case c’, par. 3, article 31, the date «31.12.2020» is replaced with the date «28.2.2021» and the subparagraph is shaped as follows: «For the time period from 1.7.2020 until 28.2.2021, all social security contribution corresponding to the time that the empoyees are not working is paid in a 100% rate by the State Budget.».
6. a) In the third subparagraph of case c’, par. 5, article 31, the date «31.12.2020» is replaced with the date «28.2.2021» and the subparagraph is shaped as follows: «For the time period from 1.7.2020 until 28.2.2021, all social security contribution corresponding to the time that the empoyees are not working is paid in a 100% rate by the State Budget.». b) In the fourth subparagraph of case c of par. 5, article 31 tha date «31.12.2020» is replaced with the date «28.2.2021» and the subparagraph is shaped as follows: Exceptionally, for these businesses, the period during which the mechanism will be in force extends until the 28st.2.2021. Businesses have the right to participate from the 16th.10.2020 to the 28st.2.2021, provided that they had the right to participate in the mechanism at any time during the previous period.».
RELEVANT: Greek Government Gazette Issue B’ 5515/2020
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Extension of social security for indirecty secured individuals (Article 113)
Par. 1, article 20 of the Legislative Act dated 14.3.2020 (Α΄ 64), which was ratified with article 3 of Greek Law 4682/2020 (Α΄ 76), as amended by article 30 of Greek Law 4722/2020 (Α’ 177) is replaced as follows:
«1. The individuals that are socially secured indirectly until 31.12.2020, remain in that position until the completion of the cross examination of their details by the Aurthority of Public Revenue and, in any event, not exceeding 28.2.2021, provided that the respective directly socially secured individuals, are still socially secured».
Prerequisities for regular unemployment subsidy for seasonal employees in the fields of tourism, nutrition and other seasonal occupations. (Article 116)
Par. 8, article 4, Greek Law 1545/1985 (Α’ 91) is replaced as follows:
«8. As an exception and only for 2020, for seasonal employees in the fields of tourism, nutrition and other seasonal occupations, who fall under the scope of case b’, par. 2, regarding provision of regular unemployment subsidy, fifty (50) days of work in the unemployment sector of Manpower Employment Organization (OAED), are enough, in order to receive the regular unemployment subsidy of par. 9 of article 6. For the above employees whose employment contract was terminated within 2020 and have not yet been announced for regular unemployment subsidy in the Services of Manpower Employment Organization (OAED), the time - limit of par. 1 of article 27 of Greek Law 2961/1954 ( A'197), starts from the entry into force of the present.
By joint decision of the Ministers of Finance and of Employment and Social Affairs, the terms and conditions may be determined, as well as any other necessary details, for the application of this. ".
Sanctions for an employer receiving an amount of special purpose compensation from an employee (Article 117)
The employer who claims and receives from an employee part or the whole amount of the special purpose compensation of article 13 of the Legislative Act dated 14.3.2020 (A’ 64), which was ratified by article 3 of Greek Law 4682/2020 (A’ 76), of which the employee is a beneficiary, according to the relevant provisions, is prosecuted on appeal and punished with imprisonment of at least six (6) months and a fine of three hundred and sixty (360) daily units, the amount of each of of which (daily units) can not be less than fourteen (14) Euros.
Measures for support of the art and culture professionals (Article 121)
1. Artists, creators and professionals of art and culture, who are registered from 13.5.2020 until 10.01.2021 in the special electronic platform artandcultureprofessionals.services.gov.gr in the Digitalised System “ERGANI” of the Ministry of Employment and Social Affairs are beneficiaries of the special purpose compensation of article 13 of the Legislative Act dated 14.3.2020 (A΄ 64), which was ratified by article 3 of Law 4682/2020 (A '76), for November and December 2020.
2. The individuals of par. 1 are entitled to special purpose compensation amounting to five hundred thirty four (534.00) euros per month, on which amount full social security coverage is provided, if they do not have an employment agreement with an employer or do not receive a regular unemployment benefit from the Manpower Employment Organization (OAED) during the above period. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
3. The compensation of par. 2 is tax-free, non – assignable and not eligible for seizure in the hands of the State or third parties, by derogation of any general and special provision, is not subject to any reservation, fee or contribution, including the special solidarity contribution of article 43 A of Greek Law 4172/2013 (A 167), is not committed and is not set off with certified debts to the tax administration and the State in general, the municipalities, the regions, the insurance funds or the credit institutions.
4. a) In order to receive the compensation of special purpose, individuals of par. 1 have to submit solemn declaration of Greek Law 1599/1986 (Α΄ 75) in the e-platform of the special mechanism for the support of employees (supportemployees.services.gov.gr), without the need for a solemn declaration by the employer. b) For the submitted solemn declarations, a cross examination with the data kept in the special e-platform artandcultureprofessionals.services.gov.gr, in “ERGANI”, in OAED and the co-competent authorities is carried out.
5. The cost for the special purpose compensation, as well as for the total social security contributions, in proportion to the period of suspension, is covered by the State Budget
6. By joint decision of the Ministers of Finance and of Employment and Social Affairs regulated the terms and conditions of membership of the above beneficiaries, the procedure for payment of special purpose compensation, the extension of validity of this, and any other necessary details for the implementation of this, may be regulated.
7. By decision of the Minister of Employment and Social Affairs, more specific issues of competence of the Ministry of Employment and Social Affairs for the implementation of the present may be specified.
8. The present enters into force on 1.11.2020.
R e l e v a n t : Greek Government Gazette Issue B 112/2021, Greek Law 4778/2021 ar. 42, Greek Government Gazette Issue B 823/2.3.2021
Regarding the Greek Law 4790/2021 the following provisions require special attention:
Extension of aid mechanism SYN-ERGASIA and payment of insurance contributions – Amend of art. 40 L. 4778/2021 (Article 105)
Paragraphs 1 and 2 of art. 40 L. 4778/2021 (A’ 26) (paragraph 2) are amended and art. 40 is formed as follows:
"Article 40. - Extension of aid mechanism SYN-ERGASIA. - 1. The period of application of the aid mechanism SYN- ERGASIA of article 31 L. 4690/2020 (A '104), as well as the payment at a rate of one hundred percent (100%) from the state budget of the total insurance contributions corresponding to the period when the employees included in the "SYN-ERGASIA" mechanism are not employed, are extended until 30.6.2021 and the mechanism applies to employees who have a full-time dependent employment relationship on 31.1.2021.
2. By joint decision of the Ministers of Finance, Development and Investment and Labor and Social Affairs, the manner, the procedure, the terms, the conditions of the financial support are determined, especially the required reduction of the turnover of the Value Added Tax (V.A.T). or gross income and reference turnover or gross reference income, subsidy from the state budget of insurance contributions (for workers or for employers), as well as any other specific issues and necessary detail for the application of this. By the same or a similar decision, the period of application of the "SYN-ERASIA" mechanism and the subsidy from the state budget of insurance contributions (for workers or for employers') may be further extended or its application may be provided for other periods. " APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Payment of the insurance contributions from the state budget in framework of SYN-ERGASIA program for tertiary sector companies – Amendment of par. 2,4 and 6 of art. 12 of L. 4714/2020 (Article 106)
In par. 2 and 4 of article 123 of L. 4714/2020 (par. 3) the deadline is modified, in par. 6 a second paragraph is added and article 123 is formulated as follows:
Article 123. – Additional support measures for employees and employers. 1. The employers' insurance contributions for the companies - employers that are active in the tertiary sector based on A.C.N., subject to V.A.T. who received more than 50% of their gross income, during the 3rd quarter of the year 2019, are paid from the state budget for the period from 1.7.2020 to 30.09.2020.
2. With the exception of circumstance c 'of par. 3 of article 31 of law 4690/2020 (A' 104), the sum of the employers' insurance contributions, for the companies-employers of par. 1, that are included in the mechanism employment aid "SYN-ERGASIA", paid from the state budget for the period from 1.7.2020 to 30.6.2021.
3. The employers' insurance contributions for the companies-employers that are active in the sectors of air and coastal transport based on A.C.N., are paid from the state budget for the period from 1.7.2020 to 30.09.2020.
4. With the exception of subpar. c 'of par. 5 of article 31 of L. 4690/2020 (A' 104) for the companies-employers of par. 3 that are part of the mechanism of employment enhancement "SYN-ERGASIA", the sum of employers' insurance contributions are paid from the state budget for the period from 1.7.2020 to 30.6.2021.
5. The provisions of par. 3 and 4 do not apply to seating contracts, which during the above period are suspended, based on the provisions of the sixty-third article of 30.3.2020 Legislative Content Act (A '75), which ratified by article 1 of law 4684/2020 (A '86), as it was amended and supplemented by the Act of Legislative Content from 1.5.2020 (A' 90), which was ratified by law 4690/2020 (A ' 104).
6. By joint decision of the Ministers of Finance and Labor and Social Affairs the manner, the procedure, the terms, the conditions for the application of the present, the procedure of cross-checking the necessary data through the Independent Public Revenue Authority (A.A.D.E.) are determined, as well as any other necessary details. With the same or similar decision the period of this application may be further extended or provide its application for other periods.
7. By decision of the Minister of Labor and Social Affairs, any more specific issues and details of competence of the Ministry of Labor and Social Affairs for the implementation of the present may be specified.
8. By joint decision of the Ministers of Finance, Labor and Social Affairs and Shipping and Island Policy, the provisions and the procedure for the application of par.3 relating to short sea shipping, as well as any other necessary details.».
Payment of insurance contributions from the state budget in framework of SYN-ERGASIA programm for tourist accommodation in twelve-month duration - Amendment of par. 1a and 2 of article 123A of law 4714/2020 (Article 107)
In par. 1a of article 123 of law 4714/2020 the deadline is modified, in par. 2 a second paragraph is added and article 123 is formulated as follows:
"Article 123A. - Measures to support employees and employers of twelve-month tourist accommodation. - «1. Employers' insurance contributions for employers operating in the tourism accommodation sector, which operate throughout the year (twelve (12) months per year) and during the period from January 2020 to August 2020, had lower gross income at a rate of at least 70% from the corresponding period of 2019, are paid from the state budget for the period from 1.9.2020 to 31.12.2020. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
1a. Employers' insurance contributions for employers operating in the tourism accommodation sector, which operate throughout the year (twelve (12) months per year) and during the period from April 2020 to December 2020, had lower gross income at a rate of at least 70% from the corresponding period of the year 2019, are paid from the state budget for the period from 1.1.2020 to 30.6.2021.
2. By joint decision of the Ministers of Finance, Labor and Social Affairs and Digital Governance are determined the way, the procedure, the provisions, the conditions for the integration of the enterprises - employers of par. 1, the obligations of these enterprises, the procedure of crossing the necessary data through the Information System "Ergani" and the Independent Public Revenue Authority (A.A.D.E.), as well as any other necessary details for the application of this. The same or a similar decision may further extend the period of application of this or provide for its application for other periods.».
Extension of employment contracts of definite duration on welfare services- Amendment of par.2 of article 35 of law 4578/2018 (Article 108)
The second paragraph of article 35 of law 4578/2018 (A’200) is amended and article 35 is set as follows:
“Article 35. – Coverage of positions of supervising entities. - 1. The coverage of the positions of article 34 takes place through the recruitment of permanent staff, according to the provisions of law 2190/1994 (A’28). A procurement notice for the recruitment of this staff will be published in no later than 31.12.2019. On the procurement notice of the previous passage, the expertise that is prescribed in section b, par.2 of article 18 of law 2190/1994, if it has been gained by employees serving at the Centers of Social Welfare of article 9 of law 4109/2013 (A’16), on the Chronic Disease Treatment Centre of Evrytania, on the National Centre of Social Solidarity, the National Institute for the Deaf, as well as in their branches, through employment contracts of definite duration and in equivalent positions in any of the above institutions, is given twenty (20) extra credit points per month for the first forty eight (48) months and seven (7) extra credit points per month for any other month after the forty eighth and until eighty four (84) months, for the total of positions that are proclaimed.
For the employment positions that are covered with the procedures of the current paragraph, the restrictions of article 28 of law 2190/1994 do not apply.
2. The private law employment contracts of definite duration of emergency staff of article 34, that offer their services, during the entry into force of this law, are extended from the time of their expiration until the publication of the appointment of the successful applicants of the definitive table of appointees of the procurement notice number 7K/2019 of the Supreme Council for Civil Personnel Selection (ASEP 42). If those table of appointees for the employment positions of par.1 have been drafted before the publication of this law, the employment contracts of emergency staff of the previous passage will be remain in force during the period between the drafting of the tables and the taking up of duties from the employees that are included in them.
3.The offering of services from the personnel of par.2 according to the above exceptional conditions, does not fall within the restrictions of articles 5 and 6 of presidential decree 164/2004 (A’134) and does not alter the type of the employment relationship, according to which they were hired in these positions, while it is not given extra credit points according to the clauses of par. 1.
Extension of employment contracts of auxiliary staff on welfare services (Article 109)
1. The private law employment contracts of definite duration, that have been drafted under the provisions of article twenty one of Decree Law dated 14.3.2020 (A’64) which has been certified with article 3 of law 4682/2020 (A’ 76), and with the number 12549/4426/16.3.2020 Joint Ministerial Decision of Ministers of Economics, Labor and Social Cases and of the Interior (B’ 868) for the tackling of emergency cases from the emergence and spread of COVID-19 and which APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 have been extended until the 31st of March 2021 based on article 34 of law 4722/2020 (A’177), are further extended from their expiration until the 30th of April 2021. The extension of the contracts according to the previous passage does not alter the type of the employment relationship according to which the employees were hired to those positions, and does not fall within the restrictions of articles 5 and 6 of the presidential decree 164/2004 (A’ 134).
2. Private law employment contracts of definite duration that are put into force after the publication of this law, pursuant to article 21 of decree law dated 14.3.2020 and ministerial decision of par.1, cannot expire after the 30th of September 2021.
3.The fees and insurance contributions of the contracts of par.1 and 2 are covered by national or European funds.
Lastly, for a more detailed presentation of the employers’ and employees’ obligation in view of the coronavirus COVID- 19 pandemic you can read the specialized newsletter in the following link: POTAMITISVEKRIS-Employment-law- Newsletter_Issue-No-8.pdf
For more information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
7. PUBLIC PROCUREMENT ISSUES
The current crisis underscored the need for expeditious procedures for the procurement of vital supplies and services. In particular:
Article 3 of the Legislative Act of 25.2.2020
For a time period of four (4) months from the date of entry into force of the present and in the event that there is an immediate risk of occurrence and spread of COVID-19 coronavirus, the public limited company under the trade name "Pharmaceutical Research and Technology Institute SA" may, by way of derogation from all applicable national provisions on public procurement, invite third parties to directly purchase sanitary material, personal protective measures and pharmaceuticals for the purpose of meeting the public health emergency. The invitation is uploaded on the Ministry's website for a period of three (3) days and may be addressed to any company selling and disposing of sanitary material and pharmaceuticals. The contract is based solely on the lowest bid and the purchase of sufficient quantities to meet emergency health needs.
For a time period of four (4) months from the date of entry into force of the present and in the event that there is an immediate risk of occurrence and spread of COVID-19 coronavirus, procedures for emergency procurement of any necessary sanitary material, all kinds of pharmaceuticals, any appropriate means of personal or collective protection against the spread of coronavirus may be carried out by any contracting authority under authority or supervision of the Ministry of Health or to be delegated from any competent authority or under authority or supervision of the Ministry of Health to the National Central Health Supply Authority (EKAPY) by way of derogation from all applicable national provisions on public procurement. EKAPY or any contracting party under the authority or supervision of the Ministry of Health invites to directly purchase sanitary, personal protective measures and pharmaceuticals for the purpose of meeting the above emergency. The invitation is uploaded on the Ministry's website for a period of three (3) days and may be addressed to any company selling and disposing of sanitary material and pharmaceuticals. The contract is based solely on the lowest bid and the purchase of sufficient quantities to meet emergency health needs.
Article 8 of Legislative Act of 11.03.2020
Public Procurements Issues of the Ministry of Finance
For a time period of six (6) months from the date of entry into force of the present and in the event that there is an immediate risk of occurrence and spread of COVID-19 coronavirus, the emergency procurement procedures of any appropriate type of hygiene or means of collective protection against its spread, as well as the provision of services, in particular disinfection services, may be carried out by any contracting party under authority or supervision of the Ministry of Finance or AADE through direct award, by way of derogation from any relevant provision of applicable public procurement legislation. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Private law contracts for fixed-term staff serving at the time of entry into force hereunder pursuant to Article Eighth of Law 4506/2017 (A '191), for cleaning needs of the buildings of the Ministry of Finance and AADE are extended for public health reasons for two (2) additional months. The extension of the contracts referred to in the preceding subparagraph shall not alter the nature of the employment relationship by which those employed were engaged. b. The period of contracts referred to in the preceding case shall not be counted toward the maximum of twenty-four (24) months within the meaning of Articles 5, 6 and 7 of the Presidential Decree. 164/2004 (A '134).
Article 16 of Legislative Act of 11.03.2020
Adoption of technical specifications for emergency supplies to cover public health emergencies
The technical specifications, the quantities required, as well as the determination of time of delivery of the products and services to be supplied, intended to cover the public health emergencies of public hospitals, and other legal entities under supervision of Public Health Regions due to the spread of COVID-19 coronavirus are approved by decision of the Central Council of Health Regions (KESYPE).
Article 3 of Legislative Act of 14.03.2020
Public Procurements Issues of the Ministry of Development and Investment
In the event that there is an immediate risk of occurrence and spread of COVID-19 coronavirus, the absence of which can be determined by decision of the Minister of Health, for a period until 31.12.2020, by way of derogation from all applicable national provisions on public procurement, procurement procedures may be carried out in accordance with the direct award procedure of Law 4412/2016 (A '147), by the Ministry of Development and Investment concerning: (a) Support to logistics infrastructure, consumables, emergency staff and support services of call center of line 1520 (Consumer Line), (b) support to logistics infrastructure and consumables of services with subordinate control responsibilities
Article 12 of Legislative Act of 14.03.2020, as amended by article 24 of Law 4715/2020
Assignment of services by EODY for examining samples at private providers
In the event that there is an immediate risk of occurrence and spread of COVID-19 coronavirus, the absence of which can be determined by decision of the Minister of Health, for a period not exceeding four (4) months from the date of entry into force of the present, EODY may, by way of derogation from all applicable national provisions on public procurement, award contracts directly to private healthcare service providers (diagnostic laboratories). The invitation is uploaded to EODY's website for a period of three (3) days and may be addressed to any private healthcare service provider. The contracts are awarded based on the lowest price criterion among the services available immediately.
Article 34 of Legislative Act of 20.03.2020 ΦΕΚ Α’68/2020
For a time period of six (6) months from the date of entry into force of the present, due to the risk of further spread of the COVID-19 coronavirus and to ensure the proper and uninterrupted operation of the Ministry of Digital APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Governance and its supervised bodies, to prevent or minimize meetings of the collective and non-collective public sector bodies, to support remote work of civil servants and public officials and the remote provision of services to citizens and businesses, the Minister of Digital Governance and its supervised bodies may, by way of derogation from all national provisions on public procurement, utilize a direct award procedure for the procurement of goods and service contracts relating, indicatively, to the maintenance of existing crucial information systems in the public sector in general, within the meaning of Article 3 of Law 3979/2011 (A '138), the development of new IT and ICT instruments, web site development and maintenance, IT services, IT projects, for the above purposes and in particular the continuation of the proper and uninterrupted operation of the Ministry of Digital Governance and its supervised bodies, the provision of security, cleaning and disinfection services for the buildings of the Ministry of Digital Governance and its supervised bodies and the supply of related materials, as well as the supply of laptops, related electronics and software system necessary to achieve remote working of employees and the provision of services for their installation and operation.
Article 60 of Legislative Act of 20.03.2020 ΦΕΚ Α’69/2020 Public Procurements Issues
In the event that there is an immediate risk of occurrence and spread of COVID-19, the absence of which can be determined by decision of the Minister of Health, for a period not exceeding six (6) months from the date of entry into force of the present, it is possible by virtue of a decision of the relevant competent Minister or authority: (a) to suspend the operation of public tenders, (b) extend the date for submission of tenders applications or bidding offers in cases where a notice has already been published upon the entry into force of hereof, c) suspend any time period relating to public procurements, regardless of the stage of award procedure or execution thereof, d) extend any contractual deadline for a period determined by the relevant decision.
The provisions of Legislative Act of 25.2.2020, 11.3.2020 και 14.3.2020, as well as the provisions of the present referring to contracting authorities may be applied accordingly by the contracting bodies, within the meaning of Article 224 of Law 4412/2016.
Article 34 of the Legislative Act of 30.3.2020, as amended by article 24 par. 8 of Law 4517/2020
Issues of public procurement for the National Blood Donation Center (Ε.ΚΕ.Α.)
As long as there is still an immediate spreading risk for the COVID-19 coronavirus spreading, the lack of which can be confirmed by a decision of the Minister of Health, and only for a period not exceeding 31.12.2020 the purpose of the National Blood Donation Center (E.KE.A) shall also include performing laboratory tests to diagnose patients with the COVID-19 coronavirus. To fulfil the purpose of par. 1, the E.K.E.A. may, in derogation of all applicable national provisions, enter into direct procurement contracts for the supply of materials and reagents for testing for the COVID- 19 coronavirus, by submitting a relevant invitation. The invitation is posted on the website of E.KE.A. for a period of three (3) days and may be addressed to any company selling and distributing reagents. The contract is concluded with unique criteria the lowest offer and the provision of sufficient quantities to meet the needs of the emergency.
Ministerial Decision 085/ΑΣ 1724/FEK 1112/2020
Postponement, suspension, extension of deadlines in tender procedures of the Ministry of Foreign Affairs, for the period from 31.03.2020 to 11.05.2020, to limit the dispersion of the COVID-19 coronavirus. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Αrticle 41 of Legislative Act of 13.4.2020 (A ’84)
Supporting Documents for the Temporary Contractor (Award Supporting Documents)
As for the crucial issue of the impossibility of issuing of the required certificates, according to article 80 of Law 4412/2016, which are submitted by the temporary contractor at the stage of the award, issued by the competent Courts and Prosecutions of the country, due to the partial suspension of operation, in which they have been placed, by virtue of the Joint Ministerial Decisions with no. Δ1α / Γ.Π.οικ.21159 (Β '1074/2020) and Δ1α / ΓΠ.οικ.24403 Κ.Υ.Α (Government Gazette Β' 1301 / 13-4-2020), the following are indicated:
“1. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and for a period not exceeding six (6) months from the entry into force of the present, any awarding authority and any awarding entity in accordance with Law 4412/2016 (A '147), during the process of concluding public procurements, which may have started either before or after 25 February 2020 may, in the event the that the submission of the application for the required documents is prevented or in case of inability to issue them, due to suspension of operation of the relevant competent authorities or partial suspension of their operation, in the context of measures to tackle the spread of COVID-19 coronavirus or for any other crucial reason, ay invite immediately the selected contractor to replace the required, as the case may be, supporting documents of article 80 of law 4412/2016 with solemn declaration of article 8 of law 1599/1986 (A '75) or electronic solemn declaration of article 8 of law 1599/1986 (A '75) or electronic solemn declaration via the Single Digital Portal of the Public Administration of article 52 of law 4635/2019 (A' 167), which is provided in the twenty-seventh article of Legislative Act of 20 -03-2020 (A '68), as ratified by article 1 of law 4683/2020 (A' 83), in order to issue the award decision conclude the contract. In the submitted solemn declaration, the selected contractor states that: (a) there is no legal impediment to its participation in the proceedings; (b) still meet all the criteria for the qualitative selection set out in the relevant declaration and (c) shall be required to submit the legally prescribed supporting documents for the awarding or assignment within thirty (30) days of the signing of the contract.
2. The contractor may request the extension of the deadline for submission of the relevant supporting documents in case of prevention of the submission of the application for the required supporting documents or inability to issue them, due to the suspension of the respective competent authorities or partial suspension of their operation within the framework of the measures to tackle the spread of COVID-19 coronavirus or for any other crucial reason. The above deadline is extended by a decision of the competent body of the awarding authority, without the requirement of prior opinion of the collective body for evaluation of tenders.
3. The non-timely submission of supporting documents for award or assignment constitutes reason for deduction of the contractor from the contract, amortization of any right of the contractor arising thereof and enforcement of the penalties set out in the law. In this case, the awarding authority may invite the next bidder, in turn, to the bidder in the process of awarding the specific contract and propose to him / her to undertake the implementation of the contract of the discounted contractor, with the same terms and conditions and on the basis of the offer submitted by the discounted (explicit substitution clause), complying, in other respects, with the procedure of par. 1 of the present regarding the submission of a solemn declaration and the required evidence of article 80 of law 4412/2016.
4. The clearance and repayment of the contractor may in no case be carried out without the submission of the required supporting documents, as specified in the applicable legislation.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 37 (Legislative Act of 1.5.2020)
Supply of personal and collective health protection for educational structures
1. Paragraphs 2 and 3 of Article 12 of Legislative Act of 11.3.2020 o (A΄ 55), ratified by Article 2 of Law 4682/2020 (A΄ 76), are replaced as follows:
“2. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding the September 30, 2020, emergency procurement procedures for all the approved personal or collective health protection articles from the spread of the COVID-19 coronavirus, as well as the provision of disinfection services, may be carried out by the Ministry of Education and Religions, as well as by any contracting authority or under its authority or supervision, with direct assignment by way of derogation from any relevant national provision on public procurement under the limits of Directive 2014/24 / EU, as currently revised and applicable. By decision of the Minister of Education and Religious Affairs, the distribution of the articles may be carried out in the educational structures and the specific process of delivery and receipt may be defined. The delivery of the articles may be carried out directly by the contractor to the relevant municipality, based on the decision of distribution of the previous subparagraph. The delivary is made by a three-member committee consisting of employees of the municipality with the care of which the supplied articles are delivered directly to the educational structures, according to the above distribution decision. For the delivery in the cases of both previous subparagraphs, a relevant protocol is drawn up in duplicate, one of which is sent directly to the Ministry of Education and Religions.
3. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding the September 30 2020, emergency procurement procedures for all sanitary articles, all kinds of pharmaceutical products and approved personal or collective health protection articles from the spread of the COVID-19 coronavirus may be carried out exclusively for the needs of hospitals, clinics, units and laboratories of Higher Educational Establishments (AEI) from the competent authority in each case, which falls under the supervision of the Ministry of Education and Religious Affairs, with direct assignment by way of derogation from any relevant national provision on public procurements under the limits of Directive 2014/24 / EU, as revised and applicable.”
4. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding the September 30 2020, the Ministry of Education and Religious Affairs may carry out procedures for awarding contracts for the supply of biocides, antiseptics, sanitary and other protective articles to meet the needs of public educational structures in the territory, by way of derogation from any general or special provision on competence.
Article 38 (Legislative Act of 1.5.2020)
Supply by IFET SA to meet the needs of the Ministry of Education and Religious Affairs
Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding the September 30 2020, the societe anonyme, under the name "Institute of Pharmaceutical Research and Technology (I.F.E.T. SA) may, by way of derogation from all applicable national provisions on public procurement under the limits of Directive 2014/24 / EU, as currently revised and in force, invite for a direct purchase of biocides and antiseptics, sanitary and other protective APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 articles for the purpose of direct supply of bodies of the Ministry of Education and Religious Affairs for reasons of immediate coverage of extraordinary needs for protection of public health in the individual educational structures. The invitation is posted on the company's website for a period of three (3) days and can be addressed to any undertaking that sells and distribute sanitary articles and pharmaceutical products. The contract is concluded with the sole criteria of the lowest bid and the achievement of a purchase of sufficient quantities in combination to address the aforementioned emergencies.
Extension of exceptional regulations of Legislative Acts - Relevant are the no. Α31 / 2020 and Α32 / 2020 Opinions of Hellenic Single Public Procurement Authority (HSPPA)
1. Law 4764/2020 "Regulations for the protection of public health from the consequences of the coronavirus pandemic COVID-19, the strengthening of public transport, the acceleration of the distribution of pensions, the settlement of debts to the Local Authorities and other urgent provisions" (Government Gazette A '/ 256) includes, among others, provisions concerning the extension until 31.03.2021 of exceptional regulations of Legislative Acts associated with Covid-19.
2. Article 26 "Public Procurement issues" provides: "1. The validity of article three of the Legislative Act of 25.2.2020 (A’ 42), which was ratified by article 1 of law 4682/2020 (A’ 76) and extended by paragraph 1 of article 18 of law 4728/2020 (A’ 186), regarding the conclusion of public procurements for the supply of sanitary material, medicines and means of protection, is extended until 31.3.2021. 2. The validity of the thirty-fourth article of the Legislative Act of 30.3.2020 (A’ 75), which was ratified by article 1 of Law 4684/2020 (A’ 86), regarding the public procurement issues of the National Blood Donation Center (Ε.ΚΕ.Α.), is extended until 31.3.2021. " 2. Article 27 "Assignment of services by the National Public Health Organization (N.P.H.O) for the examination of samples to private providers" stipulates: “The validity of article twelve of the Legislative Act of 14.3.2020, which was ratified by article 3 of law 4682/2020 (A΄ 76), regarding the assignment of services by N.P.H.O. for the examination of samples to private providers, is extended until 31.3.2021".
3. Article 28 "Supply from Health Districts as Central Purchasing Bodies for the treatment of coronavirus COVID-19" provides: "The tenth article of the Legislative Act of 10.8.2020 (A’ 157), which was ratified by article 1 of Law 4722/2020 (A’ 177), is replaced as follows: "Article ten Supply from Health Districts as Central Purchasing Bodies for the treatment of coronavirus COVID-19 1. For the period until 31.3.2021 and provided that there is still an immediate risk of the occurrence and spread of the COVID-19 coronavirus, emergency procurement procedures for all sanitary articles, all kinds of pharmaceutical products and approved personal or collective health protection articles, medical devices, equipment and reagents for the treatment of the COVID-19 coronavirus may be carried out by the Health Districts (H.D) of the Country as Central Purchasing Bodies (CPBs), within the meaning of article 2 of law 4412 / 2016 (A’ 147), by way of derogation from all the existing national provisions on public procurements […] “.
4. Article 29 "Supply of medical technology tests for the treatment of coronavirus COVID-19" stipulates: "Article eleven of the Legislative Act of 10.8.2020 (A’ 157), which was ratified by article 1 of Law 4722/2020 (A’ 177), is replaced as follows: “Article eleven Supply of medical technology tests for the treatment of coronavirus COVID-19 For the period up to 31.3.2021 and provided that there is still an immediate risk of the occurrence and spread of the COVID-19 coronavirus, for the purpose of immediately coverage of the needs for tests / medical devices by examining samples of suspected biological cases of COVID-19 coronavirus, compatible with diagnostic testing machines donated to the Greek State for the treatment of COVID-19 coronavirus, emergency procurement procedures for medical devices and reagents (test) may be carried out for the diagnosis of coronavirus COVID-19 […]”. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
5. Article 30 "Extraordinary supplies of spare parts for National Emergency Aid Centre" stipulates: "Article five of the Legislative Act of 10.8.2020 (A’ 157), which was ratified by Article 1 of Law 4722/2020 (A’ 177), is replaced as follows: "Article Five Extraordinary supplies of spare parts for National Emergency Aid Centre. Provided that there is still an immediate risk of the spread of the COVID-19, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding 31.03.2021, the National Emergency Aid Center (N.E.C) may, by way of derogation from all existing national provisions on public procurement, call for the purchase of ambulance spare parts and medical equipment […]".
6. Article 94 "Extensions of emergency measures under the domain of the Ministry of Development and Investment" provides: "1. The validity of the third article from 14.3.2020 Legislative Act (A’ 64), which was ratified by article 3 of law 4682/2020 (A’ 76) and which was amended by its fifteenth article from 30.3. 2020 of Legislative Act (A’ 75), which was ratified by article 1 of Law 4684/2020 (A’ 86) regarding issues of public procurements of the Ministry of Development and Investment, which was extended until 31.12.2020 with par. 1 of article 61 of law 4722/2020 (A’ 177), is extended until 31.3.2021. 2. The validity of the seventeenth article, the eighteenth article, par. 2 of the twenty-first article and the twenty-first article of the Legislative Act of 20.3.2020 (A’ 68), which was ratified by article 1 of the law. 4683/2020 (A’ 83), which was extended until 31.12.2020 with par. 2 of article 61 of law 4722/2020 (A’ 177), is extended until 31.3.2021".
Moreover, article 183 "Arrangements for the treatment of emergencies of the Ministry of Digital Government due to the coronavirus COVID-19" stipulates: "The validity of par.1 of article 14 from 11.3.2020 Legislative Act (A’55) which was ratified by article 2 of law 4682/2020 (A΄ 76), regarding the conclusion of public procurements of the Ministry of Digital Government and its supervised bodies, is extended until 28.2.2021".
Furthermore, the following provisions, although they do not concern the extension of Legislative Act regulations, regulate issues related to the treatment of coronavirus COVID-19:
The provision of article 31 "Contracts of Primary Health Care structures" stipulates: "1. The Health Districts (H.D.) for a period of time until 31.03.2021, provided that there is still an immediate risk of the spread of the COVID-19 coronavirus and for the purpose of immediate coverage of the needs for the examination of biological material samples for calibration of suspect cases of COVID-19 may, for all the levels of structures of Primary Health Care (PHC) within their remit, contribute, by way of derogation from all applicable national provisions on public procurements, with private laboratories, operating legally and maintaining relevant logistical infrastructure and personnel, in order to carry out laboratory molecular testing (PCR). Similarly, they may contribute with companies transporting the received biological material (sample) […]”.
The provision of article 53 "Procedure for supply of vaccines against coronavirus COVID-19 for the needs of the country - Three-member Committee for Procurement Management of the National Vaccination Program against coronavirus COVID-19" provides: "1. For the period until 30th.6.2021 and for the purpose of limiting the spread of coronavirus COVID-19, the Ministry of Health may procure the vaccines included in the National Vaccination Program against coronavirus COVID-19, exclusively: a) through the single emergency support mechanism for the supply of vaccines against coronavirus COVID-19 of the European Union to ensure sufficient stocks by applying the algorithm of distribution of quantities between the Member States of the European Union in proportion to the population of the citizens of each Member State (pro rata allocation) and (b) by direct supply in the process of direct negotiation with a pharmaceutical manufacturer in view of the immediate and urgent need to protect public health to prevent the spread of COVID-19 coronavirus. […]” APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
The provision of article 60 "Public procurement issues for the implementation of the National Vaccination Program" stipulates: "For the proper implementation of the Coronavirus Vaccination Program COVID-19 and the timely availability of vaccines against coronavirus COVID-19 in Vaccination Centers, for the period up to 30th.6.2021, the societe anonyme with the name "Institute of Pharmaceutical Research and Technology SA" (IFET SA) may, by way of derogation from all existing provisions on public procurement, including the provisions on the purpose of IFET SA, conduct tender procedures as defined herein to provide vaccine distribution services against the coronavirus COVID-19 in vaccination centers […]."
Finally, Articles 105 (Supply of computers by the e-EFKA business units), 127 (Urgent arrangements for ensuring the maritime transport service of island areas and the recovery of the coastal shipping network), 136 (Issues of Athens Urban Transport Organization contracts) And 137 (Issues of Transport Authority of Thessaloniki S.A and of the Organization of Urban Transport of Thessaloniki) also provide exceptional arrangements following the epidemiological crisis of COVID-19.
B. Law 4763/2020 "National System of Vocational Education, Training and Lifelong Learning, transposition into Greek legislation of Directive (EU) 2018/958 of the European Parliament and of the Council of 28 June 2018 on proportionality control before the introduction of a new legal framework for the professions (EU L 173), ratification of the Agreement between the Government of the Hellenic Republic and the Government of the Federal Republic of Germany on the Hellenic-German Youth Foundation and other provisions. " (Government Gazette A '/ 254) includes, among others, provisions concerning the extension until 31.03.2021 of exceptional regulations of Legislative Acts associated with the Covid-19 coronavirus.
In particular:
1. Article 160 "Issues of extraordinary supply of personal hygiene or collective protection means - Amendment of article 12 of the Legislative Act of 11-3-2020 (A’ 55), which was ratified by article 2 of law 4682/2020 ( A’ 76)" stipulates: "In article 12 of the Legislative Act of 11-3-2020 (A’ 55), which was ratified by article 2 of law 4682/2020, paragraphs 2, 3 and 4 are amended and the article is formed as follows: “Article 12 Issues of the Ministry of Education and Religious Affairs. […] 2. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding 31.3.2021, emergency procurement procedures for all the approved personal or collective health protection articles from the spread of the COVID-19 coronavirus, as well as the provision of disinfection services, may be carried out by the Ministry of Education and Religious Affairs, as well as by any contracting authority or under its authority or supervision, with direct assignment by way of derogation from any relevant national provision on public procurement under the limits of Directive 2014/24 / EU, as currently revised and applicable [….] 3. Provided that there is still an immediate risk of the spread of the COVID-19 coronavirus, the lack of which is confirmed by a decision of the Minister of Health, and in any case for a period not exceeding 31.3.2021, emergency procurement procedures for all sanitary articles, all kinds of pharmaceutical products and approved personal or collective health protection articles from the spread of the COVID- 19 coronavirus may be carried out exclusively for the needs of hospitals, clinics, units and laboratories of Higher Educational Establishments (AEI) from the competent authority in each case, which falls under the supervision of the Ministry of Education and Religious Affairs, with direct assignment by way of derogation from any relevant national provision on public procurements under the limits of Directive 2014/24 / EU, as revised and applicable.”
2. Article 161 "Extension of regulations of the Ministry of Education and Religious Affairs for the treatment of the spread and consequences of coronavirus COVID-19" provides: "The validity of the sixty-fifth articles of the Legislative APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Act of 20-3-2020 (A’ 8), which was ratified by article 1 of law 4683/2020 (A’ 83), forty-first of its Legislative Act from 13-4-2020 (A’ 84), which was ratified by article 1 of law. 4690/2020 (A’ 104), as well as par. 1 of article thirty-six and par. 2 of article thirty-seven of the Legislative Act from 1-5-2020 (A’ 90), which was ratified by article 2 of Law 4690/2020, regarding the procedures for concluding public procurements, the procedure for accepting donations from third parties and regarding specific administrative issues for the reopening of 6 educational structures and the facilitation of distance education, which has been extended by Article 287 of Law 4738/2020 (A’ 207), is extended until 31-3-2021. Par. 3 of article thirty-six of the Legislative Act from 1-5-2020, which was ratified by article 2 of law 4690/2020 is valid for the academic year 2020-2021".
C. Law 4745/2020 "Regulations for the acceleration of the adjudication of pending cases of law 3869/2010, according to the requirements of par. 1 of article 6 of the European Convention on Human Rights, regarding the reasonable duration of the civil trial, amendments to the Bar Code and other provisions" (Government Gazette A '/ 214) includes, among others, provisions concerning the extension until 28.02.2021 of exceptional Legislative Acts regulations associated with Covid-19.
In particular: Article 74 "Provisions for the treatment of coronavirus COVID-19 by the Local Authorities" "1. Par. 3 of article 10 of the Legislative Content Act of 11.3.2020 (A’ 55), which was ratified with the second article of Law 4682/2020 (A’ 76) is maintained in force until 28.2.2021. […]”
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
8. SPECIALLY FOR THE HEALTHCARE PROVIDERS
ISSUES REAGARDING THE ENFORCED DISPOSITION OF SPACES AND MEDICAL TECHNOLOGY EQUIPMENT, REQUISITION OF MOVABLE PROPERTY CONSUMABLE AND NON-CONSUMABLE, DONATIONS, NATIONAL COVID 19 REGISTER
Article 4 of the Legislative Act of the 25th.02.2020, as replaced by article 82 Law 4745/2020 Issues regarding the enforced disposition of spaces
For a period of time until 28.2.2021 and if there is still an immediate risk of spreading coronavirus, it may be ordered, by decision of the Minister of Health, the compulsory disposal to the State in order public health needs to be covered of private clinics’ and infirmaries’ beds, ICU’s beds, individual spaces of private clinics, health facilities and health care providers, as well as private hospitals and clinics as a whole, so as to meet the immediate and urgent need for public health from the outbreak of COVID-19 coronavirus, if it cannot treated differently.
For a period of time until 28.2.2021 and if there is still an immediate risk of spreading coronavirus, the Minister of Health may, by his decision, order the compulsory commitment to the State of the use of an entire private hospital or clinic, as well as all the commitment of all the accompanying medical and nursing facilities and support services, to meet the immediate and urgent need for public health and protection of society as a whole, from the outbreak of coronavirus COVID-19.
The above decision of the Minister of Health, which is notified to the legal representative of the committed company, determines the necessary period of the commitment and the relevant Governor of the Health District to which the committed company belongs geographically, is assigned with the management of the entire hospital and the administrative supervision of staff who necessarily dispose their services for public purposes, with the management of the patient’s admission to the hospital from other public or compulsorily commited private hospitals and clinics, with the transfer of already hospitalized patients and with the general supervision of the proper operation of the compulsory commited hospital. From the date of notification of the Minister’s of Health decision for the compulsory commitment and the assignment of the above responsibilities to the Governor of the relevant Health District, the Board of Directors of the company of the private hospital or clinic is deprived of any right of management or legal representation with regard to the responsibilities defined above for the entire period during which the compulsory commitment is in force.
For a period of time until 28.2.2021 and if there is still an immediate risk of spreading the coronavirus, it may be ordered, by a joint decision of the Ministers of Finance and Health, the compulsory disposal to the State, in order to APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 cover public health needs, of hotels, private accommodation or other public property or property of legal entities under public or private law or any oversight body of the General Government, to meet the immediate and urgent need of public health from the outbreak of COVID-19 coronavirus, if it cannot be treated differently.
Within a reasonable period of time, which does not exceed forty five (45) days from the date of imposition of the mandatory commitment measures of paragraphs 1 to 3, a joint decision of the Ministers of Finance and Health shall determine the manner of compensation for the compulsorily committed facilities, beds of private clinics and hospitals, structures, health care providers, any incentives and benefits, any exceptions from the application process of articles 100 of law 4172/2013 (A` 167) and 11 of law 4052 / 2012 (Α 41), any suspension of deadlines for the payment of taxes and contributions, as well as any tax or insurance facilities for the totally committed company of par. 2 for the period of its commitment, the procedure and the time of compensation, as well as any another detail.
By joint decision of the Ministers of Finance and Health are determined the manner of compensation of the medical, nursing and support staff of the compulsorily committed private hospitals, structures and health service providers as well as the manner of any additional compensation, allowances and any other relevant details.
NOTE: According to article 25 L.4683 / 2020, Government Gazette A 83 / 10.04.2020:
"If the legal conditions of the measures of cases a, b, c and e of paragraph 2 of the first article of the Legislative Act of the 25th.02.2020 "Urgent measures to avoid and limit the spread coronavirus ” (A` 42) are met, in combination with the fourth article of the same Legislative Act, for the imposition of restriction of natural persons in compulsorily available spaces exclusively and only for the purpose of ensuring public health, the joint ministerial decision imposing the restriction measure with reference to the place of implementation of the restriction can be issued. Then this decision is followed by the issuance, within a reasonable period of time, of the joint ministerial decision of the fourth article of the Legislative Act of the 25th.02.2020 for the compulsory disposition of the premises, by determining the extent, the duration and the compensation for their commitment. If the restriction on natural persons has been implemented by the General Secretariat for Civil Protection within the scope of its responsibilities, the above General Secretariat shall arrange the transmission of an information document to the Ministry of Health in which is mentioned the extent of the mandatory commitment required for the implementation of these actions, in particular with regard to hotel rooms, private accommodation facilities, and private infirmaries’ and clinics’ beds".
Article 18 of the Legislative Act of the 11th.03.2020 Disposition of medical and technological equipment
By decision of the Secretary-General of Health Services, medical equipment may be made available for use by a hospital or a health service provider in another hospital or health service provider falling within the competence of different Health Regions to address urgent needs regarding the occurrence and the spread of coronavirus COVID-19, for a maximum period of disposition of one semester, which can be optionally extended for another semester upon decision of the Secretary-General of Health Services.
By decision of the Health Region Director medical equipment may be made available for use by a hospital or health care provider in another hospital or health service provider under its authority to address urgent needs regarding the occurrence and the spread of coronavirus COVID-19, for a maximum period of disposition of one semester, which can be optionally extended for another semester upon decision of the Health Region Director.
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Article 30 of the Legislative Act of 30.3.2020, as amended by article 20 Law 4715/2020
Conversion to use beds to combat the spread of COVID-19 coronavirus
For a period until 31.12.2020, and as long as there is still an immediate spreading for the COVID-19 coronavirus, all types of facilities for wards, hospital beds and increased care units (InCUs) of public hospitals, private clinics and all types of legally binding or disposable property may be converted, as per their use, into increased care units (InCUs) or intensive care units (ICUs), by decision of the president or coordinator of each hospital, treatment center or similar institution, provided that such needs cannot be met in any other way.
See also JMD Δ1α/ΓΠ.οικ.21170/27.03.2020
Concession of the facilities of all wards, hospital beds and increased care beds of the Nursing Institution of the Army Share Fund (N.I.M.T.S.) to cover public health needs, related to the treatment of the COVID-19 coronavirus.
See and JMD Δ1α/ΓΠ.οικ.21888/ΦΕΚ 1115/2020
Imposition of the measure of compulsory provision to the public of hotel accommodations to cover the need for extraordinary temporary accommodations for a group of people entering the State from countries with high prevalence of the disease, for the period from 22.3.2020 to 9.4.2020 for precautionary reasons related to public health addressing the COVID-19 coronavirus.
Article 2 of the Legislative Act of the 14th.03.2020 and article 15/ Legislative Act of 30.3.2020 Emergency measures to ensure adequate personal protection and hygiene products and the avoidance of unfair practices
Undertakings with business activities in the chain of production, import, commerce, sale, brokerage, trading and distribution of pharmaceuticals and personal protection and hygiene products within the Greek territory shall submit to the competent authority, within two (2) days of the entry into force of this Act, information regarding their stock items in: a) surgical masks, b) antiseptic solutions and c) antiseptic wipes d) ethyl alcohol, either intended as a raw material for the production of antiseptic solutions, or available bottled in retail with an alcohol content of 95% and e) tests for the detection of COVID-19 coronavirus infection”.
The undertakings referred to in paragraph 1 shall submit at least the following information:
(a) the quantity in stock (in pieces for surgical masks and antiseptic wipes and in liters for antiseptic solutions), (b) the location of storage and in particular the address and the postal code, (c) the contact details of the undertaking and, in particular, its trade name and distinctive title, registered office, telephone number, e-mail address, and the specific contact details of its legal representative. "The data of cases (a) up to (e) are updated with declarations submitted within three (3) days from the initial and each subsequent declaration, with the exception of supermarkets selling food that are obliged to submit declarations, in which they report daily the available quantities of the day, no later than the start of their operation ".
The statement is submitted electronically via a special link located on the central website of the Ministry of Development and Investment. Access is granted through the General Electronic Commercial Registry passwords of the obliged undertakings.
Failure to submit or submission of an inaccurate statement in accordance with the provisions herein shall result to the cumulative penalties as follows: (a) confiscation of the mentioned items, insofar they have not been declared APR 27TH 2021
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The General Secretariat of Commerce and Consumer Protection of the Ministry of Development and Investments is designated as the competent authority for the control of the compliance of the obliged undertakings referred to in paragraph 1 and for the collection and control of the data submitted by the obliged undertakings referred to in paragraph 2.
Upon joint Ministerial Decision of the Ministers of Development and Investments and Health the undertakings and types of products referred to in paragraph 1, the in-stock items referred to in paragraph 2, which are submitted with the statement of paragraph 3, the infringements’ classification, and their gravity, as well as any other specific issues for the purposes of the application of this Article, shall be detailed. By a Ministerial Decision of the Minister of Development and Investment, upon recommendation by the competent authority, the sanctions referred to in paragraph 4 shall apply.
The obligations are valid for a period of two (2) months from the date of entry into force of this Act (14.03.2020). Upon Ministerial Decision of the Minister of Development and Investments the period of the previous subparagraph may be extended for an additional period of two (2) months at a time.
As long as there is still an immediate risk of occurrence and spread of coronavirus COVID-19, the absence of which can be determined by decision of the Minister of Health, and for a period not exceeding six (6) months from the date of entry into force of this Act, emergency procurement procedures of any appropriate item of personal hygiene or of collective protection may be carried out by any contracting authority, upon direct designation by way of derogation from any relevant provision of the national public procurement legislation in force.
Article 17 of the Legislative Act of 20.03.2020 - FEK A’68 / 2020 - and article 15 of the Legislative Act of 30.3.2020
Maximum quantities of personal protective equipment and personal hygiene for consumers As long as there is still an immediate spreading risk for the COVID-19 coronavirus, the lack of which can be confirmed by a decision of the Minister of Health, and only for a period not exceeding six (6) months from the entry into force of the present Act, any kind of Retail business selling personal protective equipment or personal hygiene may provide consumers with a maximum of three (3) pieces per customer for any of the following types of personal protection and personal hygiene: a) Disinfective products. b) Ethyl alcohol products c) Antiseptic products. From the entry into force of the present Act, the above products are allowed to be available exclusively in individual packages. By decision of the Minister of Development and Investment, taking into account the development conditions of the spreading of the COVID-19 coronavirus, both the maximum quantity of pieces per customer and the types of the above products may be redefined.”
Article 21 of the Legislative Act of 20th.03.2020 (Issue A’68 of the Hellenic Government Gazette) as replaced by article 80 of law 4758/2020 (Government Gazette A '242 / 04-12-2020)
Restrictions regarding the sale of goods
As long as there is still an immediate risk of spread of coronavirus COVID-19, the absence of which can be determined by decision of the Minister of Health, and for a period not exceeding the 28th.2.2021, it is prohibited to agree to receive APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 or receive excessive benefits from the sale of any goods or services necessary for the health, nutrition, movement and safety of consumers, in particular pharmaceuticals, personal protection and hygiene products, such as surgical masks, antiseptic solutions and other disinfecting materials, so that such benefits exceed the value of the provision, with the gross profit margin being higher than the one prior to September 1st of 2020, for the aforementioned goods and services. See also Ministerial Decision no. 46553 / Government Gazette Β΄1837 /13.05.2020 Amendment and extension of validity of the decision of the Ministers of Development and Investment and Health no. 39683 / 16.04.2020 (Β’ 1481), regarding the stock declaration of sanitary articles.
The General Secretariat for Trade and Consumer Protection of the Ministry of Development and Investment is designated as the competent authority for receiving complaints regarding the violation of paragraph 1.
The authority referred to in paragraph 2 shall exercise control powers as follows: (a) obtain access to any information, data and documents from any source that facilitates the control of any suspected infringement; (b) carry out an on- the-spot inspection, which includes access to any premises or means of transport used by the supplier to which the inspection relates, or order inspections carried out by other public authorities to obtain, examine and seize data or documents obtained during the audit, regardless of their storage medium; (c) retain possession of the data, records and documents resulting from the audit for as long as and to the extent required for the proper conduct of the audit; (d) seek the provision of factual information by each representative or a member of the staff of the audited supplier, who has the obligation to provide information and explanations as to the facts, data or documents relating to the subject matter of the audit.
By decision of the Minister of Development and Investment, either ex officio or after a complaint, one or more sanctions are imposed on anyone who violates the prohibition of paragraph 1, as follows: a) recommendation to stop the illegal practice and compliance within exclusive deadline, as well as its omission in the future, b) a fine from one thousand (1,000) to one million (1,000,000) euros, depending on the gravity of the violation.
Exceptionally, in the event that the Minister of Development and Investment has exhausted all the means provided by law in order to achieve the cessation of the illegal practice and the lifting of its consequences and, in order to avoid the risk of serious harm to the collective interests of consumers, additional measures may be taken as follows: a) require from either the offender or the Information Society service provider to immediately remove content, delete, disable or restrict access to the online interface, (b) prohibit advertisements in any medium of goods available for sale in breach of paragraph 1.
By decision of the Minister of Development and Investment, the disproportionality between the benefits and the value of the provision may be specified, as well as other specific issues concerning the control competences and the procedure for imposing the sanctions of paragraph 4 and each other individual issue regarding the application of the present.
Article 13 of Legislative Act of the 10th.08.2020
Supply of special ICU equipment and emergency increase of ICU beds due to public health emergency
1. Upon its decision the Minister of Health may provide temporarily, and for a period not exceeding 31 December 2020, all types of hospital and medical equipment, diagnostic tests, equipment of Intensive Care Units, owned by any hospital, legal entity under public or private law supervised by the Ministry of Health, including equipment donated to APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 fight COVID-19 coronavirus, to any hospital, legal entity under public or private law solely for the purpose of covering public health emergencies.
2. Provided that the decision of the Minister of Health of par. 1 concerns the temporary disposal of the donated, its issuance requires prior court permission granted by the Single Member Court of First Instance of Athens, which adjudicates in the procedure of voluntary jurisdiction, following an application submitted by the Minister of Health subject to the temporary change of the disposal of the donated in favour of a beneficial public benefit on the basis of imperative grounds of public health. The application is determined for hearing as a matter of absolute priority within three (3) working days and the relevant decision is issued within three (3) working days from the hearing. An interlocutory injunction may be issued on the subject of the temporary regulation of the situation according to article 781 of the Code of Civil Procedure. After the expiration of the period of the first paragraph of par. 1, the disposed equipment is assigned free of all rights to the body to which it belongs or in favor of the body to which the dispodal was determined at the will of its donor.
3. By decision of the Minister of Health, for a period not exceeding three (3) months from the publication of the present, emergency Intensive Care Unit (ICU) beds may be provided in any hospital supervised by the Ministry of Health, or in any other compulsorily occupied or leased space or space used by the Greek State, to cover public health emergencies explicitly defined in the decision of the provision of the above beds, without prior permission from any other competent authority, in derogation of the applicable law. The carrying out of works for the creation of ICU permanent installation and operation, as well as for renovations of Emergency Departments in existing hospital premises is subject to the licensing process of the fourteenth article.
Article 6 of the Legislative Act of the 14th.03.2020 Requisition of movable property, consumable and non-consumable to address the spread of coronavirus COVID-19
As an urgent need during a period of peace requiring the requisition of movable property, in the sense of Article 18 par. 3 of the Greek Constitution, is defined, for the implementation of this Act, the need of protection of public health against coronavirus COVID-19 within the Greek Territory.
Upon decision of the Minister of Health published in the Greek Governmental Gazette, requisition is imposed for a period not exceeding six (6) months to movable property consumable and non-consumable, owned by individuals, natural or legal persons, and falling within the meaning of specialized hospital equipment, personal protective equipment and pharmaceuticals. As special hospital equipment that is subject to the process of requisition of this Article, in view of the current public health emergency, are considered: respirators, hospital beds, standard bed equipment, vital signs monitors, closed suction systems and necessary medical and technological equipment. Personal protective equipment is defined as: masks of all kinds, personal precaution equipment and sanitary clothing. The decision referred to in the first subparagraph specifies, in particular, the aforementioned movable property on which requisition will be imposed per kind and their use as well as the duration of the requisition.
According to article 23 of law 4764/2020, the validity of paragraph 2, regarding the possibility of ordering movable things, consumables and not, to combat the spread of coronavirus COVID-19, is extended until 31.3.2021.
Upon joint Ministerial Decision of the Ministers of Finance and Health the compensation for the use of equipment on which requisition will be imposed and the reasonable compensation of beneficiaries for consumable equipment are established. APR 27TH 2021
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Upon joint Ministerial Decision of the Ministers of Finance and Health, issued within two (2) months from the publication of the Ministerial Decision referred to in paragraph 2, a reasonable compensation shall be established for the beneficiaries, individuals or legal persons, upon the recommendation of a supervised legal person under public or private law of the Ministry of Health and after the beneficiaries have submitted a document for the purchase and supply of the items on which requisition was imposed. The same decision provides for the credits needed to cover the amount of compensation. In case that the aforementioned deadline lapses, the requisition shall be automatically revoked. Compensation is due for the period of requisition and is payable once, when the requisition is over or every two months, if the requisition is extended beyond two months. A substantive recourse may be brought before the ordinary administrative courts against the Joint Ministerial Decision of the present Article.
The requisition of the aforementioned products is implemented upon the Ministerial Decision of the Minister of Health referred to in paragraph 3, on the basis of which an individual administrative act of requisition is published by the Secretary General of Pubic Heath and includes at least the kinds of products under requisition, consumable or products under requisition to be used, the minimum quantities per kind, as well as the natural or legal person on which the requisition of movable property was imposed. The Act of the preceding subparagraph shall be served by the customs, tax, police, port or fire service authorities concerned, as well as by the Municipal Police authorities, public servants and legal entities under public law. Each public authority shall provide all necessary assistance for the implementation of the requisition. The quantities under requisition of consumable and non-movable items are delivered and taken for distribution at the Ministry of Health. By decision of the Secretary-General of Health Services, they shall be distributed to any public or private entity for use or consumption, including all supervised bodies of the Ministry of Health, the Directorates of Health Regions and hospitals.
Article 20 of the Legislative Act of the 20th.03.2020 Supplying of stores and markets – Requisition of special hospital equipment, Personal protective equipment and pharmaceuticals
The Legislative Act of the 14th.03.2020 (Issue A’ 64 of the Greek Governmental Gazette) is amended as follows: The first subparagraph of paragraph 1 of the First Article is replaced by the following: “The implementation of paragraph 8 of Article 52 of Greek Law 2696 / 1999 (Issue A’ 57 of the Geek Government Gazette) and its delegated joint Ministerial Decisions on the hours of supply shall be suspended for a period of one (1) month from the date of entry into force of this Act, exclusively in the case of the supply of stores which trade food, super markets, outdoor markets, organized food markets, private pharmaceutical warehouses and supplying cooperatives of pharmacists.” 2. The first subparagraph of paragraph 2 of the Sixth Article is replaced by the following: “Upon joint Ministerial Decision of the Ministers of Development and Investments and Health published in the Greek Government Gazette, in cases where it is deemed necessary due to public interest, requisition may be imposed for a period not exceeding six (6) months to movable property, consumable or non-consumable, owned by individuals, natural or legal persons, falling within the meaning of specialized hospital equipment, personal protective equipment and pharmaceuticals.” Relevant Joint Ministerial Decision: FEK Β’ 848/2020
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Article 8 of the Legislative Act of the 14th.03.2020 Donation Acceptance Procedure
As long as there is an immediate public health risk from the spread of coronavirus COVID-19, the absence of which can be determined by decision of the Minister of Health and for a period not exceeding eight (8) months from the entry into force of this Act, the Minister of Health may accept any donation of special hospital equipment of any kind, personal protective equipment and pharmaceuticals of any nature by third parties, natural or legal persons. Acceptance of the aforementioned donations shall be effected without delay with a statement of acceptance of the Minister of Health regarding the donated movable property to their donor. The donated items and related equipment are delivered and taken for distribution by the Ministry of Health. Upon decision of the Secretary-General of Health Services, they shall be distributed and disposed to any public or private entity for use or consumption, including all supervised bodies of the Ministry of Health, Public Health Regions and hospitals, private and public, of all public health structures. As special hospital equipment falling within the meaning of the donated items hereunder, in view of the current public health emergency, are considered: respirators, hospital beds, standard bed equipment, vital signs monitors, closed suction systems, and necessary medical and technological equipment required for the operation of respirators, all kinds of personal protective equipment, masks of all kinds, personal protective equipment and sanitary clothing.
For the donations whose acceptance procedure is carried out in accordance with the present, the circumstance 16 of par. 1 of article 27 of law 2859/2000 (A` 248, VAT Code) is applied, without requiring approval from the Minister of Finance. The acceptance of these donations must be notified to the Ministry of Finance.
Article 58 of the Legislative Act of the 20th.03.2020 Monetary donation procedure for the direct supply of hospital equipment against the spread of coronavirus COVID- 19.
As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, the absence of which can be determined by decision of the the Minister of Health and, in any case, for a period of time that cannot exceed eight (8) months from the entry into force of the present Legislative Act, any individual or legal entity can make monetary donations for the sole purpose of purchasing specialized hospital equipment of any kind, means of personal protection and pharmaceuticals for use or consumption, by the supervised entities of the Ministry of Health, Public Health Districts, private and public hospitals as well as all public health structures designed to deal with coronavirus COVID-19 spread.
The aforementioned monetary donation is promptly approved by a statement of acceptance by the Minister of Health regarding the donated amount of money, explicitly mentioning the donation’s purpose for purchasing items of the specialized equipment mentioned above. The statement of acceptance by the Minister of Health defines the legal entity that falls under the responsibility or supervision of the Ministry of Health to which the amount of money will be donated to conduct the supply of the equipment. All legal entities under private or public law of the Ministry of Health, the National Organization for Public Health, the Public Health Districts and the Institute for Pharmaceutical Research and Technology are explicitly included to the legal entities under the supervision of the Ministry of Health to which the donated amount of money can be given, all of which can conduct the supply of the equipment mentioned in par. 1 by virtue of the Legislative Act of 25.2.2020 and existing legislation for the restraint of the coronavirus spread. Every legal entity, recipient of the donation, that falls under the responsibility or supervision of the Ministry of Health as referred to in the previous subparagraph, is obliged to provide promptly any necessary cooperation through their APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 administration for the collection of the donated monetary amount, the implementation of the supply of the equipment in par. 1 and to provide detailed information and accountability to the Minister of Health for the implementation of the relevant supplies.
After the implementation of the supply, the supplied items are provided by the legal entity recipient of the donation to the supervised entities of the Ministry of Health by decision of the Secretary General of Health Services who allocates the supplied items to any of the legal entities supervised by the Ministry of Health, Regional Health Districts and hospitals, private and public, of all the structures of public health, including primary health care.
Article 28 of the Legislative Act of 30.3. 2020
Establishment of a three-member Audit Committee for the Implementation of Financial Donations to the Special Account of COVID-19 coronavirus of IFET SA
Pursuant to the announcement of E.O.F. from 01.04.2020, the donations of medicines continue to be made normally, with the mention that the owners of the marketing authorization for pharmaceutical products can proceed immediately with the donation, without waiting 15 days from the notification to the relevant department of E.O.F.
Article 13 of the Legislative Act of 13.04.2020, as amended by article 21 of Law 4715/2020
Donation procedure in favor of the National Organisation for Public Health to tackle COVID-19 coronavirus
1. Until 31.12.2020 and as long as there is an immediate public health risk from the spread of coronavirus COVID-19, the absence of which can be determined by decision of the Minister of Health, the National Organisation for Public Health (EODY) may accept any donation in kind and in cash, by third parties, natural and legal persons which can be used in the implementation of the purposes of tracking COVID-19 coronavirus cases. The acceptance of the above donations is carried out without delay upon statement of acceptance by the President of EODY, forwarded by any means, including modern means of electronic communication, to the Minister of Health, for approval, notified to the Minister of Finance and recorded in the books of EODY, where the type and amount of the donation are specifically mentioned. In case of donations in kind, the donated items and the relevant equipment are received by EODY with diligence of its representative bodies, accompanied by a protocol of receipt of donations, notified to the Minister of Health. EODY is obliged to send a detailed report within a period of three (3) months to the Minister of Health on the manner of utilization of donations both in kind and in cash, providing detailed information and accountability.
2. Donations in kind that can be used in the implementation of the purposes of tracking COVID-19 coronavirus cases and fall within the acceptance process of par. 1 are indicatively donations with the scopr of: equipment for personal protection, protective suits, means of transport and vehicles, fixed electronic telephony or teleconferencing equipment, as well as computers.
3. The process of accepting monetary donations, as well as donations in kind is applied also to donations offered to EODY prior to the entry into force of the present, and in any case after the entry into force of the Legislative Content Act of 25.2.2020 (AD 42), as ratified by article 1 of Law 4682/2020 (AD 42), to the purpose of meeting the COVID-19 coronavirus tracking needs. For the approval of the donations of the previous paragraph, along with the declaration of acceptance of the President of EODY which is forwarded to the Minister of Health for approval and notified to the Minister of Finance, a detailed statement is sent with an indication of the donated items and money, their donors, natural and legal persons, as well as the dates of donations. The accountability obligations of EODY to the Minister of Health of par. 1 are also applied to these donations. APR 27TH 2021
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4. For the donations whose acceptance procedure is carried out in accordance with the present, the case 16 of par. 1 of article 27 of law 2859/2000 (VAT Code, AD 248) applies.
Article 16 of Legislative Act of 1.5.2020
Acceptance of donations of medical devices of all kinds to tackle COVID-19 coronavirus
The Minister of Health may accept donations of medical devices of all kinds to tackle COVID-19 coronavirus from third parties, natural and legal persons, in accordance with the procedure and conditions of the eighth article of the Legislative Act of 14.3.2020 (A '64) as ratified by Article 3 of Law 4682/2020 (A΄ 76), as this article was amended by tenth article of Legislative Act of 30.3.2020 (A΄ 75), ratified by Article 1 of Law 4684/2020 (A '86).
Article 14 of Legislative Act of 13.04.2020
Employment of private doctors in public hospitals to deal with emergencies
1. As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, and, in any case, no later than 31.12.2020, all public hospitals of the National Health System may cooperate with private doctors, physicians, general practitioners, otolaryngologists, pulmonologists, anesthesiologists, cardiologists, pediatricians or physicians with specialization in ICU, upon issuance of service voucher, up to two (2) months, with the possibility of extending the cooperation for another two (2) months. The monthly fee of the doctors of the previous paragraph is set at the amount of two thousand (2,000) euros. This fee is tax-free, ivoliable and non-attachable in favor of the State or third parties, by way of derogation from any general and special provision, is not subject to any withholding, fee or levy, is not bound and is not offset by certified debts to the Tax Administration and the Plublic Administration, in general, municipalities, regions, insurance funds or credit institutions and is not calculated on income thresholds for the payment of any social or welfare benefits. In case of participation of the present physicians in a process of selection of filling positions of NSS physicians, the passing months of provision of services according to the first paragraph are scored in a way as applicable to the auxiliary physicians of public hospitals in barren, insular, problematic or remote areas. The doctors of the first paragraph may, by decision of the hospital administrator and with the consent of the competent director of the clinic, participate in the on-call services of the hospital with a fee equal to that of Curator B. The cooperation with private doctors, in accordance with the terms hereof, is approved by a decision of the Administrator of the Health District (RA), where the hospital belongs, after a specially justified request of the Chielf of the hospital, pursuant to par. 4 of article 9 of Presidential Decree 80/2016 (AD 145) regarding the issuance of commitment decisions or a corresponding request of the Board of Directors (BoD) of the relevant Health District.
2. As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, and, in any case, no later than 31.12.2020, private doctors of the specialties of par. 1 may also provide services only during the on-call hours of the hospitals of the National Health System upon issuance a service voucher for a period of two (2) months with the possibility of extension for another two (2) months. The fee of the doctors of the previous paragraph for the on-call employment is equal to the fee of Curator B. In case of participation of the present physicians in a process of selection of filling positions of NSS physicians, the passing months of provision of on-call services according to the first paragraph are scored in a way as applicable to the auxiliary physicians of public hospitals in barren, insular, problematic or remote areas. The cooperation with private doctors, in accordance with the terms hereof, is approved by a decision of the Administrator of the Health District (RA), where the hospital belongs, after a specially justified request of the Chief of the hospital, pursuant to par. 4 of article 9 of Presidential Decree 80/2016 (AD 145) regarding the issuance of commitment decisions or a corresponding request of the Board of Directors (BoD) of the relevant Health District. APR 27TH 2021
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3. Private doctors employed in public hospitals in application of the present cannot exceed a total of six hundred. By decision of the Minister of Health, this number is distributed among the Health Districts. Article 29 of Legislative Act of 30.03.2020
Establishment and operation of a National Patient Register for the COVID-19 coronavirus
By decision of the Minister of Health, a National Patient Register for the COVID-19 coronavirus is established and operated, with the aim of protecting the health of the population, in light of the great impact of the disease on the general population, the need to record epidemiological data, vigilance on pharmaceutical matters and supervision of health care providers in the private sector.
In this context, any public or private body of primary, secondary or tertiary health care services, throughout the Territory, any physician who provides services with any employment relationship with the Public sector, or local authorities, or legal persons governed by public or private law, as well as any freelance physician, is obliged, without delay, to inform the Registry and the N.P.H.O. for every case of the disease that comes to their attention.
Any failure to fulfill the obligation of the previous paragraph shall result in the administrative penalty of temporary suspension of the operating license of the health care private law legal entity for a period of 6 months and, in case of recurrence, even the penalty of final revocation of the operating license. A corresponding omission of a private sector physician, scientifically responsible for a doctor's office, constitutes the disciplinary misconduct of cases c and d of par. 1 of article 319 of law 4512/2018 (A’ 5).
The Ministry of Health is responsible for processing the data and during such processing they shall take the necessary technical and organizational security measures.
People whose data is processed under the National Patient Register for COVID-19 coronavirus have the rights provided by the GCPD and any other regulation on the protection of personal data kept in medical records and apply to the Electronic Prescribing System.
Recipients of data from the National Patient Register for COVID-19 include the attending physician or any other health care professional during hospitalization or a visit to a public or private health care facility for health services, as well as public health professionals and public administration agencies, for the purpose of fulfilling a public interest in the field of public health.
Recipients of pseudonymous and anonymous information4 may be the services of the Ministry of Health and institutions supervised by the Ministry of Health or, possibly, other public bodies or international organizations for purposes which make this transmission necessary for reasons of substantial public interest. European Patients Registers for the COVID-19 coronavirus may receive pseudonymous or anonymous information to conduct statistical or scientific studies on the COVID-19 coronavirus.
It is expressly prohibited to provide data by the Registry to insurance companies and banks. This prohibition cannot be waived by the data subject.
Finally, criminal penalties are provided in such case of illegal processing of personal data kept within the National Register of Patients for the COVID-19 coronavirus. In particular, it is provided that the unauthorized intervention in any way in the archiving system of the National Patient Register for the COVID-19 coronavirus, or the receipt of personal data kept in this Register, or the removal, alteration, damage, destruction, processing, transmission,
4 Information from which the identity of the subjects cannot emerge directly or indirectly. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 announcement, notification to unauthorized persons or exploitation in any way, is punishable by imprisonment and a fine, and, in the case of sensitive data, by imprisonment of at least one (1) year and a fine of at least twenty thousand (20,000) euros, unless the act is more severely punished than other provisions.
If the perpetrator of the act intended to receive for himself or for any third party illegal benefit or to damage a third party, imprisonment of up to ten (10) years and a fine of at least fifty thousand (50,000) euros shall be imposed.
For more details on Article 29 of the Act of Legislative Content of 30/03/2020, click here
Finally, please also see MD no. 2649 (FΕΚ Β’ 1390/14.04.2020)
Article 20 (Legislative Act of 1.5.2020)
Update of the National Register of Patients by the COVID-19 coronavirus - Access to data of the General Secretariat for Civil Protection
1. At the beginning of the operation of the National Register of Patients by the COVID-19 coronavirus, it is permitted to update it, through the retroactive granting of data to IDIKA SA, which have come to the knowledge of the users for tracking purposes, and concern all the confirmed cases.
2. The General Secretariat for Civil Protection (G.G.P.P.), in the context of the tracking purposes, may have access to the following data regarding the outpatient course: a) the type of bed where each patient is treated (ICU, MAF, simple) and any changes, as well as b) outcome of the treatment (discharge due to treatment or death).
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
8. ESPECIALLY FOR THE HEALTHCARE PROVIDERS
ISSUES CONCERING MEDICAL PRESCRIPTIONS AND VALIDATION OF EXPENDITURES
Article 36 of the Legislative Act of 20.03.2020 Government Gazette Α’68/2020
Digital operation of the electronic medical prescription system
For a period of two (2) months from the entry into force of the present Legislative Act, due to the risk of further spread of the coronavirus COVID-19 and for the reduction of physical contact between patients and physicians and the accommodation of patients, by derogation from the existing legislation regarding electronic medical prescription, the electronic medical prescription shall be carried out according to this article. The electronic medical prescription and the electronic medical referral are moved and executed exclusively electronically through the Primary Health Care System (https:// www.e-syntagografisi.gr/p-rv/p) which is operating and managed by the Social Security Electonic Governance S.A..
The patient can connect to the Primary Health Care System (https://www.e-syntagografisi. gr/p-rv/p) either with the passwords for the Primary Health Care System, if it has such (“Entry via PHC”), or with the use of the passwords- credentials for the General Secretariat of Information Systems of Public Administration of the Ministry of e- Governance (taxisnet) and declares that it wishes to receive electronically the prescriptions for drugs that are prescribed to it. In that case, the patient also necessarily needs to declare how it will receive the above prescriptions, either via sms on its mobile phone, entering its mobile phone number in the system, or via e-mail to its e-mail address, entering its e-mail address in the system.
When the patient has declared that it wishes to receive electronically its medical prescriptions, once the physician has registered the medical prescription, the patient is informed regarding the issuance of the prescription via sms in its mobile phone, which includes the unique number of the prescription (prescription barcode) and the validity period or/and via e-mail with all the necessary information included in the prescription, namely unique number of prescription, pharmaceutical, diagnosis and validity period. The above procedure is performed in the Electronic Prescription System to which physicians are connected with their unique certification codes. For each electronic medical prescription, the details regarding the physician who registered it and the date of the registration are recorded.
When executing the electronic medical prescription the pharmacist is not provided with the physical form of the physician’s prescription. The pharmacist recovers the electronic medical prescription by entering in the Electronic Prescription System the prescription unique number (barcode) or the patient’s Social Security Number. In the case of executing the electronic medical prescription based on the prescription unique number, the pharmacist searches for APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 and executes the electronic medical prescription based on its unique number (prescription barcode). Once the pharmacist executes the prescription, the patient receives information message in the mobile phone or / and the e- mail address that it has registered, including information on the execution of the prescription. In the case of executing the electronic medical prescription based on the patient’s Social Security Number, the pharmacist enters in the Electronic Prescription System the Social Security Number of the patient who has declared that it wishes to utilize electronic medical prescriptions, to look for the patient’s Electronic Prescriptions that are to be executed. The system sends a one-time-password to the patient via sms on its mobile phone or/and the e-mail address that it has registered to confirm its presence. The patient notifies the code to the pharmacist who puts it into the Electronic Prescription System and gains access to the patient’s Electronic Prescriptions that are to be executed. Once the pharmacist executes the prescription, the patient receives an information message on its mobile phone or/and the e-mail address that it has registered including information on the execution of the prescription.
By joint ministerial decision by the Ministers of Health and e-Governance, the period of application of the above exceptional and temporary measure can be extended considering the course of the development of the coronavirus COVID-19 phenomenon.
Article 49 of the Legislation Act of 20.03.2020, Government Gazette A’68/2020
Prescription reissue procedure in the Electronic Prescription System
As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, the absence of which can be determined by decision of the Minister of Health, and, in any case, no later than 30.6.2020, monthly or repeating prescriptions regarding stable medication that chronically ill patients receive and by the time of the entry into force of the present Legislative Act their validity has expired, are renewed for a period of up to three (3) months and are executed until 30.6.2020 as follows: Physicians can reissue the prescription, at the patients request by telephone, fax, e-mail or sms via mobile phone. These prescriptions do not require the physician to issue a prescription sheet and the accompanying forms. With the prescription issued by the physician, the prescription will be available electronically in pharmacies for execution only through the Electronic Prescription System. In case of pharmaceuticals available on individual order, after the reissue of the prescription, the order is made by the physician accompanied with the comments on the prescription that it is about “repeated treatment”, which, until 30.6.2020, takes the place of the individual instructions document, by derogation of existing legislation. The beneficiaries of medical care, their first and second degree relatives or third parties authorized, can come with the necessary identification documents, namely ID and ΤΙN, to the pharmacy of their choice with the code (barcode) of the prescription. The pharmaceuticals can also be received by third parties with the identification documents stated above and by filling out a solemn declaration that is drafted and delivered to the pharmacy. The identification documents are mentioned in the prescription execution sheet. By derogation of existing legislation, it is possible in the pharmacies of the National Organization for the Provision of Health Services to simultaneously execute three consecutive sheets of repeated prescriptions which are in force or to be issued from the date of entry into force of this Legislative Act.
As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, the absence of which is determined by decision of the Minister of Health, and, in any case, no later than 30.6.2020, the validity of monthly or repeating prescriptions concerning stable medication that chronically ill patients receive, which have either been issued in the Electronic Prescription System but their validity has not expired yet or are to be issued following a decision by the administrative council of National Organization for the Provision of Health Services, may be extended.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 50 of the Legislative Act of 20.03.2020 Government Gazette Α’68/2020 Procedure of the continuation of medication regarding pharmaceuticals of Electronic Pre-approval System
As long as an imminent risk for public health persists due to the coronavirus COVID-19 spread, the absence of which can be determined by decision of the Minister of Health, and, in any case, no later than 30.6.2020, regarding pharmaceuticals that are approved through the Electronic Pre-approval System (EPS), the continuation of medication for patients who already receive treatment by 30.6.2020 is possible, following the registration of a relative e-request by the physician on the EPS e-platform.
Article 51 of the Legislative Act of the 20th.03.2020 (Issue A’ 68 Government Gazette), as amended by article 24 par. 24 of Law 4715/2020
Delivery procedure for pharmaceuticals to vulnerable groups and to quarantined patients
Until 31.12.2020 and as long as there is still an immediate risk of spread of coronavirus COVID-19, to ensure the continued treatment of the vulnerable groups of the population as well as of the patients who are quarantined pursuant to the Legislative Act of the 25th.2.2020, pharmaceuticals can be delivered to the insured with same-day delivery from the pharmacies of the National Organization for the Provision of Health Services, through a certified courier company. By decision of the Board of Directors of the National Organization for the Provision of Health Services the details of implementation herein are set out. For a period of four (4) months from the entry into force of this Act and as long as there is still an immediate risk of spread of coronavirus COVID-19, the emergency procurement procedures of any equipment necessary for the implementation of paragraph 1, as well as the provision of services, in particular courier or telecommunications services, may be carried out by the National Organization for the Provision of Health Services, by the direct designation and with sole criterion the lowest bid value, by way of derogation from any relevant provision of the national public procurement legislation in force.
According to article 7 of Law 4764/2020 (Government Gazette A` 256 / 23.12.2020) the following apply:
The validity of the fifty-first article of the Legislative Content Act of 20.3.2020 (A` 68), which was ratified by article 1 of Law 4683/2020 (A` 83), regarding the procedure of sending drugs to vulnerable groups and in restricted patients, is extended until 31.3.2021.
Article 9 of Legislative Act of 13.04.2020
Extension of free pharmaceutical care for the Uninsured
1. The validity of the decisions of providing free pharmaceutical care for uninsured patients issued by municipalities under article 33 of law 4368/2016 (Α6 21) is extended until 31 May 2020, provided that until the entry into force of the present applications submitted for extension have not been registered as approved by the Electronic Register of uninsured - economically weak citizens under Article 4 of no. 25132 / 4.4.2016 of joint ministerial decision (Β΄ 908) or if the validity of the above decisions expired after 25 February 2020, without submitting an application for renewal.
2. By joint decision of the Ministers of Health and Labor and Social Affairs, the validity of the decisions of par. 1 may be extended again, as well as the decisions whose expiration of the validity follows the expiration of the decisions of par. 1.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 18 of Legislative Act of 13.04.2020
Provisions for issuing intangible prescriptions procedure
1. Doctors contracted with EOPYY and family physicians who issue prescriptions or medical advice, without the physical presence of the patient, for medication or other healthcare provisions according to the procedure of article 36 of the Legislative Act of 20.3.2020 (Α΄ 68), as ratified by article 1 of law 4683/2020 (Α΄ 83), or the procedure of par. 1 of article 49 of the same Legislative Act, or advice for chronically ill persons of article 53 of the same Legislative Act submit to the respective monthly submission to EOPYY the planned visit form, in which is written the number of the intangible prescription, without the signature of the insured for their compensation.
2. The provision of par. 1 is effective from 20 March 2020.
Article 20 of Legislative Act of 13.04.2020
Electronic Pre-approval System (S.I.P.)
1. In article 265 of law 4512/2018 (Α΄ 5) par. 3 is added as follows:
“3. In the Electronic Pre-Approval System (S.I.P.) of E.O.P.Y.Y. all requests related to the prescription of medicines for indications other than the approved, concerning insured patients of other Social Insurance Systems, as well as uninsured patients, examined in the same way as the respective requests of the insured persons of EOPYY are examined. The granting of approval in these cases does not imply the undertaking of the insurance coverage by EOPYY.” 2. The Ministerial Decision no. ΔΥΓ3/οικ.Γ.Υ. 154/2012 (Β΄ 545) is abolished.
COVID 19 PATIENTS MEDICATION Article 36/Legislative Act of 30.3.2020
Approval of the administration of pharmaceuticals other than for the approved indications to patients with coronavirus COVID-19
As long as there is still an imminent risk to public health from the spread of COVID-19 coronavirus, and provided that there are no approved appropriate treatments for COVID-19 coronavirus, according to the pharmaceutical legislation, a decision may be provided for, by the Minister of Health, following the opinion of the National Commission for the Protection of Public Health against the coronavirus COVID-19 issued following a recommendation by the Commission for the Emergency Management of Public Health by Infectious Diseases, the issuance of licensed pharmaceuticals for another indication which are considered likely to be effective in combating COVID-19 coronavirus. The decision of the previous paragraph defines the approved treatment regimen to be administered, with reference to their active substances, the form, the content and the indicated dosage, and the physicians are granted the right to administer the antiviral therapy approved according to the above against the coronavirus COVID-19, in the following categories of patients: (a) in patients who have developed severe pneumonia due to exposure to the virus, (b) in patients with the disease with mild to moderate symptoms and in whom risk factors coexist; or age factors or laboratory evidence of adverse outcome due to underlying diseases.
With the procedure of par. 1 the administration of the above treatment regimens may be re-examined, their regimens and dosages may be modified, the treatment regimens according to par. 1 and the categories of patients in whom are appropriate may be updated taking into account the latest scientific, clinical and epidemiological data. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 37/Legislative Act of 30.3.2020 as replaced by article 6 of law 4764/2020 (A '256 / 23-12-2020) and is valid from the publication of the law in the Government Gazette, ie from 23/12/2020, according to article 192 of the same of law.
Procedure for administration of pharmaceuticals other than for the approved indications to patients with coronavirus COVID-19 by treating physicians
As long as there is still an imminent risk to public health from the spread of COVID-19 coronavirus, and provided that there are no approved appropriate treatments for COVID-19 according to pharmaceutical legislation, in any case, for a period not exceeding 31.3.2021, the procedure for administering pharmaceuticals to patients, following the issuance of the ministerial decision of the thirty-sixth article, shall be carried out by a decision of the treating physician and shall be carried out by the following procedure: a) The treating physician notifies the "Electronic Pre-Approval System" (S.I.P.) of the National Organization for the Provision of Health Services (EOPYY) during the circumstance c of par. 1 of article 265 of law 4512/2018 the pharmaceutical administration or a combination of pharmaceuticals other than for the approved indications in a particular patient, including all the supporting documents required by the platform, as well as: (aa) written consent for the administration, after informing the patient or their relatives or their legal representatives, if they are unable to grant it, (ab) solemn declaration of the physician for the need of off-label administering of pharmaceuticals and (ac) approval of the Director of the hospital clinic where the pharmaceuticals are administered. b) The National Organisation for Medicines (EOF) confirms that this is a pharmaceutical other than for the approved indications and EOPYY, after checking the completeness of the submitted documentation, validates the notification stating the indication "full notification for COVID-19", in which case the pharmaceutical can be administered by the treating physician.
In the cases of the present, the "Electronic Pre-Approval System" (S.I.P.). of the National Organization for the Provision of Health Services (EOPYY) functions as a Register of Records of administration of medicines out of the approved indications for the treatment of coronavirus COVID- 19. For this reason, all cases of administration of drugs out of the approved indications against coronavirus COVID-19 are notified by the above procedure to the S.I.P., which concern insured persons and insured to other social security institutions, as well as the uninsured.
The submission of requests to the S.Ι.P. and their processing is part of the processing of specific categories of personal data, which is necessary for reasons of public interest in the field of public health protection for coronavirus COVID- 19, without the consent of the data subject. Such processing shall be subject to appropriate and specific measures for the protection of the rights and freedoms of individuals. The processing of the above data related to health for reasons of public interest is strictly prohibited as a result of the processing of personal data for other purposes from any third party apart from the National Organisation for Medicines (EOF), the EODY, the General Secretariat for Civil Protection and the Special Committees for dealing with the pandemic. The data controllers or processors and each of the above entities have an absolute obligation of confidentiality.
The treating physicians are obliged to observe the approved way of disposal of the above medicines and to be informed by the approved Summary of Product Characteristics (SPC), in particular over items 4.3 (contraindications), 4.4 (special warnings and precautions), 4.8 (side effects) and 5.1 (clinical data).
The treating physicians comply with pharmacovigilance obligations. The Director of the clinic, where these medicines are administered, notifies the Evaluation Department of EOF with the indication “off label COVID-19” every fortnight APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 and earlier, when he deems it necessary, the safety and efficacy data of the patients to whom the treatment regimen was administered. treatment outside of approved indications.
The EOF transfers the data submitted to the National Committee for the Protection of Public Health against coronavirus COVID-19 for evaluation, in collaboration with the Committee for the Treatment of Public Health Emergencies by Infectious Diseases and the scientific community.
The provisions hereof shall apply accordingly, in the event that it is decided the possibility of receiving the specific treatment regimens to non-hospitalized patients to be granted, provided that this method of disposal is approved by the EOF, in accordance with the relevant marketing authorization. In this case, the treating physician is subject to all the above-mentioned reporting obligations and safety and efficacy data for each patient.
Article 38/Legislative Act of 30.3.2020
Administration of pharmaceuticals in the context of an emergency temporary permit for early access to unapproved pharmaceuticals for patients with coronavirus COVID-19
As long as there is still an imminent risk to public health from the spread of COVID-19 coronavirus, and provided that the conditions of normal patient admission to an approved clinical trial in Greece do not meet the provisions, a special procedure is introduced for emergency temporary permit for early access (palliative use) in unapproved pharmaceuticals for patients with coronavirus COVID-19, by way of derogation from the existing provisions and in particular the provisions of no. ΔΥΓ3α Γ.Π.85037 / 10/2011 ministerial decision "Terms, conditions and procedure for granting temporary permit for early access to pharmaceuticals for human use (" consoling use ")" under the following conditions: a) The pharmaceutical company implementing an early pharmaceutical (medicine) access program under clinical trial for patients with coronavirus COVID-19 ("program manager") submits to the EOF a request for the granting of an emergency temporary access permit for the said program with information of par. 2 of Article 3 of the above Ministerial Decision, except for those referred to in items (c) and (g). b) The EOF evaluates the request with the submitted information, including the treatment protocol, and, if it issues the emergency temporary access permit, the "program manager" posts on its website the necessary information about the program, the criteria for joining and excluding patients and a submission form of a specific request by the treating physician. c) In derogation from the provisions of paragraph 3 of Article 3 of the above Ministerial Decision and in general of the current legislation, the indication of early access for patients with coronavirus COVID-19 must be based on the available information, and its choice must be justified based on the unsatisfactory results of the available treatments (other than for the approved indications) or their depletion or the inadequacy of their administration to specific patients due to their state of health, must rely on the expected benefit from the new treatment and identify with the indication for which clinical trials are being conducted. d) The inclusion of patients in the early access program takes place in accordance with the provisions of Article 4 of the above Ministerial Decision. By way of derogation from the provisions of par. 2 (b), the treating physician's declaration must justify their choice based on the unsatisfactory results of the available treatments (other than for the approved indications) or their depletion or the inadequacy of their administration to specific patients due to their health status and the expected benefit from new treatment. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 e) For the administration of pharmaceutical, one-time notification of the program to the Scientific Council of the hospital is required with the consent of the Director of each clinic or unit where it is administered.
Article 39/30.3.2020
Pharmaceutical Medication for patients with coronavirus COVID-19
Any prescription made and administered regarding the administration of pharmaceuticals other than for the approved indications to patients with coronavirus COVID-19 by treating physicians shall be kept for two years and shall be reimbursed in accordance with the provisions in force, without the need for approval prior to receiving such treatment, except for cases of pharmaceuticals’ administration in the context of an emergency temporary permit for early access to unapproved pharmaceuticals for patients with coronavirus COVID-19, in which the cost is covered by the “person in charge of early access”.
In case of administration of pharmaceuticals other than for the approved indications to patients with coronavirus COVID-19 by treating physicians, for the prescription of which in their approved indication, according to their marketing authorization, a prescription is required, the competent pharmacy shall keep a copy of the prescription, which bears the patient's signature, for two years.
In any case where it is not possible to provide written consent of the patient, their relatives or their legal representatives, the treating physician may receive it by any other appropriate means, such as by e-mail, sms or even orally, confirming this in the declaration submitted for the administration of the pharmaceutical.
Each extraordinary import required for the application of the present presupposes an extraordinary import license from the EOF, in application of par. 4 to 6 of article 8 of n.d. 96/1973 (A` 172), as replaced by article 29 of law 1316/1983 (A` 3) and par. 2 of article 6 of no. ΔΥΓ3α / 32221/2013 of joint ministerial decision (Β` 1049).
Article 16 of Legislative Act of 13.04.2020 as replaced by paragraph 1 of article 8 of law 4764/2020 (A '256 / 23-12- 2020) and is in force from the publication of the law in the Government Gazette, ie from 23/12/2020, according to article 192 of the same law.
Provision of medical services at home or remotely from doctors contracted with EOPYY and family physicians of PHC to patients with COVID 19 Coronavirus
1. Provided that there is still an immediate risk to public health from the spread of COVID-19 coronavirus and for a period not exceeding the 31.3.2021 for the purpose of ensuring public health and limiting the spread of the virus, the doctors contracted with EOPYY and the family physicians of the Primary Health Care Units (PHC), make home visits or provide remote services with safe means of communication defined by a decision of the Minister of Health, upon the recommendation of the board of EOPYY to insured and uninsured patients with COVID 19 coronavirus that remain at home. For the above period of time, by derogation of the provisions of the Single Regulation of Health Services of EOPYY and the contracts of the doctors of the previous subparagraph, their compensation is determined as follows: a. The compensation of the family physicians of the PHC and the doctors contracted with EOPYY who attend home visits is set at the amount of thirty (30) euros per visit and up to the amount of one hundred and twenty (120) euros per patient for the completion of the cycle of fourteen days of monitoring. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 b. The compensation of the family physicians of the PHC and the doctors contracted with EOPYY who provide remote services to the patients with COVID 19 is set at the amount of ten (10) euros per remote session and up to the amount of eighty (80) euros per patient for the completion of the cycle of fourteen days of monitoring.
2. The amounts per visit or session of par. 1a and 1b for services to the insured burden the budget of EOPYY and are included in the maximum monthly fee of two thousand (2,000) euros.
3. The payment of the total monthly amount concerning the services to the insured and the uninsured of the par. 1 requires both for the doctors contracted with EOPYY and for the family physicians of PCH the submission of a detailed list of visits at home or remote sessions.
4. The maximum number of doctors who may provide medical services in accordance with the present, the procedure for submitting, monitoring and reimbursing such expenses, as well as any necessary details, shall be determined by a joint decision of the Ministers of Finance and Health, issued upon the opinion of Board of Directors of EOPYY.
5. Regarding the remuneration of the doctors contracted with EOPYY and the family physicians of PHC for home visits to patients who do not fall under par. 1, the regulations of the Single Regulation of Health Provisions of EOPYY (Β΄ 4898/2018) and their contracts with EOPYY apply.
6. The cost for providing medical services to uninsured patients, ie the amount of thirty (30) euros for the home visit and ten (10) euros for the remote session, as well as for the services provided to the insured patients and relate to services of par. 1, which exceed the limit of par. 2 and in any case not exceeding the maximum limit of three thousand (3,000) euros per month, is paid by EOPYY and is covered by an extraordinary grant from the extraordinary funding of the Ministry of Health according to the fifth article of Legislative Act of 25.02.2020.
Article 17 of Legislative Act of 13.04.2020 as replaced by paragraph 2 of article 8 of law 4764/2020 (A '256 / 23-12- 2020) and is in force from the publication of the law in the Government Gazette, ie from 23/12/2020, according to article 192 of the same law
Provision of medical services at home or remotely from healthcare providers of the PHC Units to patients with COVID- 19 coronavirus.
1. Provided that there is still an immediate risk to public health from the spread of COVID-19 coronavirus and for a period not exceeding the 31.3.2021 for the purpose of ensuring public health and limiting the spread of the virus, the healthcare providers of the Primary Health Care Units (PHC) of ESY may make home visits or provide remote services with means of communication which are defined by a decision of the Minister of Health, upon recommendation of General Secretary of Health Services, to insured and uninsured patients with COVID-19 coronavirus who remain at home.
2. The compensation of the healthcare providers of the PHC Units of ESY who provide services at home or remotely, as defined in par 1, to patients with COVID-19 coronavirus outside their regular hours is set to the hourly wage of active duty.
3. The amounts of the compensation payable in paragraph 2 for the services provided to the patients shall burden the budget of the Health Districts and shall be calculated as additional fees.
4.The maximum number of doctors who can provide medical services in accordance with the present, the manner of proving the services they provide at home and remotely, as well as any related details are determined by a joint decision of the Ministers of Finance and Health issued following the opinion of the Board of Directors of EOPYY. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 19 of Legislative Act of 13.04.2020
Provision of health services to patients with coronavirus through digital infrastructure
1. Digital infrastructure and services determined by a joint decision of the Ministers of Health and Digital Governance may be used to provide counseling, guidance and support to patients who have been diagnosed with COVID-19 coronavirus and their housemates and they remain at home during their follow-up. A similar decision may provide for the interoperability of these digital applications with existing public e-health infrastructure.
2. By decision of the Minister of Health, the use of infrastructure and systems of Information Technology and Communication Technology of par. 1 may be extended to remote communication and telecommunication with medical consultants in cases of chronically ill patients with other underlying diseases.
3. By joint decision of the Ministers of Health and Digital Governance the mode of operation and the technical characteristics of the electronic application through which HCPs provide advice, guidance and support to patients with COVID-19 coronavirus are regulated in order to monitor their health and inform them properly.
4. The telemedicine services of par. 1 are provided as long as the possibility exists and under the responsibility of the healthcare provider who undertakes the respective incident. The attending healthcare provider is obliged to ask the patient, or, if this is not possible, a first-degree relative or housemate, to consent to the medical practice of telemedicine, in accordance with the provisions of Articles 1 and 12 of Law 3418/2005 (Code of Medical Ethics, A’ 287), for the use of telemedicine services.
VALIDATION OF EXPENDITURES ISSUES
Article 52 of Legislative Act 20.03.2020 Issue Α’68/2020 of the Hellenic Government Gazette, as amended by article 24 par. 5 of Law 4715/2020
Provisions for the payment and clearance of the accounts of private pharmacies and public health service structures
Until 31.5.2020, private pharmacy accounts may be cleared, by way of derogation from any specific or general provision, (a) by rough audit, (b) up to 80% of the invoiced amount, (c) without sending the invoice with the documentation of prescription to EOPYY, by only submitting electronically to the portal www.eopyykmes.gr the Invoice, the Submission Cover Letter and the Aggregate Payment Report. By decision of the Minister of Health, issued upon recommendation of the Governing Board( Issue A’ 68/20/03/2020 of the Hellenic Government Gazette) any other details necessary for the implementation of the preceding subparagraph shall be specified and the validation period may be extended by way of derogation from the general and specific provisions, no later than 30.6.2020.
Paragraph 2 was replaced by paragraph 5 of article 24 of Law 4715/2020 (Government Gazette A '149 / 01-08-2020) and is valid from the publication of the law in the Government Gazette, ie from 01/08/2020, according to with article 45 of the same law.
Until 31.11.2020, by way of derogation from the applicable legislation, NHS hospitals, military hospitals, hospitals under special regime, other legal entities governed by public law, other public health service structures, as well as private pharmacies are excluded from the validation procedure solely for the supply of pharmaceuticals to EOPYY insured persons. By decision of the Minister of Health, issued upon recommendation of the Board of Directors of APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
EOPYY, any other details necessary for the implementation of the preceding subparagraph shall be specified and the validation period may be extended by way of derogation from general and specific provisions, no later than 31.12.2020.
Extension by EOPYY of the submission of February expenses by the contracted Health Providers until 31/03: https://www.eopyy.gov.gr/article/87e05c9f-214c-4598-b2e1-2b5ddeaa5d57
Article 53 of the Legislative Act of the 20th.03.2020 (Issue A’ 68 Government Gazette), as amended by article 24 par. 6 of Law 4715/2020
Reissuance of medical opinions at the expenditure information system of the National Organization for the Provision of Health Services e-dapy
As long as there is still an immediate risk of spread of coronavirus COVID-19 and no later than 31.12.2020 monthly or recurring medical opinions for chronically ill people, regarding periodically granted benefits referred to in par. 7 c and par. 8 of Article 2 of this Act, as well as in Article 53 of the Health Benefits Regulation are renewed upon expiry, according to the following procedure: Medical practitioners may issue electronic medical opinions regarding these benefits at the request of beneficiaries via telephone, fax, email or mobile text message. For these medical opinions the issuance and printing in hard copy and the approval of a medical auditor are not required. The medical practitioner shall state that the electronic medical opinion is issued pursuant to this Act and shall inform the recipient of the barcode by any possible means, such as via telephone, fax or e-mail. The beneficiaries can also view the barcodes of their medical opinions in their Health Record. Upon issuance of the medical opinion by the medical practitioner, the medical opinion is available electronically at the affiliated pharmacies and other health providers affiliated with the National Organization for the Provision of Health Services, through the indicated barcode by the expenditure execution and submission information system of the National Organization for the Provision of Health Services e-dapy. Medical opinions issued by the above procedure until 30.6.2020 are executed until the expiration date, as defined on the issued electronic opinion. Medical opinions may be issued according to the aforementioned procedure until 31.12.2020, being executed until their expiration date, as specified on the electronic medical opinion issued. Healthcare beneficiaries, their first and second degree relatives or authorized third parties may come with the necessary identification documents, i.e. ID Card and TIN (Taxpayer Identification Number), to the affiliated pharmacies and other health providers of their choice affiliated with the National Organization for the Provision of Health Services with the barcode of the medical opinion. The recipient's identification details shall be indicated on the Medical Opinion Execution Sheet or the Receipt Form upon receiving the prescribed items. The validity of the fifty-third article of the Legislative Content Act of 20.3.2020 (A` 68), which was ratified by article 1 of Law 4683/2020 (A` 83), regarding the procedure of re-issuing opinions in the information submission system of expenses of EOPYY e-dapy, extended until 31.3.2021.
Article 54 of Legislative Decree 20.03.2020 Government Gazette Α’68/2020, as amended by article 59 of Law 4722/2020
Destitute and uninsured patients with chronic kidney failure
Where there is still a direct risk of COVID-19 expansion, and for a period of time until 31.12.2020 Legislative Decree, destitute and uninsured patients with chronic kidney failure of a final stage, for which replacement therapy of the kidney function is required with hemodialysis and which have not been placed in a permanent regular position at an Artificial Kidney Unit of a public hospital, referred to as wandering kidney patients, may be part of hemodialysis units APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 of the private sector that have contracted with E.O.P.Y.Y., (Artificial Kidney Unit) of private clinics and of Chronic Hemodialysis Units, for regular hemodialysis in accordance with the therapeutic protocol. The integration of the previous passage shall be effected by decision of the President or the Vice-President of E.O.P.Y.Y., after the opinion given by the Coordination and Control Service of a programme of kidney failure at a final stage of the General Hospital of Athens “Georgios Gennimatas”, by proportional distribution and based on the place of residence of the hemodialysis patients, at the closest Artificial Kidney Units and Chronic Hemodialysis Units of the private sector that have a contract. The procedure for the submission, control and compensation of the costs, as well as any relative details shall be determined by decision of the Minister of Health, which is issued following a recommendation by the Board of Directors of E.O.P.Y.Y. The expenditure of the preceding passage shall be covered by an exceptional grant from the exceptional financing of the Minister of Health, in accordance with Article 5 of the Legislative Decree dated 25.2.2020. The validity of the fifty-fourth article of the Legislative Content Act of 20.3.2020 (A` 68), which was ratified by article 1 of Law 4683/2020 (A` 83), regarding the possibility of including the uninsured patients with chronic kidney failure of final stage in contracted with the National Organization for the Provision of Health Services private dialysis units for the performance of regular dialysis, is extended until 31.3.2021.
Article 56 of Legislative Decree 20.03.2020 Government Gazette Α’68/2020
Procedure for dealing with the inability to perform accounts clearance, completion or payment of private providers.
In unforeseen cases that, due to the spread of COVID-19 coronavirus, it is impossible to carry out the process of accounts clarance, completion or payment of private providers by the services of the EOPYY Organization or part of it, which is established by the decision of the General Director of Financial Services of EOPYY, the expenses of the Organization payable from the date of entry into force until 31.5.2020 shall be reimbursed up to 80% of the requested amount, without final clearance by derogation from the existing legislation, after exclusively checking the invoices submitted to the electronic system of the Organization (e-dapy). Subsequently, systemic payment orders are issued, signed by the President or Vice President of the Organization and the General Director of the Financial Services of E.O.P.Y.Y., notwithstanding any limit, by derogation from the existing legislation. The above payment orders are submitted aggregated and are sent electronically through the DIAS system, to the bank for payment execution. These amounts are not confiscated, offset or withheld by the State or third parties.
The entire process of Paragraph 1 is performed electronically through the financial management system of EOPYY, by derogation from any other general or specific provision. In addition, the filing of the above does not require the submission of fiscal and insurance information or a debt certificate under Article 12 par. 6 of law 4174/2013 and its delegated decision, which will be submitted after the expiry of the measures, on final validation. The final clearance will take place no later than July 31st, 2020. The rate of the reimbursed amount may be re-determined by a joint decision of the Ministers of Finance and Health, following a reasoned proposal by the Board of Directors of E.O.P.Y.Y. The period of application of the exceptional procedure hereunder may be extended by similar decision but no later than 30 June 2020. Article 57 Extension of E.K.P.Y. deadlines. Since the entry into force of the present, the designated deadlines for the submission and validation of individual service requests under the Unified Health Services Regulation, as well as the deadlines for performing referral diagnostic examinations and service reports of the Unified Health Services Regulation, are extended until 30 June 2020.
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Committee for the monitoring of pharmaceutical expenditure (Government Gazette Β’ 1395/2020)
By a ministerial decision, a Commission was established at the Ministry of Health to monitor pharmaceutical expenditure and complete diagnostic / treatment protocols and create patient records.
Law 4683/2020 (Government Gazette Α’ 83/2020) – Amendments of provisions of Law 4512/2018 on the reimbursement of pharmaceutical products (assessment and negotiation procedure) In a nutshell the following are regulated:
1. The access to e-Government Center for Social Security (IDIKA) data is explicitly related to medicines for which the Marketing Authorization Holder has submitted application for assessment. 2. The application for the removal of a medicine form the Positive List is addressed to the Negotiation Committee. 3. The non-negotiation procedure for generic drugs will be justified by the Negotiation Committee. 4. Hospital expenditures, etc. incurred until 31.3.2020 are legalized.
5. A new Special Assessment Sub-Committee is provided for the examination of the exceptionally prescribed drugs referred under paragraph 1d of Article 265 of Law 4512/2018 (ie through SIP).
6. Abolition of legislative framework on non-interventional studies
7. Extension of validity of contracts between healthcare providers and EOPYY until 10.10.2020 at the latest (see following provision for details).
8. Coverage of the transporting expenditures of personal protective products and hospital equipment by IFET SA
9. Reissue of medical advice in e-dapy/Referrals.
For more information see also specific Informative Note on Law 4683/2020
For further information: [email protected]
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CRITICAL LEGISLATION ON COVID-19
8. ESPECIALLY FOR THE HEALTHCARE PROVIDERS
OTHER ISSUES - SCIENTIFIC EVENTS – ANTISEPTIC PRODUCTION LICENSES
o Changes with E.O.F. Circular 37201/23.03.2020, which amends the current E.O.F. Circular 27810/20.03.2018 for scientific events, solely on conducting scientific events during the summer period exclusively for the year 2020, provided that the prevailing conditions allow it, due to the suspension of any conference event in Greece and the extremely urgent need to limit the spread of the COVID-19 coronavirus.
Listed below are the new regulations introduced under E.O.F. Circular 37201/23.03.2020:
o Scientific events organized in Greece exclusively by a foreign company, without any participation of a Greek healthcare professionals and/or the involvement of a Greek subsidiary, do not need notification/validation by E.O.F..
o Regarding scientific events that are organized in Greece exclusively by a foreign company that produces pharmaceuticals supervised by E.O.F., with the participation of Greek healthcare professionals in them, Greek subsidiaries that are interested in subsidizing the participation of healthcare professionals in these events, will submit electronically the corresponding participations of healthcare professionals, under the procedure "Application for healthcare professional participation" in foreign conferences by a foreign company in Greece.
o Sponsorships for scientific events lasting more than eight (> 8) hours amount to the amount of € 15,000.00 per company / sponsor.
o Scientific events are not allowed in tourist destinations during the winter season (15/12 to 15/01), while in exclusively ski destinations from 15/12 to 15/03.
Observation: The previous circular also referred to the summer season - Now scientific events in the summer are allowed only if the prevailing conditions allow.
o After the end of the Scientific Event, accounting data are submitted within the current year of the conference and until 01.06 of the following year.
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Observation: In the previous circular, the report was made within 6 months or 8 months, depending on the case. o The cost of accommodation (accommodation - food) of Health Professionals in scientific events / committees abroad, is set at: 150 € the maximum cost of food with breakfast, including VAT and 400 € the maximum cost of accommodation, including VAT.
Observation:
In the previous circular the amounts were € 100 and € 300 respectively.
o Participations of Health Professionals in scientific events and / or Committees of Experts (Domestic-Foreign), for which the participation costs of Greek healthcare professionals are covered exclusively by a foreign company, do not need notification / validation by E.O.F.. - Finally, we note that compared to the previous circular, the updated circular does not provide the ability to exceed the budget by 25%. In addition, the paragraph of the previous circular “All eligible scientific bodies / E.O.F. competent companies interested in organizing Scientific events, must submit their application to E.O.F. only ELECTRONICALLY, on the special platform, four (4) times a year, months: January, April, July and October, following the detailed instructions provided to them on the online platform "has been omitted in the updated circular. o Circular 37201/23.03.2020 enters into force on 23.3.2020 and replaces all previous ones.
o Finally, with regard to issues of extraordinary production of antiseptics for the purpose of limiting the spread of Covid-19 coronavirus, it is noted that according to Article 5 of Law 4681/2020 (ΦΕΚ 74/Α/27.3.2020) the following is defined:
o If still there is a direct spreading risk of the COVID-19 coronavirus, the lack of which can be determined by order of the Minister of Health, and in any case for a period not exceeding six (6) months after the entry into force of the present, a suspension takes place for provisions under case (d) of paragraph 1 and paragraph 2 of Article 3 of Law 1316/1983 (exclusively for companies that already hold a license for the production of pharmaceutical or cosmetic products, and only for the production of type 1 disinfectant products for human use either in liquid or gel form or wet wipes, the distribution and use of which is governed by EU Regulation 528/2012 of the European Parliament and of the Council. The above companies may produce the above products exclusively and only for their distribution in the Greek Territory and are obliged to comply with all safety rules of the products produced and to inform the public about their use and their characteristics. The obligation of exclusive distribution and circulation of the products of this paragraph in the Greek Territory and the prohibition of the export of these products outside the Greek Territory affects both the producers and their resellers. In case that the above production requires the observance of procedures based on the relevant articles of laws 3982/2011 (Α΄ 143) and 4442/2016 (Α΄ 230), the validity of the relevant provisions is also suspended exclusively in relation to the above production process, while the deadlines of paragraph 3 are met.
o The distribution of products of paragraph 1 is made after the issuance of a relevant marketing authorization by E.O.F., pursuant to Article 55 of EU Regulation 528/2012.
o Companies, which will produce the above products in accordance with paragraph 1, are obliged within three (3) months from the beginning of their production to submit an application to E.O.F. for a license to produce the above products in accordance to case (d) of paragraph 1 and paragraph 2 of article 3 of law 1316/1983. APR 27TH 2021
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o In such case that the application of paragraph 3 is not submitted in time with a complete file, the above companies are obliged to immediately stop the production and distribution of the above products and to withdraw these products from the market. In case of violation of the provision of the previous paragraph, the penalties of article 19 of n.d. 96/1973 shall apply.
Temporary ban on parallel exports and intra-Community distribution of pharmaceutical products
o With the E.O.F. decisions 33887/13.03.2020 and 35702/24.03.2020, parallel exports and intra-Community distribution of pharmaceutical products were temporarily banned.
o Relevant is the table of products from 24.03.2020 for which the above ban applies.
Risk of obtaining counterfeit drugs
With its announcement dated 27.03.2020, E.O.F. warns of the risks of obtaining counterfeit drugs from the internet or other unreliable sources.
Instructions for conducting Clinical Trials during the COVID-19 pandemic in Greece by E.O.F.
o Submitted for approval to the competent Department of Clinical Trials of E.O.F. and evaluated by emergency procedure in accordance with applicable law. o The positive opinion of the National Ethics Committee is required for their approval. o If the clinical trials are multinational according to the recommendation of the CTFG group, the VHP procedure is recommended. o Clinical trials after their approval by the regulatory authorities (EOF-EED) and their posting in EudraCT are automatically displayed in the EU Clinical Trials Register where all interested parties have public access. (https://www.clinicaltrialsregister.eu/). o In order to easily search for them, it is necessary to include in the title of the clinical trials the term COVID-19. o Relevant Instructions and Announcement from the European Medicines Agency.
Distribution of educational materials to Health Professionals
With its Announcement dated 26.05.2020, E.O.F. informed that for the period from 26.03.2020 to 30.04.2020, the Marketing Authorization Holders who request the approval of the educational materials to Health Professionals, will distribute the Educational Material via e-mail, with their commitment to distribute the educational material after 30.0 .2020 via registered mail.
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Distribution of Letters of Direct Communication with Health Professionals
With its Announcement dated 23.03.2020, E.O.F. informed that the Marketing Authorization Holders that will apply for the approval of the Letters of "Direct Communication with Health Professionals (DHPCs)", for the period from March 23, 2020, to April 30, 2020, will have the option not to distribute the Letter for this period with their commitment for the distribution of the "Direct Communication with Health Professionals (DHPCs)" after April 30, 2020. For the period from March 23, 2020 to April 30, 2020, the letter will be posted on the E.O.F. website after being sent by the Marketing Authorization Holders.
E.O.F. operation
Regarding the Operation of the Protocol, E.O.F. informed that all requests will be submitted via e-mail. Related instructions here.
Joint Ministerial Decision no. 33486 9.4.2020 (Government Gazette Β’ 1258/2020)
Process of notification to the Industrial Property Organization (OBI) of the entry into production in Greece of a product or drug that is protected by a complementary certificate of protection for pharmaceuticals, in accordance with Regulation (EU) 2019/933 of the European Parliament and of the Council of 20 May 2019 for the amendment of Regulation (EC) No 469/2009 of the European Parliament and of the Council of 6 May 2009 on the supplementary protection certificate for pharmaceuticals (SPPF).
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Article 5 (Legislative Act of 1.5.2020)
Support of undertakings with scope of hospital activities
1. Businesses affected by the spread of the COVID-19 coronavirus include undertakings operating under the four-digit Business Activity Code 86.10 "Hospital Activities", or any other included in the five-digit, six-digit and eight-digit sub- categories of the above Code.
2. For the undertakings of par. 1, the payment deadline is extended until August 31, 2020 and the collection of debts assessed by VAT returns with payable tax amount (debit) that expire or have expired from April 1, 2020 until May 31, 2020 is suspended. Similarly, payment deadline is extended and the collection of assessed debts to Tax Offices (DOY) or Audit Centers as well as the payment deadlines of installments based on arrangements/settlement schemes may be suspended until August 31, 2020. During deadline extension and suspension of payment of assessed debts and installments based on arrangements/settlement schemes no interest and surcharges shall be imposed on the amounts due. The above undertakings are provided with the benefit of offsetting of 25% of the amount of VAT debt paid against any other debts that have a due date after May 1, 2020 in case of full repayment of VAT debts until 11 May 2020, under the terms and conditions of par. 1 of article 1 of Legislative Act of 11.3.2020 (A '55), ratified by article 2 of law 4682/2020 (A' 76), as amended later by third article of Legislative Act of 13.4.2020 (A ' 84).
3. a) For the undertakings of par. 1, which employ employees paid with salary or daily wage, with an employment agreement under private law of indefinite or definite duration, with full-time or part-time or rotating employment, the current social security contributions for the period March and April 2020, to be claimed until 30 April 2020 and 31 May 2020 respectively, may be paid until 31 October 2020 and 30 November 2020 respectively, without calculating APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 interest and other surcharges during this period due to late payment.As social security contributions are considered the contributions of the insured and the employer provided for all insurance sectors (main insurance, health care, supplementary insurance, lump sum benefit), as well as any other institution in favor of which e-EFKA collect contributions excluding optional insurance. The above undertakings submit for the stuff the Analytical Periodic Statement (APD) of March and April 2020 within the deadlines, as applicable. In case of late submission of the APD, the foreseen surcharges are imposed. b) For the undertakings of par. 1, the deadline for payment of the installments of active arrangements, to be claimed until April 30, 2020, as well as the deadline for all subsequent monthly installments of each arrangement, is extended by three (3) months. During the extension of the installment payment, no additional fees, interest and other surcharges and charges are calculated. For any further issue, the provisions of the relevant regulation in relation to the installment apply.
4. In the undertakings of par. 1 with reduced turnover, due to the spread of the COVID-19 coronavirus, 20% of the difference of the monthly turnover for the months of March, April and May 2020, from the corresponding months of the preceding tax year, is compensated by the National Organization for the Provision of Health Services (EOPYY) by reducing the amount of installments that have arisen or are to arise through the Implementation of Automatic Return Mechanism by the E.O.P.Υ.Υ. The reduction of the previous paragraph may not exceed 50% of the three twelfths of labor costs of all types of personnel of the undertakings for the year 2019, as shown by the submitted Analytical Periodic Statements. A joint decision of the Ministers of Finance and Health, issued following a proposal by the Chief of A.A.D.E., determines the manner of certification of the reduced turnover of the first subparagraph, as well as any other necessary technical or procedural details for the application of the present.
5. Private undertakings already subject to support measures for enterprises based on Activity Business Code different from the one specified in par. 1 are exempted from the application of the present.
6. The bodies under the Register of General Government Bodies are excluded from the application of the present.
For further information: [email protected]
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CRITICAL LEGISLATION ON COVID-19
9. STATE AID RULES AND COVID-19
The outbreak of COVID-19 may have a significant economic impact. Several EU Member States are contemplating, or have already adopted, measures to support citizens or enterprises, some of which may qualify as State aid within the meaning of article 107(1) of the Treaty on the Functioning of the European Union (TFEU).
On 13 March 2020, the European Commission, which has sole competence to determine the compatibility of State aid measures with the internal market under article 108 TFEU, laid down a coordinated response to counter the economic consequences of COVID-19. In this context, the Commission pointed out that the main fiscal response with respect to COVID-19 will come from national budgets and that State aid rules enable Member States to take swift and effective action by designing ample support measures.
The different legal bases which may be used by Member States – either individually or on a complementary basis - are outlined below.
Aid for damage directly caused by exceptional occurrences (article 107(2)(c) TFEU)
Article 107(2)(c) TFEU enables the Commission to approve State aid by Member States to compensate specific companies or specific sectors (in the form of schemes) for the damage directly caused by exceptional occurrences. The Commission has already accepted that the COVID-19 outbreak qualifies as an exceptional occurrence for the purposes of this provision.
Therefore, this provision allows the Member States to:
design schemes for companies active in sectors that have been particularly hard hit (e.g. transport, tourism and hospitality);
grant individual support to specific companies;
compensate organizers of events, such as concerts, festivals, sport tournaments, cultural or commercial fairs, if such events are cancelled as a direct consequence of the COVID-19 outbreak.
Aid to remedy a serious disturbance in the economy of Member States (article 107(3)(b) TFEU)
Article 107(3)(b) TFEU empowers the Commission to declare compatible State aid measures to remedy a serious disturbance in the economy of a Member State. The disturbance must affect the whole or an important part of the economy of the Member State concerned, and not merely that of one of its regions or parts of its territory.
For the first time since the 2008 financial crisis, the Commission adopted a Temporary Framework under article 107(3)(b) TFEU (complementary to the other options already available to mitigate the socio-economic impact of the COVID-19 outbreak) in order to enable Member States to use the full flexibility of State aid rules to support the economy. APR 27TH 2021
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The Temporary Framework provides for five types of aid:
Direct grants, selective tax Member States will be able to set up schemes to grant up to €800,000 to a advantages and advance company to address its urgent liquidity needs. payments State guarantees for loans Member States will be able to provide State guarantees to ensure banks keep taken by companies from providing loans to the customers who need them. banks Subsidised public loans to Member States will be able to grant loans with favourable interest rates to companies companies, to help businesses cover immediate working capital and investment needs. Safeguards for banks that Some Member States plan to build on banks' existing lending capacities, and channel State aid to the real use them as a channel for support to businesses, in particular SMEs. Such aid economy is considered as direct aid to the banks' customers, not to the banks themselves. Short-term export credit The Framework introduces additional flexibility on how to demonstrate that insurance certain countries are not-marketable risks, thereby enabling short-term export credit insurance to be provided by the State where needed.
By virtue of Commission Communication C(2020) 2215 final, dated 03.04.2020, the Temporary Framework was amended in order to include, inter alia, five additional aid measures (some of which are deemed, as per the provisions of the Communication, compatible with article 107(3)(b) TFEU, while other are deemed compatible with article 107(3)(c) TFEU):
Support for coronavirus Member States can grant aid in the form of direct grants, repayable advances related research and or tax advantages for coronavirus and other relevant antiviral R&D. A bonus development (R&D) may be granted for cross-border cooperation projects between Member States. (article 107(3)(c) TFEU) Support for the construction Member States can grant aid in the form of direct grants, tax advantages, and upscaling of testing repayable advances and no-loss guarantees to support investments enabling facilities the construction or upscaling of infrastructures needed to develop and test (article 107(3)(c) TFEU) products useful to tackle the coronavirus outbreak, up to first industrial deployment. Support for the production Member States can grant aid in the form of direct grants, tax advantages, of products relevant to repayable advances and no-loss guarantees to support investments enabling tackle the coronavirus the rapid production of coronavirus-relevant products. outbreak (article 107(3)(c) TFEU) Targeted support in the Member States can grant targeted deferrals of payment of taxes and of social form of deferral of tax security contributions in those sectors, regions or for types of companies that payments and/or are hit the hardest by the outbreak. (Note: Where such deferrals are of a general APR 27TH 2021
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suspensions of social application and do not favour certain undertakings, or the production of certain security contributions goods, they fall outside the scope of EU State aid control). (article 107(3)(b) TFEU) Targeted support in the Member States can contribute to the wage costs of those companies in sectors form of wage subsidies for or regions that have suffered most from the coronavirus outbreak, and would employees otherwise have had to lay off personnel. (Note: Where such support schemes (article 107(3)(b) TFEU) apply to the whole economy, they fall outside the scope of Union State aid control).
By virtue of Commission Communication C(2020) 3156 final, dated 08.05.2020, the Temporary Framework was amended for a second time, in order to include, inter alia, recapitalisation measures for non-financial undertakings that are subject to a temporary liquidity crisis due to the COVID-19 outbreak:
Recapitalisation measures for Member States can grant aid in the form of equity and/or hybrid capital non-financial undertakings instruments to undertakings facing financial difficulties due to the COVID-19 outbreak.
By virtue of Commission Communication C(2020) 4509 final, dated 29.06.2020, the Temporary Framework was further amended for a third time, by including to the eligible recipients of the state-aid measures, all micro and small undertakings, even if they fell under the category of an undertaking in financial difficulty on 31 December 2019, provided that they are not subject to collective insolvency procedure under national law and that they have not received rescue aid (which has not been repaid) or restructuring aid (and are still subject to a restructuring plan).
Furthermore Finally, by virtue of Commission Communication C(2020) 340 I/01 final, dated 13.10.2020, the Temporary Framework was prolonged for an additional six months, until 30 June 2021, except for the recapitalisation measures which are prolonged for three months until 30 September 2021 and was amended for the fourth time in order to identify additional temporary State aid measures (aid in the form of support for uncovered fixed costs); and clarify and amend conditions for certain temporary State aid measures that the Commission considers compatible under Article 107(3)(b) of the Treaty on the Functioning of the European Union (TFEU) in light of the COVID-19 outbreak.
Aid in the form of support for Member States may envisage contributing to the uncovered fixed costs of uncovered fixed costs those undertakings for which the COVID-19 outbreak resulted in the suspension or reduction of their business activity (a decline in turnover during the eligible period of at least 30% compared to the same period in 2019).
Finally, by virtue of Commission Communication C (2021) 34/06, dated 28.1.2021, the Temporary Framework was further prolonged until 31 December 2021 and was amended for the fifth time in order to increase the minimum aid ceilings (€225,000 per company active in the primary production of agricultural products, €270,000 per company active in the fishery and aquaculture sector and €1.8 million per company active in all other sectors), to increase the aid contributed to cover the fixed costs of those undertakings facing a decline in turnover of at least 30% compared to the same period in 2019, from €3 million to €10 million per undertaking, and to give the possibility of conversion of repayable instruments (guarantees, loans and repayable advances) to direct grants, until 31 December 2022.
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In light of the above, the following measures have been enacted in Greece:
In accordance with the provisions of the Temporary Framework, the possibility of granting aid, repayable in whole or in part, in the form of a “repayable advance” was provided to Greece, under Legislate Act dated 30.03.2020 (Government Gazette Issue A’ 75/30.03.2020). By virtue of Decision 1076/2020 (Government Gazette Issue B’ 1135/02.04.2020), as amended by Decisions 1080/2020 (Government Gazette Issue B’ 1294/10.04.2020) and A.1091/2020 (Goverment Gazette Issue B' 1466/16-04-2020), an online electronic platform (“myBusinessSupport”) was set up, where an expression of interest for the granting of such aid may be submitted by private undertakings of any legal form and from any business sector, including sole proprietorships, provided they employ 1 - 500 employees, have their registered seat or a permanent establishment in Greece and have been financially hit due to the COVID-19 outbreak. The above aid scheme was approved by the European Commission on 07.04.2020 (see relevant Press Release). The conditions for the granting of aid, the process for submitting the respective application and for the granting of aid, the way of calculating its amount, the conditions and process for its repayment, in whole or in part, as well as other relevant details were determined by Decision no. ΓΔΟΥ 94/2020 (Government Gazette Issue B’ 1645/03-05-2020), as amended by Decision no ΓΔΟΥ 101/2020 (Government Gazette Issue B' 1862/15-05-2020), and Decision no ΓΔΟΥ 148/2020 (Government Gazette Issue B' 2729/03-07-2020), as the latter was amended by Decision no ΓΔΟΥ 163/2020 (Government Gazette Issue B' 2787/10-07-2020). Amendments were made to the scheme at issue, regarding the estimated total budget of the granted aid –an increase from 1 to 2 billion euros-, the inclusion of more categories of companies that are eligible to receive aid and the extension of the period, in relation to which the aid may be granted, from March 2020 to May 2020. The amended scheme at issue was approved by the European Commission on 03.08.2020 (see relevant Press Release). In a similar way, on 30.11.2020, the European Commission approved a third amendment of the scheme, by extending the period, in relation to which the aid may be granted, until August 2020, increasing the estimated budget of the scheme – an increase from 2 to 3,5 billion euros- and making certain modifications to the eligibility conditions of the beneficiaries (see relevant Press Release). This amended scheme was determined by Decision no ΓΔΟΥ 233/2020 (Government Gazette Issue B’ 4471/11-10-2020). Finally, on 22.12.2020, the European Commission approved a fourth amendment of the scheme, by extending the period, in relation to which the aid may be granted, until October 2020, increasing the estimated budget of the scheme – an increase from 3,5 billion to 5,7 billion euros- and by making once again certain modifications to the eligibility conditions of the beneficiaries (see relevant Press Release). This amended scheme was determined by Decision no ΓΔΟΥ 281/2020 (Government Gazette Issue B' 5047/14-11-2020).
Furthermore, on 03.04.2020, the European Commission approved, under the Temporary Framework, a €2 billion Greek aid scheme in the form of guarantees on loans (see relevant Press Release). Based on the measure notified, partial guarantees will be provided by the Hellenic Development Bank on eligible working capital loans originated by financial intermediaries. The European Commission further approved a modification of the aforementioned scheme, which (i) will now be accessible to the self-employed and to undertakings in the aquaculture and agriculture sector (which were initially excluded), (ii) will also offer the possibility for subsidisation of the guarantee premiums for loans, in the form of direct grants from the COVID-19 Guarantee Fund and (iii) will have an increased budget by €250 million, reaching thus €2.25 billion in total, in order to cover subsidisation of guarantees (see relevant Press Release). Further to the approval of the European Commission, the establishment and operation of the COVID-19 Guarantee Fund are determined under Decision no. 2500/6 (Government Gazette Issue B' 1768/08-05-2020) and further amended by Decision no. 4813/Β1/1070 (Government Gazette Issue B' 3800/09-09-2020).
Οn 08.04.2020, the European Commission approved an aid scheme to support small and medium-sized enterprises affected by the coronavirus outbreak, in the form of grants, with an estimated budget of €1.2 billion. The scheme is intended to cover interest up to €800,000 per company on existing debt obligations (fixed-maturity loans, bonds or bank overdrafts) for a period of 3 months, with an option for extension for another 2 months (see relevant Press Release). The details in respect of this scheme as well as the relevant invitation were determined by Decision no. 37674 (Government Gazette Issue B’ 1291/10-04-2020) and further amended by Decision no.40286 (Government Gazette Issue APR 27TH 2021
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B' 1560/23-04-2020), Decision no. 44417 (Government Gazette Issue B' 1769/08-05-2020), Decision no. 63890 (Government Gazette Issue B' 2486/22-06-2020) and Decision no. 77883 (Government Gazette Issue B' 3110/27-07- 2020).
Moreover, on 05.05.2020, the European Commission approved an aid scheme to support companies active in the floriculture primary production sector and affected by the coronavirus outbreak, in the form of direct grants, with an estimated budget of €100 million. The support will not exceed €100,000 per company and aid under the scheme can be granted until 31 December 2020 (see relevant Press Release). The measure at issue has been carried out under Decision no. ΑΔΑ: ΨΟΙ64653ΠΓ-Θ28.
On 11.05.2020, the European Commission approved, under the Temporary Framework, a €500 million aid scheme to provide an one-off payment to self-employed individuals, including self-employed managers of companies that employ less than 20 employees. The scheme is intended to cover 800€ per self-employed, as a compensation for the potential loss of income due to the coronavirus outbreak. The payment will be limited to the period 17 March - 30 April 2020 (see relevant Press Release). The relevant framework of the measure at issue was determined under Decision no. 39162 ΕΞ 2020 (Government Gazette Issue B' 1457/16-04-2020).
On 24.07.2020, the European Commission approved, under the Temporary Framework, an aid scheme to support farmers active in primary agricultural and livestock sectors, in the form of direct grants, with an estimated budget of €51.23 million. The scheme will be accessible to primary agricultural producers and open-air markets' sellers, primary livestock producers in the sheep and goat farming sector, and primary agricultural producers active in the asparagus primary production sector (see relevant Press Release). The measure at issue has been carried out, regarding open-air markets’ sellers and the asparagus production sector, under Decisions no. 114/221359 (Government Gazette Issue B' 3343/10-08-2020) and no. 113/221330 (Government Gazette Issue B' 3343/10-08-2020) respectively.
On 28.8.2020, the European Commission approved, under the Temporary Framework, an aid scheme to support micro and small enterprises active in the region of Central Macedonia, in the form of direct grants, with an estimated budget of €150 million. The scheme will cover working capital amounting to up to 50% of the expenses borne by the beneficiaries in 2019 (see relevant Press Release). The measure at issue has been carried out under Decision no. ΑΔΑ: 6Τ7Λ7ΛΛ-Π6Ν.
In addition, on 28.9.2020, the European Commission approved, under the Temporary Framework, an aid scheme to support micro and small enterprises active in 12 regions of Greece, in the form of direct grants, with an estimated budget of € 1,5 billion (see relevant Press Release). The measure at issue has been carried out, concerning (i) the region of North Aegean under Decision no. ΑΔΑ: Ψ6ΠΓ7ΛΩ-Ο9Ζ, (ii) the region of Crete under Decision no. ΑΔΑ: 6ΟΖΕ7ΛΚ-07Σ, (iii) the region of Peloponnese under ΑΔΑ: ΩΜΜΝ7Λ1-4Β5, (iv) the region of Epirus under ΑΔΑ: ΩΞΞ57Λ9-ΞΚΦ, (v) the region of Attica under ΑΔΑ: Ψ48Θ7Λ7-ΞΚ5, (vi) the region of Eastern Macedonia and Thrace under ΑΔΑ: 6ΜΡ97ΛΒ-Μ0Ν, (vii) the region of South Aegean under ΑΔΑ: Ω13Π7ΛΞ-ΓΨ2, (viii) the region of Western Greece under ΑΔΑ: 96Β27Λ6-3ΤΦ, (viv) the region of Ionian Islands under ΑΔΑ: 6ΤΖΜ7ΛΕ-ΛΟΟ, (x) the region of Thessaly under ΑΔΑ: ΨΒ9Π7ΛΡ-ΒΛΟ, (xi) the region of Western Macedonia under ΑΔΑ: Ψ1Θ87ΛΨ-ΕΒΒ, and finally, (xii) the region of Central Greece under ΑΔΑ: 6ΤΓΕ7ΛΗ-3ΔΕ.
On 20.10.2020, the European Commission approved, under the Temporary Framework, an aid scheme to support producers of ‘Kalamon' table olives, early watermelon, spring potatoes, as well as producers of greenhouse crops of tomatoes, cucumbers and eggplants in Crete, in the form of direct grants, with an estimated budget of €39.6 million (see relevant Press Release). The relevant framework of the measure at issue was determined under Decision No 1338/312351 (Government Gazette Issue B' 4937/9-11-2020).
On 20.10.2020, the European Commission approved, under the Temporary Framework, an aid scheme to support companies active in the tourism, transport, construction and energy sectors, in the form of subsidized loans, with an APR 27TH 2021
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Furthermore, on 29.10.2020, an aid scheme supporting micro and small companies, active in the cultural sector in the Municipality of Athens, in the form of direct grants and with a total budget of €7.7 billion, was approved under the Temporary Framework. The direct grants will be co-financed by the European Regional Development Fund (see relevant Press Release). The framework of the measure at issue was determined under the relevant Announcement of the Municipality of Athens, dated 10.11.2020.
Οn 13.11.2020, an aid scheme supporting households, with a total budget of €655 million, was approved under the Temporary Framework. In particular, the public support will be granted, in the form of a State subsidy with a maximum duration of nine months, to houseowners in order to repay their mortgage loans (see Press Release). The relevant framework of the measure was determined under Law No. 4714/2020 (Government Gazette Issue A' 148/31-07-2020).
On 23.12.2020, an aid scheme compensating Aegean Airlines, in the form of direct grants and with a total budget of €120 million, was approved under Article 107(2)(b) TFEU (see relevant Press Release). The relevant framework of the measure at issue was determined under Article 30 of Law No 4772/2021 (Government Gazette Issue A' 17/5-2-2021).
Furthermore, on 18.2.2021, an aid scheme to support K.T.E.L. bus companies, in the form of direct grants and with a total budget of €19.8 million, was approved under the Temporary Framework (see relevant Press Release). The relevant framework of the measure at issue was determined under Decision No 51611 (Government Gazette Issue B' 852/4-3- 2021).
On 22.2.2021, an aid scheme supporting small and medium-sized businesses with a total budget of €500 million, was approved under the Temporary Framework. The scheme will be open to SMEs active in all sectors except the financial, primary agriculture, tobacco and fisheries sectors. The amount of the grants corresponds to the interests beneficiaries would have had to pay on existing loans for the months of January, February and March 2021(see relevant Press Release).The relevant framework of the measure at issue was determined under Decision No 24101 (Government Gazette Issue B' 757/25-2-2021).
On 5.3.2021, an aid scheme supporting enterprises active in the primary agricultural sector with a total budget of €26 million, was approved under the Temporary Framework. In particular, the public support will take the form of direct grants and will be open to enterprises active in primary agricultural production (farmers) in Greece in the sectors of buffalo breeding, outdoor watermelon production, greenhouse crops production (with the exception of Crete), and summer and autumn potatoes production (see relevant Press Release). A Press Release regarding this scheme has been issued on the website of the Greek Ministry of Rural Development and Food (http://www.minagric.gr/index.php/el/the- ministry-2/grafeiotypou/deltiatypou/11142-dt020421c).
On 9.3.2021, an additional aid scheme to support small and medium-sized businesses with a total budget of €60 million, was approved under the Temporary Framework. The scheme will take the form of direct grants and will be open to SMEs registered on the National Startup Registry “Elevate Greece”. The public support corresponds to 80% of working capital expenses for the reference year 2019 or 2020 and is not eligible for businesses active in the financial, primary agriculture, fishery and aquaculture sectors (see relevant Press Release). The measure at issue has been carried out under Decision no. ΑΔΑ: ΩΞΛΥ46ΜΤΛΡ-ΓΡΛ available on https://diavgeia.gov.gr/.
On 23.3.2021, an aid scheme supporting operators of tourist buses and trains with a total budget of €21 million, was approved under the Temporary Framework. The support will take form of direct grants. Under the scheme, operators of tourist buses will receive a fixed amount of support per bus, depending on the seating capacity, while operators of tourist trains will be entitled to receive a fixed amount of aid per train regardless of the seating capacity (see relevant Press APR 27TH 2021
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Release). The measure at issue has been carried out under Decision no 5534 (Government Gazette Issue B'1398/8.4.2021).
Finally, on 24.3.2021, an aid scheme of a total of €100 million was approved under the Temporary Framework, in order to support Energean Oil and Gas S.A. The support will take the form of (i) a public guarantee on a commercial loan of around €90.5 million to be contracted by Energean and (ii) a subordinated loan amounting to €9.5 million by the Greek State (see relevant Press Release). The relevant framework of the measure at issue is expected to be determined.
Aid for meeting acute liquidity shortages and supporting undertakings facing financial difficulties (article 107(3)(c) TFEU and Rescue and Restructuring State aid Guidelines)
Under the Commission’s Rescue and Restructuring Guidelines based on Article 107(3)(c) TFEU, the Commission may approve urgent and temporary assistance in the form of loan guarantees or loans to all types of companies in difficulty. Such aid would cover companies’ expected operating needs for a 6-month period. Companies that are not (yet) in difficulty can also receive such support, if they face acute liquidity needs due to exceptional and unforeseen circumstances such as the COVID-19 outbreak.
Furthermore, the Rescue and Restructuring Guidelines enable Member States to create dedicated schemes for SMEs and smaller state-owned companies, including to cover their acute liquidity needs for a period of up to 18 months.
Measures not requiring the involvement of the Commission (Horizontal public support measures, de minimis & General Block Exemption Regulations)
In addition to the above, further options remain available to Member States which are outside the scope of EU State aid control and do not require the involvement of the Commission. These are the following:
measures applicable to all companies, e.g. wage subsidies and suspension of payments of corporate and value added taxes or social contributions;
financial support granted directly to consumers, e.g. for cancelled services or tickets that are not reimbursed by the operators concerned;
measures under the de minimis Regulation, which exempts from the notion of State aid, and from the ensuing notification requirement, grants of up to €200,000 over a 3-year period (with specific thresholds applying for the road freight transport sector, for agriculture and fisheries); and
the General Block Exemption Regulation, which also allows Member States to implement certain measures without prior Commission scrutiny, laying down the eligible beneficiaries, maximum aid intensities and eligible expenses.
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Practical-procedural issues
With respect to notifiable State aid measures, the Commission has put in place procedural facilitations to enable a swift approval process, while decisions are taken within days of receiving a complete State aid notification from Member States, where necessary.
Additional information may be found at the dedicated COVID-19 section of DG Competition’s website.
For additional information: [email protected]
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10. CONTRACTUAL RISK MANAGEMENT ISSUES - FORCE MAJEURE
Management of Contractual Risk is a major issue, especially for commercial cooperation and labor relationships, etc. in an environment of extraordinary and highly unpredictable socio-economic circumstances that trigger force majeure events. Force majeure is a condition that regulates the grid of contractual relationships when unforeseen exceptional circumstances exist, affecting the performance of the contract, and are impossible to be predicted, prevented or limited by actions of the contracting parties.
1. As a general principle of law [cf. Article 255 of Civil Code, Article 10 par. 6 Administrative Procedure Code, Article 27 par. 5 του Presidential Decree 18/1989] a case of force majeure is any unintentional event of wholly exceptional nature, which has not been expected, nor was it possible to be anticipated or prevented, not even with extreme diligence and prudence measures, regardless of it being internal or not (see. Ε.Α.Α.ΔΗ.ΣΥ. Opinion Δ107/2018, Decision 261/2014, Document under protocol No 29/12.03.2020)
In particular, the issuance of the Legislative Decrees dated 25/02, 11/03 and 14/03, which are predominantly government acts, it can be argued that the socio-economic situation, as currently formed because of the measures restricting the expansion of Covid-19, both national and international, forms a group of events, which are impossible to be prevented by human force or, at least, harder than other events of chance, i.e. in a strict sense speaking, the events that are closer to negligence, meaning events unpredictable and unpreventable even by “measures of extreme care and conscience of the trading party". (see. Judgment ΑΠ 513/2016).
5. In principle, force majeure, in the absence of a legislative provision (e.g. 656 Civil Code for the exemption of the employer), is a contractual term and, so, it is up to the intention of the parties to decide on its interpretation and consequences on the fulfillment of the contractual obligations.
Conclusion: in principal, recourse is required to the content of the special contractual term regarding force majeure that regulates exhaustively the contractual relationships in this case.
6. However, in the absence of any of the above contractual clauses on force majeure, case law accepts that the debtor is not liable for non-fulfillment of obligations, unless they became overdue before the reasons for force majeure occurred, which in this case do not cover the delinquency. Pursuant to Article 336 of the Greek Civil Code, the debtor is then relieved of any obligation due to inability to fulfill the contract, if it proves that the inability is due to an event for which it is not responsible. However, as soon as it learns of the inability to fulfill the contract, it must notify the lender. According to a fundamental principle of contract law, intra-contractual liability constitutes a counterfeit absolute liability (νόθο αντικειμενική ευθύνη) and the debtor has the burden of invoking and proving that the reason it does not fulfill its obligation lies outside its sphere of responsibility. If the reason is in fact out of its sphere of responsibility, then this is a case of ‘impossibility without fault by one of the parties to furnish the performance” under Article 380 of the Greek Civil Code, according to which APR 27TH 2021
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(if there is ‘impossibility without fault by the debtor to furnish the performance”) the counterparty lender is exempt from the obligation, and if it did provide such consideration it can claim it back under the provisions on unjust enrichment.
7. However, in the case of a monetary debt, rather than a payment in kind, it should be noted that the financial inability of the debtor to make a monetary payment is not necessarily a reason for its exemption from payment, provided that the counterparty lender has fulfilled its obligation (e.g. delivery of goods). In the extraordinary conditions of the pandemic, the general principle of good faith (GCC 288) can be used as a tool to shape temporarily the rights and obligations of the parties, so as not to make the debtor's position disproportionately burdensome, but also not to permanently overturn the lender's rights.
8. In the event of an extension of the period of time that force majeure applies, the counterparty is entitled to withdraw/terminate the contract, which shall be exercised within the framework of good faith and practice (see. ΑΠ 445/2019 and ΑΠ 3367/2010 recognize the right of withdrawal/termination of the contract by the counterparty in the context of a project agreement and a commercial agency contract respectively).
9. The regulation of the manner that the contract shall be performed under circumstances of force majeure, may also take place by a unilateral governmental intervention. For instance, such regulations are:
(a) the provision of Article 2 of the Legislative Decree 20.03.2020/Government Gazette Α’ 68/2020, which provides that “the tenant of a professional lease for the establishment of a business, for which special and extraordinary measures have been taken regarding the suspension or provisional prohibition of the operation for preventive or repressive reasons that are related to coronavirus COVID-19, is exempt from the obligation to pay 40% of the total rent for months April and May 2020, by way of derogation from the applicable lease provisions”.
(b) the regulation of article 9 of the Legislative Act of 20.03.2020 / FEK A '68/2020, on swift work and for in the case of a stand-by position of the employee, the payment of ½ of the average of regular salaries of the last 2 months under full time employment. (see thematic section on labor issues).
(c) the regulation of article 2 of the Legislative Act of 30.03.2020 / FEK A '75/2020 for the extension of deadlines for the maturity, notification and payment of securities, which provides for the following:
Article two
Extension of deadlines for the maturity, notification and payment of securities
(a) From 30 March 2020 until 31 May 2020, for the Code of Activity Numbers (CAD) of companies that have either suspended their operations in accordance with Regulatory Acts, or have been severely affected by COVID-19 coronavirus epidemic, pursuant to the decisions issued under the authority of par. 2 of article 1, par. 2 of article 2 and par. 1 and 2 of article 3 of the Act of Legislative Content of 11.3.2020 (Α΄ 55), as applicable, the deadlines for the maturity, notification and payment of securities are extended for seventy five (75) days from the indicated date on each security. The provisions set out in the preceding paragraph shall also apply to companies whose KADs are to be included in the above decisions in April 2020 of the year, effective following the date of publication of their inclusion in the affected companies.
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(b) The provisions of paragraph (a) shall apply to all securities which must be transmitted electronically by anyone drawing a right or an obligation from them, such as by their issuers or recipients or bearers, to credit institutions operating in Greece in any form, including the branches of foreign credit institutions that fall within the scope of application of Law 4261/2014 (Α΄ 107), the Deposits and Loans Fund, the payment institutions of Law 4537/2018 (Α΄ 84), the electronic money institutions of Law 4021/2011 (Α΄ 218), as well as the branches and representatives of payment institutions and electronic money institutions based in other member-states and operating legally in Greece, within three (3) working days from the entry into force of this for companies already included in the affected companies, or within three (3) working days from the day following the inclusion of the specific KAD in the affected companies in accordance with the second paragraph of sub-paragraph (a). The transfer of and notification for the securities, according to the previous paragraph, is carried out through a special relevant electronic application of the credit institutions through the payment system of DIAS SA or the company TEIRESIA SA, which operates according to the instructions of the credit institutions, in order to facilitate the implementation of this and in particular the transfer of securities to credit institutions, in order for the deadline provided for in the first instance to apply to them. For the purpose of implementation of this, the credit institutions may receive the required data from the Tax Administration.
(c) All the necessary details for the implementation of the present may be regulated by decision of the Minister of Finance.
2. The holders of securities, who at the time the issuance of the present are not actively using Code of Activity Numbers (KAD) for companies included in the decisions of par. 1, can be individually included in the affected companies and become subject to the provisions of Articles 1, 2 and 3 of the Act of Legislative Content 11.2020, from 1 April 2020 onwards, if the total value of the securities suspended, in accordance with the procedure of par. 1, is greater than twenty percent (20%) of the average monthly turnover of their transactions of the immediately preceding tax year, as calculated on the basis of the total outflows included in the initial and amended, timely or late submitted VAT returns. Excluded from the application hereof are operators belonging to KAD of companies that show a significant increase in their turnover during the crisis due to the COVID-19 coronavirus epidemic. By decision of the Minister of Finance, the KAD are defined, which show a significant increase in their turnover during the crisis due to the COVID-19 coronavirus epidemic. A similar decision, issued after a suggestion of the director of AADE, determines the required data and supporting documents for the implementation of the present, the procedures for sending or transmitting them to the Tax Administration by taxpayers or third parties, as well as any other necessary technical or procedural details.
10. The present does not prevent the debtor and the beneficiary from agreeing that the securities will be paid directly from the debtor to the beneficiary on the originally stated maturity date."
Law 4722/2020
PART C EXTRAORDINARY MEASURES TO SUPPORT TOURISM ENTERPRISES AND THE LABOR MARKET
Article 7:
2a)By way of derogation from the second and third paragraph of circumstance a 'of par. 1 of article 40 of law 3259/2004 (A' 149), securities owed by companies that fall within the scope of application of par. 1, which show a decrease in turnover in the first half of 2020 by 70% to 85% compared to the turnover in the first half of 2019,on which a weakness has been confirmed regarding payment from the paying bank from 16th of July 2020 until the publication of the present are not recorded in records of financial behavior data, kept by credit and financial institutions in general or by bodies operating legally for their benefit, if proven to be repaid until 30th of April 2021. APR 27TH 2021
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Securities that fall within the scope of this, which have not been repaid and entered in financial conduct data files, are deleted from the publication of this and are not re-registered in them, if proven to be paid by April 30, 2021. For the claims arising from the securities of this paragraph, the issuance of a payment order is suspended until April 30, 2021, as well as the taking of any kind of measures or the execution of enforcement actions.
b) The deadlines of case (a) are extended until April 30, 2021 for securities owed by companies with the Code of Activity Numbers (CAD) listed in the table here and which show a reduced turnover during the first half of 2020 by more than 85% in relation to the turnover of the first half of 2019 , on which a weakness has been confirmed regarding payment from the paying bank from 16th of July 2020 until the publication of the present. For the claims arising from the securities of this paragraph, the issuance of a payment order is suspended until April 30, 2021, as well as the taking of any kind of measures or the execution of enforcement actions.
c)By way of derogation from the second and third paragraph of circumstance a 'of par. 1 of article 40 of law 3259/2004 (A' 149), securities owed by companies that fall within the scope of application of par. 1, which show a decrease in turnover in the first half of 2020 by more than 85% compared to the turnover in the first half of 2019,on which a weakness has been confirmed regarding payment from the paying bank from 1st of June 2020 until 15th of July are not recorded in records of financial behavior data, kept by credit and financial institutions in general or by bodies operating legally for their benefit, if proven to be repaid until 30th of April 2021. Securities that fall within the scope of this, which have not been repaid and entered in financial conduct data files, are deleted from the publication of this and are not re-registered in them, if proven to be paid by April 30, 2021. For the claims arising from the securities of this paragraph, the issuance of a payment order is suspended until April 30, 2021, as well as the taking of any kind of measures or the execution of enforcement actions.
The deadline of December 31, 2020 for the repayment of the securities of case a 'of this paragraph, is extended until April 30, 2021 by paragraph 1 of article 297 of law 4738/2020, as it was replaced by paragraph 5 of article 35 of Law 4753/2020. Until that date, the issuance of a payment order, as well as the taking of any kind of measures or the execution of enforcement actions are suspended.
2. The deadline of 31st of January 2021 for the payment of the securities of case b 'of this paragraph, is extended until 30 April 2021 by paragraph 2 of article 297 of law 4738/2020, as it was replaced by paragraph 5 of article 35 of Law 4753/2020. The issuance of a payment order, as well as the taking of any kind of measures or the execution of enforcement acts are suspended until the date of the present.
3.The deadline of 31st of January 2021 for the payment of the securities of case c 'of this paragraph, is extended until 30 April 2021 by paragraph 3 of article 297 of law 4738/2020, as it was replaced by paragraph 5 of article 35 of Law 4753/2020. The issuance of a payment order, as well as the taking of any kind of measures or the execution of enforcement acts are suspended until the date of the present.
Especially in the sector of public procurement, the following are applicable:
First, under Article 204 of Law 4412/2016, ο contractor who invokes force majeure must, within twenty (20) days of the occurrence of the events constituting force majeure, report them in writing and submit to the contracting authority the necessary evidence.
Under Article 203 of Law 4412/2016, where force majeure applies, the economic operator shall not be declared to have forfeited from the award or assignment or the agreement.
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as a result of force majeure or other particularly serious reasons that render the timely delivery of the contracting goods objectively impossible, no sanctions shall be imposed.
The occurrence of force majeure on the person concerned, shall, to the extent that it is possible, constitute a waiver of the negative effects, which have occurred by the non-performance or non-timely performance by its part of its obligations, which have been imposed to it by specific provisions of law, so as not to violate the principle of equality enshrined in Article 4 par. 1 of the Constitution (see. ΣτΕ 367/2001, 334/2000, 2997/1999, ΑΕΠΠ 1460/2019, ΝΣΚ 366/2008).
With the document of 29/12.03.2020, the Single Independent Public Procurement Authority (E.A.A.D.ISY.) gave clarifications regarding the concept of force majeure, stating that public contracts above the limits, assigned after recourse to the negotiation process (articles 32 par. 2 par. c 'and 269 par. d of law 4412/2016) and the subject of which is directly connected to the measures to stop the spread of the virus, may be agreed upon without consent of E.A.A.D.ISY.
With the E.A.A.DISY. documents of 20.03.2020 and 01.04.2020, Special Announcements of the European Commission were communicated regarding the conclusion of public contracts related to the treatment of the virus through negotiated procedures without publication.
11. Inclusion of the clause on current and future contracts with a special provision for COVID-19
The provision and the precise wording of the clause of force majeure in contracts with procedural details concerning its invocation will have a positive effect on the performance of the agreements. Similarly, the reviewing and reformulation of vague and problematic clauses of force majeure at current contracts is advisable, as the expansion of coronavirus is in full development and its consequences are currently unknown as regards both its timeline and impact.
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TOURISM UNDERTAKINGS AND FORCE MAJEURE
Legislative Act of 13.04.2020
I. Exceptional measures in relation to the termination of contracts of tourism undertakings
Articles 70-71 of Legislative Act of 13.04.2020 adopt measure addressing the termination of contracts between tourism undertakings or between tourism undertakings and customers and introduce the possibility of granting a credit note of equal value, valid for (18) months as of the date of issuance instead of refund.
1. Types of Contracts
The provisions apply to contracts between tourism undertakings5 and:
customers, as defined in detail in par. 2 of article 70, for the provision of tourist services, individually or in the form of an organized trip (package) (article 70), or
other tourism undertakings, including foreign tourism enterprises (article 71).
The provisions apply also necessarily to contracts, to which not only Greek but also foreign law is applicable, provided that the relevant rights are provided under EU law.
2. Termination
The provisions apply to contracts that are terminated from 25 February 2020 to 30 September 2020 by any contracting party. 3. Issuance of credit note
The Legislative Act refers to the case that, following the above termination, the tourism undertaking is obliged to return to the other party any amount paid for the execution of the contract (eg as advance payment, guarantee, engagement, partial or total repayment) and enables the tourism undertaking to offer, instead of the above refund, a credit note of equal value valid for eighteen (18) months as of the date of issuance. 4. Issuance Procedure
The tourism undertaking shall notify the other party in writing of the issuance of the credit note within 30 days as of the date of termination or, if the contract has been terminated before the entry into force of the Legislative Act, within 30 days as of date of entry into force thereof i.e. April 13, 2020. Failure to notify the other party in a written and timely manner results in the obligation of the tourism undertaking to refund.
5 According to par. 1 of article 1 of law 4276/2014, tourist undertakings are the following: a. Tourist accommodation, b. Special tourist infrastructure facilities, c. Tourist offices, d. Car rental offices, e. Motorcycle, three-wheeled and four-wheeled vehicles with more than 50 cc rental companies., f. Road Transport Tourism Companies, g. Freight Forwarding Companies and h. Passenger cars for public use without a counter (limousines) with driver. APR 27TH 2021
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5. Expiration of credit note
If for any reason a new contract has not been concluded upon the expiration of the credit note, the tourism undertaking is obliged to pay the other party an amount equal to the value of the credit note.
II. Extraordinary financial support for exceptional tourist accommodation
Article 72 of Legislative Act of 13.04.2020 provides for the possibility of granting emergency financial aid, which will be determined by a joint decision of the Ministers of Finance and Tourism, for the exceptionally operating tourist accommodation. A similar decision shall specify the specific terms and conditions for the calculation and granting of the special financial aid, as well as any other necessary details. The amount of the above financial aid corresponds to the period which was deemed necessary for the operation of the tourist accommodation for reasons of public interest with the exception of the temporary prohibition of operation and is determined as a percentage on the difference of April 2019 and April 2020 turnover.
It is recalled that the operation of both seasonal tourist accommodation and ongoing operating tourist accommodation has been temporarily prohibited until April 30, 2020, with the exception of the tourist accommodation included in no. 5052 / 24.3.2020 decision of the Minister of Tourism.
For further information: [email protected]
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11. ENERGY SECTOR PROVISIONS
Article 55 of Legislative Act of 30.03.2020 provides the following urgent provisions regarding the energy sector:
Supply of materials and spare parts to companies in the energy sector (liquid fuel, electricity, natural gas) in derogation of the extraordinary restrictive measures to address the negative consequences of the spread of COVID-19 coronavirus.
Companies or businesses operating in the field of production, transport, supply and distribution of liquid and gas fuels as well as in the field of production, distribution, transmission and supply of electricity and natural gas may be supplied with materials and spare parts, which are necessary for the uninterrupted operation of their critical facilities and equipment, in derogation of the extraordinary restrictive measures to address the negative consequences of the spread of COVID-19 coronavirus, from companies or commercial stores that fall within the ambit of the applicable restrictive provisions regarding the suspension of operation.
The company or commercial store which will serve the exceptional supply shall operate exclusively following written notice of the company operating in the field of production, transport, supply and distribution of liquid and gas fuels as well as in the field of production, distribution, transmission and supply of electricity and natural gas, exclusively for the purpose of delivery of the required materials or spare parts, for a period and with employing staff that are absolutely necessary for the completion of the delivery process, in compliance with all the necessary measures for the protection of the public health.
Obligation to provide access to telecommunication network applications, internet or other appropriate means to consumers of electricity and natural gas.
At the end of paragraph 1 of article 48 of law 4001/2011 (A' 179) the subparagraph (θ) is added pursuant to which the suppliers of electricity and natural gas shall provide consumers with access to telecommunication network applications, internet or other appropriate means: a. when suppliers submit offers for the provision of services of supply of electricity or natural gas b. for the execution and amendment of a contract for the supply of electricity or natural gas c. for the provision of any standard material prepared by the supplier of electricity and natural gas supplier, of the contract for the supply of electricity or natural gas and the accompanying documents. Upon request, this material may also be provided in printed form d. for issues regarding the invoicing of such the relevant services e. for sending of electricity or natural gas consumption bills; and f. for the payment of electricity or natural gas consumption bills, either timely or not; The aforementioned provisions also apply to contracts for the supply of electricity and natural gas that are in force at the time of entry into force of the Legislative Act of 30.03.2020.
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CRITICAL LEGISLATION ON COVID-19
Extension of deadlines for the implementation of R.E.S. and C.H.P. stations – Maintenance of Reference Tariffs
Α. The following deadlines are extended by six (6) months:
(a) The duration of installation licenses and final grid connection offers for RES or CHP stations which expire on or before 30 June 2020 – Maximum extension until 31 December 2020.
(b) The deadlines for the commencement of trial operation of RES stations which had been selected at the time of entry into force of Legislative Act of 30.03.3020 or are selected through the competitive bidding process of article 7 of law 4414/2016 (A '149) with the obligation to commence their operation (trial or commercial) until 30 June 2020 - Maximum extension until 31 December 2020.
Β. The following deadlines are extended by four (4) months:
(a) The duration of installation licenses and final grid connection offers for RES or CHP stations which expire between 1 July until 31 December 2020 - Maximum extension until 31 March 2021.
(b) The deadlines for the commencement of trial operation of RES stations which were had been selected at the time of entry into force of Legislative Act of 30.03.3020 or are selected through the competitive bidding process of article 7 of law 4414/2016, with the obligation to commence their operation (trial or commercial) between 1 July until 31 December 2020 - Maximum extension until 31 March 2020.
(c) The dated of entry into force (1 January 2021) of the Reference Tariffs set out in the Ministerial Decision no. MEE/DAPE-EC/25511/882/20.03.2019 issued by the Minister of Environment and Energy (B '1021), as well as specifically for the current year the date of entry into force (1.1.2021) of the Reference Tariffs set out by the decision of the last subparagraph of paragraph 5 of article 4 of law 4414/2016. Following the above extension, the aforementioned Reference Tariffs shall enter into force on 1 May 2021.
(d) The deadline for the commencement of operation, trial or commercial, of the RES or CHP stations determined in subparagraph (a) and (b) of paragraph 12 of article 3 of law 4414/2016, which is defined in the last subparagraph of the same paragraph. Following the above extension, the RES and CHP stations which have executed Power Purchase Agreement until 31 December 2015 in accordance with Article 12 of Law 3468/2006 (A` 129) and did not commence their operation (trial or commercial) until:
- 31 July 2019 for wind, small hydro and biomass/biogas stations, or - 31 December 2017 for all other RES and CHP stations and for this reason fall under the Operating Aid Support scheme of Law 4414/2016, are exempted from the obligation to participate in competitive bidding process if they commence their operation (trial or commercial) by 31 January 2021.
C. The following deadlines are extended by two (2) months:
(α) The deadline for acceptance of the Final Grid Connection Offer for the RES and CHP stations determined in articles 3 and 4 of law 3468/2006 (Α' 129) and the deadline for the submission of the relevant guarantee letter to the competent operator in accordance with the provisions of subparagraph 1.1 (3) of Law 4152/2013 (A '107) which expire APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19 within the time period from the entry into force of the Legislative Act until 30 June 2020 - Maximum extension until 31 August 2020.
Α.1075 (Greek Government Gazette B' 1160/03.04.2020)
Inclusion of the activities of sale and distribution of electricity and natural gas and of gas stations (ACN) in the extraordinary measures to address the negative consequences of the spread of COVID-19 coronavirus A special purpose compensation for an amount of 800€ and for a period of 45 days is provided for employees of companies in the field of sale and distribution of electricity and natural gas and of fuel stations, whose employment agreements have been temporarily suspended. These employees are also entitled to the 4 month suspension of payment of debts to the Tax Authority.
Legislative Act of 13.04.2020
Article 55 of Legislative Act of 30.03.2020 provides the possibility of electricity and natural gas suppliers to settle 30% of the invoices of the Operators in four monthly installments until 31 May 2020
Electricity suppliers
Electricity suppliers may pay to the Transmission System and Distribution Network Operators and the Operator of RES and Guarantees of Origin the amounts the charges corresponding to their customers, regarding the special levy on pollutant emissions (in Greek ΕΤΜΕΑΡ), the charges for the general interest services (in Greek ΥΚΩ), the Charges for the use of the Transmission System (in Greek ΧΧΣ) and the charges for the use of the Distribution Network (in Greek ΧΧΔ), pursuant to the invoices issued by the competent Operators which are payable, according to the provisions of the respective Code of Operators, within the time period from the entry into force of the Legislative Act 13.04.2020 until 31 May 2020, as follows:
(a) Seventy percent (70%) of the net value, plus the total VAT of each invoice, on the repayment date which is provided by the respective Code of Operators and (b) The remaining thirty percent (30%) of the net value, of each invoice through settlement, without any penalty and interest-free for the Supplier, in four equal monthly installments, the first of which will be paid within one month following the payment of subparagraph (a).
Natural gas suppliers:
Natural gas suppliers may pay to the Transmission System and Distribution Network Operators the amounts of charges corresponding to their customers regarding the charges for the use of the Transmission System, the charges for the Use of the LNG facility and the charges for the use of the Distribution Network, pursuant to the invoices which are issued by the Operators in the frame of the agreements entered into between them and which are payable, in accordance with the provisions of the relevant regulations, within the time period from the entry into force of the Legislative Act 13.04.2020 until 31 May 2020, as follows:
(a) Seventy percent (70%) of the net value, plus the total VAT of each invoice, on the repayment date, which is provided by the respective regulations and APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
(b) The remaining thirty percent (30%) of the net value of each invoice through settlement, without any penalty and interest-free for the Supplier, in four equal monthly installments, the first of which will be paid within one month following the payment of subparagraph (a).
In case of non-timely repayment of the initial amount, as well as non-timely repayment of any of the above installments, the settlement shall not be applied or shall be terminated respectively and the entire dept shall become immediately due and payable.
For the implementation of the above, the Supplier shall notify in writing the competent Operator and submit a solemn declaration, by notifying the Regulatory Authority for Energy (RAE), that it wishes to settle the relevant invoices, due to the restrictive measures to address the spread of COVID-19 and the consequent reduction in their collectability. In any case, the Supplier shall prove this necessity to the Regulatory Authority for Energy (RAE), if requested so by RAE in the context of its supervision, pursuant to Articles 22 and 23 of Law 4001/2011 (A '179).
Article 60 of Legislative Act of 30.03.2020 provides the provision of a special purpose short-term loan agreement to DAPEEP SA with the scope to cover the revenues of the RES and CHP Special Account generated from the ETMEAR which is payable within the time period from the entry into force of L.A./13.04.2020 until 30 June 2020
DAPEEP SA has the obligation to conclude a short-term loan agreement with a recognized credit institution or financial institution, in order to cover the revenues of the RES and CHP Special Account (“Special Account”) in accordance with article 143 of law 4001/2011 (Α' 179) generated from the Special Levy on Pollutant Emissions (in Greek ΕΤΜΕΑΡ), which is payable by the electricity Suppliers, in accordance with the provisions of the Code of DAPEEP and the applicable legislation, within the time period from the entry into force of the Legislative Act 13.04.2020 until 30 June 2020.
The respective request may be submitted by DAPEEP SA at any time within the current year, following a relevant decision of the company's Board of Directors.
The amount of the loan agreement:
(a) its maximum limit is determined by DAPEEP SA, based on its estimation of the expected revenues of the Special Account from the ΕΤΜΕΑΡ, within the reference period from the entry into force of the Legislative Act 13.04.2020 until 30 June 2020.
(b) shall be used in order to cover by equal amounts the non-recovered revenues of the Special Account, by crediting the latter, in derogation of article 143 of law 4001/2011 (A '179) and the relevant provisions of the Code of DAPEEP SA.
(c) is paid from the gradual recovery of the above amounts by the Electricity Suppliers, in accordance with the specific terms of the loan agreement.
Interests and management expenses shall burden the Special Account.
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
Article 87 of Law 4722/2020 (Greek Government Gazette B' 177/15.09.2020)
Postponement of submission window for new applications to the Regulatory Authority for Energy (RAE) for granting electricity producer certificates or certificates for special projects:
1. Notwithstanding the par. 2 of article 11 and par. 1 of article 22 of law 4685/2020 (A' 92), the following applications are not submitted during the submission window of October 2020: a) new applications for electricity producer certificates or certificates for special projects; b) applications for amendment of production license or electricity producer certificates or certificates for special projects in case of: ba) extension of the boundaries of the installation polygon, unless such extension is required by an opinion under the environmental license and there is no territorial overlap by any production license application which has already submitted, at the time of entry into force of this Law, or any production license which has already been issued; bb) increase of the maximum production capacity more than 10%.
2. Notwithstanding the par. 2 of article 11 and par. 1 of article 22 of Law 4685/2020, new applications for electricity producer certificates or certificates for special projects, as well as the applications for amendment of electricity producer certificates or certificates for special projects or electricity production licenses, are submitted from the first to the tenth day of December 2020.
Article 93 of Law 4796/2021 (Greek Government Gazette A' 63/17.04.2021)
Extension of deadlines for the implementation of R.E.S. and C.H.P. stations – Maintenance of Reference Tariffs
The following deadlines are extended by ten (10) months:
(a) The duration of installation licenses and final grid connection offers of RES or CHP.
(b) The deadlines for the commencement of trial operation of RES stations which have been selected through the competitive bidding process of article 7 of law 4414/2016.
(c) The date of entry into force of the reference tariffs set out in the Ministerial Decision no. ΥΠΕΝ/ΔΑΠΕΕΚ/ 30971/ 1190/26.3.2020 issued by the Minister of Environment and Energy (Β’ 1045) for the categories 29(a), 29(β), 30(α), 30(β), 30(γ) of the Table 1 of par. 1(b) of article 4 of law 4414/2016. Following the above extension, the reference tariffs of the PV stations with capacity shall enter into force on 1st March 2022.
(d) The date of entry into force of the reference tariffs set out in the Ministerial Decision no. ΥΠΕΝ/ΔΑΠΕΕΚ/ 30971/ 1190/26.3.2020 issued by the Minister of Environment and Energy (Β’ 1045) for the categories of Table 1 of par. 1(b) of article 4 of law 4414/2016 which are not included in the section (c) above. APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
(e) The date of entry into force of the reference tariffs set out in the Ministerial Decision no. ΥΠΕΝ/ΔΑΠΕΕK/25511/ 882/20.3.2019 issued by the Minister of Environment and Energy (B '1021). Following the above extension, the reference tariffs of the above categories shall enter into force on 1st March 2022.
(f) The date of entry into force of the reference tariffs set out in the Ministerial Decision no. ΥΠΕΝ/ΔΑΠΕΕK/25511/ 882/20.3.2019 issued by the Minister of Environment and Energy (B '1021), as the above reference tariffs are set out in par. 5 of article 4 of law 4414/2016 for the stations set out in par. 3 of article 125 of law 4685/2020 (A’ 92) and for the stations set out in par. 10(δ1)(α)(β) of article 8 of law 3468/2006 (A’ 129).
For further information: [email protected]
APR 27TH 2021
CRITICAL LEGISLATION ON COVID-19
12. FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19
The following table illustrates a number of special financial relief measures introduced by countries affected from COVID-19 pandemic up to 26 April 2021. The following countries are examined with that respect: France, Germany, Switzerland, Italy, Netherlands, United Kingdom, Norway, Cyprus, Czech Republic, Russia, Turkey, Singapore, India, USA, Brazil, Israel, Japan and Hong Kong
For further information: [email protected]
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs i. Deferral of social security contributions Reduced VAT Rate on Sanitary Equipment i. Extension of time limits for tax authorities’ adjustments Agreement between the States of France, ii. Remittance and deferral of corporate income tax ii. Extension of time limits applicable during tax proceedings Germany, Belgium, Luxembourg and iii. Deferral of payment for rent, water, gas and electricity bills for small companies The Second Amending Finance Act adopted on 25 iii. Extension of time limits applicable in matter of rulings Switzerland regarding frontier workers: April 2020 temporarily extended The extensions mentioned above are granted as from 12 March frontier workers may be subject to a special Additional measures through amending Finance Bill: the scope of the reduced 5.5% VAT rate to masks, 2020 until one month after the date on which the current state of regime which allocates the exclusive taxation i. exemption from corporate income tax, income tax and all legal and conventional social protective clothes and sanitizers (produits public health emergency is revoked. of wages to the residence state, provided security contributions for sums paid by the solidarity fund to companies destinés à l'hygiène corporelle) used to limit the they do not exceed a certain number of days ii. exemption from income tax and social security contributions for exceptional bonuses spread of the COVID-19 virus. A decree published iv. Deadline for filing tax returns is extended until 30 June 2020 for worked outside the border area of the other specifically paid to government on 8 May 2020 defined the technical enterprises, as well as for the payment of certain taxes; it includes: state (this measure applies with effect from employees mobilized in the context of the state of health emergency characteristics that must be met by these filing and payment of balance of corporate income tax, 2019 14 March 2020 until further notice). Based on products. These characteristics are listed under taxable result – companies, 2019 taxable result – individual the latest agreement, the fact that frontier Exemption from Social Security Contributions for Wine Sector articles 30-0 E (for masks) et 30-0 F (for sanitizers) enterprises, 2019 taxable result – associations, 2019 taxable result workers work from their home during the of Annex IV of the General Tax Code. The entry – real estate companies, local tax CVAE and filing of certain COVID-19 pandemic will have no incidence Specific exemption from social security contributions for SMEs operating in the wine sector into force of the reduced VAT rate for payments. on their status for tax purposes. transactions involving such products depends on v. For large companies (i.e. with more than 5,000 employees or an European Investment Bank granted two lines of credit the products and the nature of the transaction: annual turnover exceeding EUR 1.5 billion) and groups, the The lockdown applicable in France since 17 – as regards masks and protective clothes, it extension of payment limits is conditioned upon the absence of March 2020 should not have any European Investment Bank (EIB) has granted two lines of credit totaling € 600 million which applies to supplies and intra-community dividend distribution and share buybacks until the end of 2020. consequences on taxpayers' residence either will allow Crédit Mutuel Alliance Fédérale to lend more than € 1.2 billion to French SMEs acquisitions made from 24 March 2020 and to vi. Deadline for the contribution for public television extended under French domestic law or under existing and mid-caps. other operations (e.g. importations) made from until 15- 24 July 2020 (only applicable to hotels and restaurants). tax treaties. Under article 4B of the General 26 April 2020; and Tax Code, resident individuals are persons Amendment of the 2020 Finance Act – as regards sanitizers, it applies to supplies and Filing and Payment Limits Extended to 31 July 2020 for Enterprises who, regardless of their nationality: intra-community acquisitions made from 1 (i) have a home or, in the absence of any The French Official Gazette July 31 published Law No. 2020-935, further amending the 2020 March 2020 and to other operations (e.g. Extension from 30 June 2020 to 31 July 2020 of deadline for filing home, principal abode in France Finance Act due to the coronavirus pandemic. Some of the most prominent measures of the importations) made from 26 April 2020. the tax return and paying the (ii) perform employment or independent law are: 1) deferral to Feb. 28, 2021, from Aug. 31, 2020, for reporting historical cross-border In all cases, the reduced VAT rate will apply until balance of corporate income tax for companies whose fiscal year services in France (unless such activity arrangements that became reportable from June 25, 2018, to June 30, 2020; 2) deferral to 31 December 2021. ends on 31 March 2020.The postponement follows the extension is only ancillary); or Jan. 1, 2021, from July 1, 2020, for the beginning of the 30-day period to report cross-border granted in the first place to companies whose fiscal year ended (iii) have the centre of their economic arrangements; and 3) deferral to April 30, 2021, for quarterly reporting of marketable French Ministry of Economy and Finance between 31 December 2019 and 29 February 2020. interests in France. France arrangements by intermediaries. Presents EUR 100 Billion COVID-19 Recovery Plan The tax authorities stressed that, under Including Reduction in Production Taxes Extension of Transfer Pricing Declaration Deadline to 31 December settled case law (Conseil d'État, 3 November France Publishes Decree on Charitable Donations Not Subject to 40% Deduction Limit 2020 1995, no. 126513), the "principal abode" The French Ministry of Economy and Finance has criterion may only apply in the absence of France has published Decree No. 2020-1013 of 7 August 2020 in the Official Gazette, which presented a EUR 100 billion recovery plan to The tax authorities extended from 31 October 2020 to 31 December any home, and, in any case, days spent in a provides a list of charitable donations for which taxpayers are entitled to a 60% deduction, restore the economy following the COVID-19 2020 the deadline for filing the annual transfer pricing return for country due to exceptional circumstances regardless the amount. As part of the Finance Law for 2020, the standard deduction was pandemic. With respect to business taxation, the companies whose fiscal year ends on 31 December are not taken into account. Therefore, a limited to 40% for amounts exceeding EUR 2 million, which applies for financial years ending main proposed measures of the plan provide for 2019.Companies whose fiscal year ended at a different date and temporary stay in France because of the on or after 31 December 2020. The list of charitable donations entitled to a 60% deduction a reduction in production taxes, which includes: benefiting from an extended filing period for the corporate income lockdown or foreign travel bans will not lead regardless the amount includes: o 50% reduction in the contribution on tax return may also benefit from an extended filing period for the to the status o Free provision of meals to people in difficulty; value added (Cotisation sur la Valeur annual transfer pricing return. For example, companies whose of French resident.With regard to tax o Housing for people in difficulty; and Ajoutée des Entreprises - CVAE); fiscal year ended on 29 February 2020 may file their corporate treaties, the tax authorities stressed that the o When exercised as a main activity, the free supply to people in difficulty of school o 50% reduction in property taxes of income tax return until 30 June 2020 and their annual transfer Covid-19 pandemic is a situation of "force supplies, clothing, including shoes, sanitary products, including housekeeping, and industrial establishments; and pricing return until 31 December 2020.The postponement follows majeure". Therefore, taxpayers who are oral and personal hygiene products, and certain other supplies. o Reduction in the cap for the territorial the extension granted for the filing of the corporate income tax temporarily locked down in France for this economic contribution (Contribution return. reason should not be considered as having Économique Territoriale - CET) from 3% their permanent home or centre of vital to 2% of the value added generated interests in France Additional Support Measures in Response to COVID-19 during a year. The reduction in production taxes is to amount to Registration of Legal Acts by Email 1) Extension of solidarity fund to provide monthly compensation for affected businesses EUR 10 billion per year beginning from 1 January 2021. The tax authorities have announced that 2) Extension of exemption and deferral of social contributions certain legal acts involving businesses (e.g. those recording a capital increase or 3) Introduction of tax credit for lessors equal to 30% of rents loss where the lessor agrees to reduction) may be filed by email rather than waive at least one month's rent during October, November, and December 2020 for physically. Where a payment of transfer tax companies (tenants) with less than 250 employees or belonging to the hotel, cafe, and is due, it must be made through a bank catering sector. transfer. The tax authorities published guidelines on 11 May 2020 which detail the new registration process. The guidelines
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs stress that where a copy of an act has been filed by email, the original version of the act fmust not be sent again subsequently for regularization. This measure applies until 10 French Finance Minister announces additional support measures that are being July 2020, which is the last day of the health implemented in response to COVID-19. emergency period as set by Act No. 2020-546 of 11 May 2020. The measures include:
The extension of the solidarity fund to provide monthly compensation for affected businesses, including:
- up to EUR 10,000 for businesses with less than 50 employees that have been required to close, regardless of sector or location; - up to EUR 10,000 for businesses with less than 50 employees that have not been required to close in the tourism, events, culture, sport, and related sectors, but have suffered a loss of turnover of at least 50%; and - up to EUR 1,500 for other businesses with less than 50 employees that have suffered a loss of turnover of at least 50%;
Discussion for the acceleration of Tax Credit Approval Procedure France and Switzerland Sign Agreement on for Direct Investments in French Overseas Departments Taxation of Frontier Workers
The Federation of Companies from French Overseas Territories France and Switzerland signed an agreement (Fédération des entreprises d'outre-mer, FEDOM) and the French on the taxation of frontier workers who are Authority (Bureau des Agréments, BAGR) are currently discussing currently e-working at home due to the the acceleration of the tax credit procedure for direct investments COVID-19 pandemic. The mutual agreement in French overseas departments in light of the COVID-19 pandemic. stipulates that, for purposes of the The BAGR is responsible for granting prior approvals, in particular application of the France - Switzerland approvals for tax credits for direct investments in French overseas Income and Capital Tax Agreement (1966) (as departments. amended through 2014), days spent working from home due to COVID-19 pandemic Extension of Annual Trust Declaration Deadline measures will be deemed to be spent in the state where the frontier workers would have The tax authorities have extended the deadline for filing the annual carried out the work without the current trust declaration from 15 June 2020 to 30 September 2020. The COVID-19 pandemic measures. The mutual annual trust declaration must be filed by French or foreign trustees agreement will be applicable to working days of trusts that involve French resident settlors or beneficiaries, or during the period between 14 March 2020 that include French assets. It must state the market value, as from and 31 May 2020 and is automatically 1 January 2020, of assets and rights held in the trust (article 1649 extended until the end of the following AB of the General Tax Code).Note: Any constitution, modification calendar month until the rules limiting the or extinction of a trust involving French residents or assets must be free movement of workers in both states declared using a specific return that must be filed before the end of introduced due to the COVID-19 pandemic the month following the constitution, modification or extinction. cease to exist or the agreement is jointly The postponement announced by the tax authorities does not terminated by the competent authorities of apply to this type of declaration. both states. The agreement, published on 14 May 2020, was signed on 13 May 2020 and France Updates Deferral for the Payment of Payroll Tax entered into force on the day of publication.
Further deferrals for payment of payroll tax. Payments in respect of Germany and France Sign Agreement on remuneration paid in May 2020, which were due 15 June 2020, can Taxation of Frontier Workers be deferred to 15 September 2020. In order to further alleviate the burden on companies during the Germany and France signed an agreement on summer period, it is also provided that requests can be made for the taxation of frontier workers who are the deferment of payments normally due in July and August 2020. currently e-working at home due to the In that case, the payment of payroll tax due in July and August in COVID-19 pandemic. The mutual agreement respect of remuneration paid in June and July can be deferred to stipulates that, for purposes of the application of Article 13(1) of the France -
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs the deadlines for payments in respect of September and October, Germany Income and Capital Tax Agreement which are due in October and November 2020, respectively. (1959) (as amended through 2015), days spent working from home due to COVID-19 French Ministry of Finance allows the spread of payments of taxes pandemic measures will be deemed to be of SMEs spent in the state where the frontier workers would have carried out the work without the Allowed SMEs to spread, over a period of up to 3 years, the current COVID-19 pandemic measures. This payment of their taxes due during the period of pandemic rule will not be applicable to working days . which would have been spent in the home office anyway or in third countries, in particular if working from home is part of the respective contractual labour agreements. The mutual agreement further stipulates that concerned frontier workers intending to make use of the mutual agreement are obliged to collect relevant evidence, i.e. a statement by the employer about the days spent in home office due to the COVID-19 pandemic. The fiction provided for by the mutual agreement will only be effective to the extent that the relevant employment remuneration concerning the days spent in a home office are effectively taxed by the work state where the work would have been carried out without the current COVID-19 pandemic measures. Frontier workers making use of the mutual agreement thus consent to taxation of the respective employment remuneration in the work state. Such employment remuneration is deemed to have been effectively taxed if the amount is being taken into account when determining the taxable basis. The mutual agreement France announces possible three-month extension for payment of further notes that the application of the property tax frontier worker provision contained in Article 13(5) of the treaty is not affected by the The French Ministry of Economy and Finance has announced a current COVID-19 pandemic measures due to possible extension of the payment deadline for companies affected a previous mutual agreement signed in 2006. by administrative measures restricting activity for COVID-19. In addition, the competent authorities agree Originally due on 15 October 2020, affected companies may that, for purposes of interpreting the treaty, request an extension of the due date up to three months payments under statutory social insurance schemes, e.g. the payment of reduced hours compensation benefit (Kurzarbeitergeld) in Germany and similar payments in France (chômage partiel), shall be taxable only in the state of residence of the recipient. The mutual agreement will be applicable to working days during the period between 11 March 2020 and 31 May 2020 and is automatically extended until the end of the following calendar month, provided that the agreement is not terminated by one of the competent authorities at least 1 week before the end of a given following calendar month. The agreement was signed on 13 May 2020 and entered into force on 14 May 2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
On 24 June 2020, the Luxembourg Ministry of Finance announced that the mutual agreement of 19 May 2020 on the taxation of frontier workers under the France - Luxembourg Income and Capital Tax Treaty (2018) will be prolonged until 31 August 2020.
France and Italy Sign Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
French General Directorate of Public Finance has published a competent authority agreement with Italy on the taxation of cross-border workers who work from home during the coronavirus pandemic, which was signed from France on 16 July 2020 and Italy on 23 July 2020. The agreement is concluded based on the 1989 double tax treaty between the two countries and provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
The agreement entered into force on 24 July 2020 and applies retroactively from 12 March 2020 to 31 August 2020. The competent authorities may jointly agree to renew the application of the agreement due to the extension in one or both of the Contracting States of measures to combat the spread of COVID-19.
Luxembourg Agreements with Belgium and France Extended on Taxation of Cross-Border Workers During COVID-19 Pandemic
Luxembourg's Ministry of Finance has announced the extension of its agreements with Belgium and France concerning taxation of cross-border (frontier) workers during the COVID-19 pandemic. The agreements are extended until 31 December 2020 and essentially provide that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
France and Italy extend agreement on taxation of Cross-Border workers during COVID-19 Pandemic
Extension to 31 December 2020 of the competent authority agreement between France and Italy regarding taxation of cross- border workers who work from home during the coronavirus pandemic. The competent authority agreement is based on Double Tax Treaty between the two countries and provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
Luxembourg and France Extend Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
Luxembourg's Ministry of Finance has announced the extension of its agreement with France concerning the taxation of cross-border (frontier) workers during the COVID-19 pandemic until 31 March 2021. The agreement essentially provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
France Extends Agreement with Italy on Taxation of Cross-Border Workers During COVID-19 Pandemic
France has published the updated version of its agreement with Italy concerning the taxation of cross-border (frontier) workers during the COVID-19 pandemic, including provisions to extend the agreement until 31 March 2021. The agreement essentially provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs “Bundesregelung Kleinbeihilfe 2020” – Scheme to support companies affected from the Temporary reduction of VAT on Supplies of Food Employers may request to extend the deadline for submitting the Agreement between the States of France, COVID-19 pandemic i. Direct Grantsii. Repayable advanceiii. Tax and payment advantagesiv. and Beverages in Restaurants monthly or quarterly (if applicable) wage withholding tax Germany, Belgium, Luxembourg and Aid does not exceed EUR 120,000 per company active in the fishery and aquaculture sector The Federal Cabinet (Bundesregierung) has declarations by a maximum period of 2 months, provided the Switzerland regarding frontier workers: – EUR 100,000 per company active in the primary production of agricultural products – EUR decided to apply the reduced VAT rate to employer or the responsible payroll accountant can prove that they frontier workers may be subject to a special 800,000 for all the other companies supplies of food and beverages in restaurants were prevented from submitting such declarations in time through regime which allocates the exclusive taxation Clarifications on tax exemptions of bonuses up to EUR 1,500 in cash or in kind and bars from 1 July 2020. The reduced VAT on no fault of their own. of wages to the residence state, provided i. Tax exemption for bonuses up to EUR 1,500 in cash or in kind received by employees such services will initially apply for a period of 1 they do not exceed a certain number of days during the period from 1 March 2020 to 31 December 2020 . year until 30 June 2021.In general, the supply of worked outside the border area of the other ii. Requirement: the bonus must be granted by the employer as a reward for special efforts food and beverages in restaurants and bars in Germany Announces Expansion of COVID-19 Relief state (this measure applies with effect from due to the COVID-19 pandemic. Any additional payments granted by the employer in Germany is subject to the standard VAT rate of 14 March 2020 until further notice). Based on addition to the reduced hours compensation benefit is not covered by the exemption for 19% if consumed on the premises. Food and Εxpansion of COVID-19 relief measures. Tax assistance measures the latest agreement, the fact that frontier bonuses. beverages supplied for take-away purposes is include that the deadline for filing tax returns for the 2019 calendar workers work from their home during the Clarifications on application of Investment Tax Act subject to the reduced rate of 7%.The temporary year has been extended by one month to 31 March 2021. Tax COVID-19 pandemic will have no incidence Clarifications concerning the qualification of an investment fund as a mixed fund or a application of the reduced VAT rate of 7% to the payment deferral options are also extended, including that on their status for tax purposes. Agreement securities fund intimes of the COVID-19 pandemic. This qualification is decisive to determine first category is meant to provide a start-up aid taxpayers directly and negatively affected economically by the between Germany and the Netherlands the amount of partial tax exemptionfor investors regarding their income from an for the catering industry once the opening COVID-19 pandemic may enter into tax payment installment concerning frontier workers : for purposes of investment fund. According to the Investment Tax Act, an investment fund is qualified as a restrictions for restaurants and bars are lifted. agreements for deferred payments up to 31 December 2021, the application of the Germany - Netherlands securities fund if the fund is invested at least by 51% in securities and as a mixed fund if the without deferral interest. Income Tax Agreement, days spent working fund is more than 25% but less than 51% invested in securities. An investment fund will lose from home due to COVID-19 pandemic its qualification if the investment thresholds are not permanently met throughout the Guidance on Temporary Reduction in VAT Rates measures will be deemed to be spent in the whole tax year. However, for simplification purposes it is assumed that the thresholds are in Response to COVID-19 Further Deadline Extension for 2019 Tax Returns state where the frontier workers would have met permanently if the respective investments of a fund do not fall below these thresholds carried out the work without the current for more than 20 days per tax year. The guidance stipulates that any infringements of the On 4 November 2020, the German Federal Τhe deadline for the 2019 calendar year for tax returns prepared by COVID-19 pandemic measures. This rule will Germany mentioned investment thresholds during the period between 1 March 2020 and 30 April Ministry of Finance published guidance tax advisors will be extended by six months, with the required legal not be applicable to working days which 2020 are disregarded and are not to be taken into account for the 20 days per tax year where letter on the application of the temporary basis to be passed in March 2021. With the extension, tax returns would have been spent in the home office an investment fund may fall below the relevant thresholds. reduction in the VAT rates implemented in for 2019 can be submitted up to 31 August 2021. anyway or in third countries, in particular if Response to COVID-19. As from 1 July up to 31 working from home is part of the respective Emergency Measures - Liquidity Support for Small Businesses, Artists and Self- Employed contractual labour agreements.Frontier December 2020, the standard 19% VAT rate is Further extension for the deadline of annual VAT return Persons workers intending to make use of the mutual reduced to 16%, and the reduced 7% rate is agreement are obliged to collect relevant further reduced to 5%. In addition, a reduced rate The due date of the annual VAT return is to be moved to 31 August Taxpayers in need of liquidity can apply for a refund of tax prepayments made in 2019 and evidence, i.e. a statement by the employer applies for restaurant and catering services as from 31 March 2021 where they are prepared by an outside the first prepayment made in 2020 on 10 March based on a lump-sum determination of about the days spent in home office due to from 1 July 2020 up to 30 June 2021, excluding professional services advisor. This is the second delay of the final losses for the current tax year. The lump-sum based determined amount of loss carry-back the COVID-19 pandemic. The fiction provided drinks. VAT return. from 2020 is 15% of the relevant income which served as a basis for the determination of for by the mutual agreement will only be the tax prepayments for 2019 with a maximum of EUR 1 million (EUR 2 million in the case effective to the extent that the relevant Reduced VAT rate of joint assessment). On this basis the tax prepayments for 2019 will be newly calculated employment remuneration concerning the and any overpaid amount will be refunded. Once a company is profitable again, the received days spent in a home office are effectively amounts shall be repaid. The reduced VAT rate of 7% for restaurants and taxed by the work state where the work catering services has been extended to the end of would have been carried out without the 2022. current COVID-19 pandemic measures. The mutual agreement will be applicable to working days during the period between 11 March 2020 and 30 April 2020 and is automatically extended until the end of the following calendar month, provided thatthe agreement is not terminated by one of the competent authorities at least 1 week before the end of a given following calendar month.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Federal Cabinet Approves Draft Bill on Tax Relief Measures European Commission Approves German "Umbrella" Scheme
On 29 April 2020, the European Commission The draft bill provides for the tax exemption of subsidy payments from employers in (EC) approved a German aid scheme addition to the reduced hours compensation benefit at the level of the receiving employees. ("umbrella" scheme) to support research, Under the reduced hours compensation benefit scheme, employees are compensated 60% development, testing and production of of the difference in monthly net earnings due to reduced hours paid COVID-19 relevant products. The scheme was found compatible with the State aid by the Federal Labour. The draft bill provides that additional subsidies paid by employers to Temporary Framework adopted by the EC on help compensate for lost wages from March to December 2020 shall be tax exempt up to 19 March 2020, as amended on 3 April 80% of the difference between the regular net remuneration and the actual remuneration. 2020.The "umbrella" scheme supports: On 28 May 2020, the lower house of the German parliament (Bundestag) approved the draft – COVID-19 relevant research and bill on tax relief measures relating to the COVID-19 pandemic. The draft bill is still subject development (R&D) activities, including the to approval by the Federal Council. provision of aid to Seal of Excellence projects relating to COVID-19 selected under Horizon 2020; – investments into testing and upscaling infrastructures that contribute to developing Government Announces Agreement on Economic Stimulus Package COVID-19 relevant medicinal products; and – investments into production facilities for
medicinal products needed to respond to the outbreak. The members of the coalition committee have agreed on an economic stimulus package at an amount of approximately EUR 130 billion. The stimulus package aims at supporting Furthermore, undertakings are encouraged families, companies and communities in overcoming the economic impact of the COVID-19 to cooperate with each other or with pandemic. The package consists of measures aiming at mitigating the current economic research organizations by benefitting from a impact of the COVID-19 pandemic and preserving Germany's role as exporter of high level 15% bonus when the R&D research project is technology. carried out in cross-border collaboration with research organizations or other undertakings, or when the research project is supported by more than one Member State. The key impulse to stimulate domestic consumption is the planned reduction of the The "umbrella" scheme aims to enhance and standard and reduced VAT rates. The key elements of the announced stimulus package accelerate both the development and the providing for tax measures are: production of products directly relevant to the COVID-19 outbreak. These include – a temporary reduction of the standard VAT rate from 19% to 16% and of the reduced VAT medicinal products such as vaccines, hospital rate from 7% to 5% during the period between 1 July and 31 December 2020; and medical equipment (including ventilators), and protective clothing and – postponement of the due date of VAT on importation from the 16th of the following equipment. The public support will take the month to the 26th of the following month; form of direct grants, repayable advances and tax advantages. Guarantees to cover – a guarantee that the social security contributions (by employees and employers) will not losses may also be granted, either in addition exceed 40% in the years 2020 and 2021; to a direct grant, tax advantage or repayable advance, or as an independent aid measure. – temporary introduction of the declining balance method for movable fixed assets during The measure allows aid to be granted by tax years 2020 and 2021. German authorities at all levels, including the Federal government, regional and local authorities. The scheme is open to all enterprises capable of carrying out such For this period, the annual rate of depreciation may be two and a half times the allowable activities in all sectors. The EC found that the straight-line rate with a maximum of 25%; German scheme is in line with the conditions set out in the Temporary Framework. In particular, the aid will cover a significant – introduction of an option for partnerships to be treated as corporate entities for corporate share of the investment costs necessary for income tax purposes; the development and testing of innovative products and processes, as well as the costs – increase of the maximum amount for a loss carry-back from EUR 1 million (double if jointly of construction of new production facilities. assessed) to EUR 5 million (double if jointly assessed) for the tax years 2020 and 2021, and Furthermore, under the scheme, investment
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs introduction of a mechanism which allows taxpayers to benefit from this measure already projects will have to be completed within 6 via the tax assessment for 2019, e.g. by introducing a reserve for the COVID-19 pandemic; months after the date of granting of the aid. The EC concluded that the aid scheme will – introduction of an improved employee participation scheme; contribute to the achievement of a common objective of crucial importance, is necessary, – increase of the existing allowance of EUR 100,000 for add-back amounts for municipal appropriate and proportionate to fight the business tax purposes to EUR 200,000; health crisis, in line with Article 107(3)(c) of the Treaty on the Functioning of the – payment of a one-time child bonus of EUR 300 per child which is entitled to monthly child European Union and the conditions set out in benefit; the Temporary Framework.
– a temporary increase in the single parents allowance from EUR 1,908 to EUR 4,000 for the tax years 2020 and 2021;
– amendments to the motor vehicle tax, which will result in taxation of motor vehicles depending on the amount of CO2 emissions. In addition, the existing exemption from motor vehicle tax for solely electrically powered passenger cars until 31 December 2025 will be prolonged until 31 December of 2030;
– temporary increase in a premium grant for purchasers of solely electrically powered vehicles with a list price of up to EUR 40,000 from EUR 3,000 to EUR 6,000 until 31 December 2021;
– increase of the list price for solely electrically powered vehicles as company cars Germany and France Sign Agreement on benefitting from reduced taxation from EUR 40,000 to EUR 60,000; and Taxation of Frontier Workers – amendments to the tax credit for qualifying research and development (R&D) expenses; the current maximum assessment basis of EUR 2 million to which the credit applies will be Germany and France signed an agreement on temporarily increased to EUR 4 million until 31 December 2025. taxation of frontier workers who are currently e-working at home due to the The stimulus package was agreed by the coalition committee on 3 June 2020 and will now COVID-19 pandemic. The mutual agreement undergo the legislative process including the approval by the lower house of the parliament stipulates that, for purposes of the (Bundestag) and the Federal Council(Bundesrat).The agreed stimulus package is an application of Article 13(1) of the France - enormous effort to revive the economy and to stimulate consumption, and is significantly Germany DTT (1959), days spent working larger than the economic stimulus package implemented after the financial crisis in 2008 from home due to COVID-19 pandemic and 2009. measures will be deemed to be spent in the state where the frontier workers would have The Federal Cabinet (Bundesregierung) approved the economic stimulus package previously carried out the work without the current proposed by the coalition committee. COVID-19 pandemic measures. This rule will not be applicable to working days which The Federal Cabinet approved the draft of the second bill on tax relief measures relating to would have been spent in the home office the COVID-19 pandemic (Entwurf eines zweiten Gesetzes zur Umsetzung steuerlicher anyway or in third countries, in particular if Hilfsmaßnahmen zur Bewältigung der Corona-Krise) on 12 June 2020. The draft bill contains working from home is part of the respective the previously proposed economic stimulus package. In addition, the draft bill provides for contractual labour agreements. The mutual a temporary extension of the reinvestment time limit under section 6b of the EStG for 1 agreement further stipulates that concerned year. Under section 6b of the EStG, a tax-free reserve may be set up if a replacement asset frontier workers intending to make use of is not acquired immediately and must be dissolved within the following 4 years. The the mutual agreement are obliged to collect reinvestment period shall be extended by 1 year if otherwise the tax-reserve was to be relevant evidence, i.e. a statement by the dissolved in 2020.Also the reinvestment period of 3 years under section 7g of the EStG shall employer about the days spent in home be extended by 1 year, for taxpayers who claimed an investment deduction in 2017 and did office due to the COVID-19 pandemic. The not yet acquire or manufacture new assets and otherwise would be forced to add-back the fiction provided for by the mutual agreement amount of the previously taken investment deduction in 2020. will only be effective to the extent that the relevant employment remuneration European Commission Approved the set up of Fund aimed to support enterprises affected concerning the days spent in a home office by COVID-19 are effectively taxed by the work state where the work would have been carried out Approved German plans to set up a fund with a budget of up to €500 billion for providing without the current COVID-19 pandemic guarantees and investing through debt and equity instruments in enterprises affected by measures. Frontier workers making use of the coronavirus outbreak. the mutual agreement thus consent to
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs taxation of the respective employment Bundestag Increases Basic Tax Allowance remuneration in the work state. Such employment remuneration is deemed to Bundestag increased basic tax allowance by EUR 288 to EUR 9,696 (2021) and again by EUR have been effectively taxed if the amount is 288 to EUR 9,984 (2022) to support families with children being taken into account when determining the taxable basis. The mutual agreement Federal Cabinet Adopts Measures to Offset the Reduced Tax Revenues further notes that the application of the frontier worker provision contained in Article Federal Cabinet adopted several labor and social policy measures from the stimulus package 13(5) of the treaty is not affected by the of June 3, 2020. One of the measures included a lump-sum compensation of nearly EUR 11.8 current COVID-19 pandemic measures due to billion in 2020. This sum will be provided to municipalities to offset the reduced tax a previous mutual agreement signed in revenues stemming from loss of trade activity. The federal government will grant 2006.In addition, the competent authorities municipalities a sum equal to 50% of the expected trade tax revenue from May 2020. agree that, for purposes of interpreting the treaty, payments under statutory social New Business Tax Measures insurance schemes, e.g. the payment of reduced hours compensation benefit Package of business tax measures: Temporarily reduced the sales tax rate for food to 7%, (Kurzarbeitergeld) in Germany and similar allows companies to defer taxes, suspends enforcement of overdue taxes. payments in France (chômage partiel), shall be taxable only in the state of residence of the recipient. The mutual agreement will be applicable to working days during the period Child Benefit and Child Tax Allowances between 11 March 2020 and 31 May 2020 and is automatically extended until the end Increased child benefit per child by 15 Euros per month from January 1, 2021 and increased of the following calendar month, provided child tax allowances. that the agreement is not terminated by one of the competent authorities at least 1 week European Commission Approves German Aid Scheme to Support Airports Affected by before the end of a given following calendar COVID-19 month. The agreement was signed on 13 May 2020 and entered into force on 14 May The European Commission has issued a release announcing its approval of a German Aid 2020. Scheme to Support Airports Affected by COVID-19, including deferrals of tax and charges. --- Agreement between the States of France, State aid: Commission approves German aid scheme to support airports affected by the Germany, Belgium, Luxembourg and coronavirus outbreak Switzerland regarding frontier workers: The European Commission has approved a German aid scheme to support airports in the frontier workers may be subject to a special context of the coronavirus outbreak. The scheme was approved partially based on Article regime which allocates the exclusive taxation 107(2)(b) of the Treaty on the Functioning of the European Union (TFEU) and partially under of wages to the residence state, provided the State aid Temporary Framework. they do not exceed a certain number of days Under the scheme, which will be open to all operators of German airports, the German worked outside the border area of the other authorities at different levels (federal, state and municipal) will be able to: state (this measure applies with effect from - Compensate airports for revenue losses directly caused by the coronavirus 14 March 2020 until further notice). Based on outbreak during the period 4 March - 30 June 2020, in the form of direct grants. the latest agreement, the fact that frontier The scheme ensures that any compensation paid out in excess of the actual workers work from their home during the damage suffered will have to be returned to Germany including interest. The risk COVID-19 pandemic will have no incidence of the State aid exceeding the damage is therefore excluded; on their status for tax purposes. - Provide liquidity support in the form of grants, guarantees on loans, subsidised interest rates and deferrals of certain taxes and charges to airports facing liquidity French Agreements with Belgium, Germany, shortages as a result of the restrictions that Germany and other Member States Luxembourg, and Switzerland Extended on had to impose to limit the spread of the coronavirus. Most liquidity support Taxation of Cross-Border Workers During measures covered by the scheme, with the exception of deferrals of tax and COVID-19 Pandemic charges, fall under existing schemes previously approved by the Commission under the Temporary Framework ("Bundesregelung Kleinbeihilfen 2020", The French Ministry of Economy and Finance "Bundesregelung für niedrigverzinsliche Darlehen 2020" and "Bundesregelung has announced the extension of France's Bürgschaften 2020"). The Commission's assessment in the present case is agreements with Belgium, Germany, therefore limited to tax and charges, which are not covered by previously Luxembourg, and Switzerland concerning the approved schemes. taxation of cross-border (frontier) workers With respect to the damage compensation, the Commission assessed the measure under during the COVID-19 pandemic. The Article 107(2)(b) TFEU, which enables the Commission to approve State aid measures agreements are extended until 31 December granted by Member States to compensate specific companies or specific sectors (in the form 2020 and essentially provides that in cases
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs of schemes) for the damages directly caused by exceptional occurrences. The Commission where a cross-border worker is required to considers that the coronavirus outbreak qualifies as an exceptional occurrence, as it is an work from home due to COVID-19, the days extraordinary, unforeseeable event having a significant economic impact. As a result, spent working from home will be treated as exceptional interventions by the Member States to compensate for the damages linked to working days in the Contracting State in the outbreak are justified. which the worker would normally be The Commission found that, with respect to the compensation measure, the German aid working, if not for COVID-19. scheme will compensate damage that is directly linked to the coronavirus outbreak and will provide liquidity to airports in need. It also found that the measure is proportionate as the compensation does not exceed what is necessary to make good the damage. Germany and Luxembourg Sign New With respect to the deferrals of tax and charges, the Commission found that the measure is Agreement on Taxation of Cross-Border in line with the conditions of the Temporary Framework. In particular, (i) the measure Workers During COVID-19 Pandemic supports undertakings that are active in a sector which is particularly affected by the coronavirus outbreak; and (ii) the aid will be granted before 31 December 2020 and the end The Luxembourg tax administration date of the deferrals will be not later than 31 December 2022. has announced the signing of a new The Commission therefore concluded that the measures are necessary, appropriate and agreement with Germany on 7 October 2020 proportionate to remedy a serious disturbance in the economy of a Member State, in line concerning the taxation of cross-border with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. (frontier) workers during the COVID-19 On this basis, the Commission approved the scheme under EU State aid rules. pandemic. The original agreement was signed on 3 April 2020 with retroactive effect from 11 March 2020 and essentially provides that in Germany Extends Payment Relief Measures for COVID-19 cases where a cross-border worker is required to work from home due to COVID-19, the days The German Ministry of Finance has published a letter dated 22 December 2020 regarding spent working from home will be treated as the extension of tax payment relief measures for COVID-19 in agreement with the state tax working days in the Contracting State in which authorities. In general, this is an extension of the relief first provided in March 2020 and the worker would normally be working, if not includes the following: for COVID-19. The new agreement includes the same general provisions and also extends - The extension of the simplified procedure for tax payment deferral without strict the scope to cover salaries, wages, and other requirements or interest charges similar income from government or public - The suspension of enforcement measures for tax debtors who can be shown to service. The new agreement applies to have had a direct and not insignificant impact from COVID-19 if notification is working days in the period 11 March to 31 made to the tax office by 31 March 2021 December 2020 and will automatically renew - The option for taxpayers who can be shown to have had a direct and not for one month at the end of each month insignificant impact from COVID-19 to submit applications for the adjustment of unless one of the competent authorities advance income and corporation tax payments for 2021 by stating their terminates it. circumstances by 31 December 2021, without strict requirements or rejection of applications because the taxpayers are unable to provide detailed proof of the damage caused. Germany and the Netherlands Extend Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
On 27 October 2020, the Netherlands concluded an agreement with Germany
that provides for extension of the agreement signed on 6 April 2020 concerning taxation of cross-border workers during the COVID-19 pandemic until at least 31 December 2020. The agreement on taxation of cross-border workers is made under the 2012 Germany- Netherlands tax treaty and provides that in cases where a cross-border worker is required to work from home due to COVID- 19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
Austria and Germany Sign New Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
The German Ministry of Finance has published a new agreement signed with Austria on 27 October 2020 concerning taxation of cross- border workers during the COVID-19 pandemic. The new agreement provides clarifications and extends the prior agreement signed on 15 April 2020. The main provisions are essentially the same, however, including that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19. The new agreement applies to working days in the period 11 March to 31 December 2020 and will be automatically renewed for one month at the end of each month unless one of the competent parties terminates it through written notification at least one week prior to the beginning the following month.
Germany and Poland Sign Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
The Polish government has published a mutual agreement signed with Germany on 27 November 2020 concerning the taxation of cross-border workers during the COVID-19 pandemic. The agreement provides that days of work for which wages are received and during which the employment was exercised at home solely due to the measures taken to combat the COVID-19 pandemic by the German or Polish Government, may be deemed as days of work spent in the Contracting State where the cross-border worker would have exercised the employment without the measures taken to combat the COVID-19 pandemic.
Germany and the Netherlands Extend Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
The agreement on the taxation of cross- border workers is concluded under the 2012 Germany-Netherlands Double Tax Treaty and provides that in cases where a cross- border worker is required to work from home due to COVID-19, the days spent
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19. The competent authorities of the two countries will continue to monitor the pandemic situation and will consult each other for a further extension if needed. The agreement is extended to at least 31 March 2021.
Germany and Switzerland Extend Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
Germany and Switzerland have agreed to an extension of their agreement signed 11 June 2020 concerning the taxation of cross-border workers during the COVID-19 pandemic until 31 March 2021. The agreement on the taxation of cross-border workers is made under the 1971 Germany-Switzerland tax treaty and essentially provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
Accommodation for payments of federal taxes ,as emergency measure due to the COVID- Accommodation for payment of federal taxes as emergency France and Switzerland Sign Agreement on 19 pandemic:Any late interest charges on late payments of federal taxes which become due measure due to the COVID-19 pandemic:Tax authorities shall Taxation of Frontier Workers during the period of 1 March 2020 to 31 December 2020 is waived favourably consider deferrals of taxes due or payments in installments if requested by taxpayers, provided the immediate tax France and Switzerland signed an agreement collection would otherwise lead to significant hardship for on the taxation of frontier workers who are Switzerland Provides Measures to Mitigate the Economic Impact of COVID-19 Including requesting taxpayers currently e-working at home due to the Interest Relief Waiver on Late Payment Interest on Social Security Contribution COVID-19 pandemic. The mutual agreement Payments stipulates that, for purposes of the Switzerland Switzerland has introduced a number of measures to mitigate the economic impact of The Swiss Federal Council announced that late payment interest on application of the France - Switzerland COVID-19, which were approved by the Federal Council on 20 March. For companies, the late social security contribution payments will be waived Income and Capital Tax Agreement (1966) (as measures include the possibility of deferring the payment of social security contributions, temporarily for contribution payments due until 30 June 2020. The amended through 2014), days spent working without interest. Further, companies are allowed to postpone tax payments without default measure applies retroactively from 21 March 2020.Social security from home due to COVID-19 pandemic interest for taxes due during the period 21 March to 31 December 2020, including VAT, contributions paid by the employer are normally due on a monthly measures will be deemed to be spent in the certain customs duties, and special consumption taxes. The same is provided for direct basis. Self-employed individuals have to pay social security state where the frontier workers would have federal taxes, but the period begins from 1 March. contributions on a quarterly basis. carried out the work without the current COVID-19 pandemic measures. The mutual agreement will be applicable to working days during the period between 14 March 2020
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs and 31 May 2020 and is automatically extended until the end of the following calendar month until the rules limiting the free movement of workers in both states introduced due to the COVID-19 pandemic cease to exist or the agreement is jointly terminated by the competent authorities of both states. The agreement, published on 14 May 2020, was signed on 13 May 2020 and entered into force on the day of publication. Italy and Switzerland Sign Agreement on Taxation of Frontier Workers Italy and Switzerland signed an agreement on the taxation of frontier workers who are currently e-working at home due to the COVID-19 pandemic. The mutual agreement stipulates that, for purposes of the application of the Italy - Switzerland Income and Capital Tax Treaty (1976) (as amended through 2015), and the Italy – Switzerland Agreement on the Taxation of Frontier Workers and the Financial Compensation for Italian Frontier Municipalities of 3 October 1974, days spent working from home due to the COVID-19 pandemic measures will be deemed to be spent in the state where the frontier workers would have carried out the work without such measures. The mutual agreement is applicable during the period between 24 February 2020 and 30 June 2020 and is automatically extended until the end of the following calendar month, until the rules limiting or discouraging the regular free movement of workers in both states introduced due to the COVID-19 pandemic cease to exist or the agreement is jointly terminated by the competent authorities of both states.
French Agreements with Belgium, Germany, Luxembourg, and Switzerland Extended on Taxation of Cross-Border Workers During COVID-19 Pandemic
The French Ministry of Economy and Finance has announced the extension of France's agreements with Belgium, Germany, Luxembourg, and Switzerland concerning the taxation of cross-border (frontier) workers during the COVID-19 pandemic. The agreements are extended until 31 December 2020 and essentially provide that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
Switzerland and Liechtenstein Sign Agreement on Taxation of Cross-Border Workers During COVID-19 Pandemic
The Swiss Federal Tax Administration has published an agreement signed with Lichtenstein concerning taxation of cross-border workers during the COVID-19 pandemic. The agreement is made under the 2015 Swiss- Liechtenstein tax treaty and provides that in cases where a cross-border worker is required to work from home due to COVID-19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19.
Italy and Switzerland Sign New Agreement on the Taxation of Frontier Workers and Related Tax Treaty Protocol
On 23 December 2020, officials from Italy and Switzerland signed a new agreement concerning the taxation of frontier workers, which will replace the current agreement signed in 1974. According to a release on the signing from the Swiss Federal Department of Finance, the new agreement will significantly improve the current system of taxation of frontier workers and help maintain good bilateral relations between the two countries.
Payments of value added tax, social security contributions and employers' withholding i. Processing of tax ruling applications during the period of Italy and Switzerland Sign Agreement on taxes due in April 2020 and May 2020 have been suspended for qualifying enterprises. The suspension of the deadlines related to certain ITA activities Taxation of Frontier Workers suspended payments can be fulfilled in a single installment by 30 June 2020 or in up to 5 Deadline for the payment of stamp duty on equal monthly installments starting from June 2020. Qualifying enterprises are enterprises electronic invoices extended to: ii. Suspension of deadlines for payments due on the basis of Italy and Switzerland signed an agreement having their tax domicile, legal seat or operational seat in Italy, which: i. 20 July 2020, for stamp duty due on invoices “executive” assessments on the taxation of frontier workers who are issued in the first quarter of 2020, if the amount currently e-working at home due to the – for enterprises with revenues not exceeding EUR 50 million in fiscal year 2019, suffered a due is lower than EUR 250 or iii. Suspension of deadlines related to the “assessment with COVID-19 pandemic. The mutual agreement reduction of their turnover of at least 33% in March 2020 and April 2020, when compared ii. 20 October 2020, for stamp duty due on adhesion” procedure stipulates that, for purposes of the to the same months in 2019; and invoices issued in the first and second quarters of application of the Italy - Switzerland Income Italy 2020, if the overall amount due is lower than EUR and Capital Tax Treaty (1976) (as amended – for enterprises with revenues exceeding EUR 50 million in fiscal year 2019, suffered a 250 through 2015), and the Italy – Switzerland reduction of their turnover of at least 50% in March 2020 and April 2020, when compared Parliament Enacts Amendments Agreement on the Taxation of Frontier to the same months in 2019. Clarifications on European Commission Decision Workers and the Financial Compensation for to Waive Import Duties and Import VAT on Italian Frontier Municipalities of 3 October
Certain Goods 1974, days spent working from home due to the COVID-19 pandemic measures will be – the deadlines for all payments of taxes and social security The customs authorities published Circular No. deemed to be spent in the state where the The suspension also applies, irrespective of the amount of revenues in fiscal year 2019, for: contributions expiring on 16 March 2020 have been extended to 20 6/2020 of 8 May 2020, providing clarifications frontier workers would have carried out the March 2020 for all taxpayers; with respect to the EU Commission Decision (EU) work without such measures. The mutual
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs – enterprises which have their tax domicile, legal seat or operational seat in Italy and started 2020/491 of 3 April 2020 on relief from import – for qualifying enterprises which have their tax domicile, legal seat agreement is applicable during the period their business activity duties and VAT exemption on importation or operational seat in Italy and operate in a number of specific between 24 February 2020 and 30 June 2020 granted for goods needed to combat the effects listed sectors, e.g. the tourism, sport and cultural sectors, VAT and is automatically extended until the end after 31 March 2019; of the COVID-19 outbreak. payments due in March 2020 have been suspended. In addition, for of the following calendar month, until the the same qualifying enterprises, the deadlines for the payments of rules limiting or discouraging the regular free – qualifying non-commercial entities; and Indirect Tax Measures social movement of workers in both states introduced due to the COVID-19 pandemic – enterprises which have their tax domicile, legal seat or operational seat in certain Decree No. 34/2020 providing urgent measures security contributions and employers' withholding taxes expiring cease to exist or the agreement is jointly provinces of Northern Italy to relaunch the economy and mitigate the effects between 2 March 2020 and 30 April 2020 have been suspended. terminated by the competent authorities of of the COVID-19 pandemic for taxpayers. The The suspended payments can be fulfilled in a single installment by both states. (Bergamo, Brescia, Cremona, Lodi and Piacenza), if they suffered a reduction of their main indirect tax measures introduced are 31 May 2020 or in up to five equal monthly installments starting turnover of at least 33% in March 2020 and April 2020, when compared to the same months summarized below: from May 2020; France and Italy Sign Agreement on Taxation in 2019 (only for VAT payments). – Repeal of increases in VAT rates which would of Cross-Border Workers During COVID-19 have come into effect starting from 1 January – for qualifying enterprises which have their tax domicile, legal seat Pandemic 2021. or operational seat in Italy, the deadlines for all tax obligations – Super-reduced VAT rate of 5% regarding (other than tax payments) expiring between 8 March 2020 and 31 The French General Directorate of Public supplies of qualifying sanitary equipment, Finance has published a competent authority No withholding tax applies on fees and commissions derived between 17 March 2020 and May 2020 have been suspended. Suspended obligations must be medical devices and personal protective agreement with Italy on the taxation of 31 May 2020 by self-employed taxpayers which have their tax domicile, legal seat or fulfilled by 30 June 2020; equipment necessary for the containment and cross-border workers who work from home operational seat in Italy and had revenues not exceeding EUR 400,000 in fiscal year 2019, management of the COVID-19 pandemic. during the coronavirus pandemic, which was provided that, in the previous month, they did not incur any employment costs. – for qualifying enterprises which have their tax domicile, legal seat Supplies of these qualifying goods carried out or operational seat in Italy, which, in fiscal year 2019, had revenues signed by France on 16 July 2020 and by Italy until 31 December 2020 are zero-rated. on 23 July 2020. The agreement is made not exceeding EUR 2 million, the deadlines for the payments of self- assessed VAT, social security contributions and employers' under the 1989 tax treaty between the two The customs authorities issued Circular No. withholding taxes expiring between 8 March 2020 and 31 March countries and provides that in cases where a Qualifying taxpayers must pay the amount equal to the suspended withholding taxes in a 12/2020 (in Italian) of 30 May 2020 providing 2020 have been suspended. The suspended payments can be cross-border worker is required to work from single installment by 31 July 2020 or in up to 5 equal monthly installments starting from July specific clarifications on the related VAT fulfilled in a single installment by 31 May 2020 or in up to five equal home due to COVID-19, the days spent 2020 exemption on importation of qualifying goods. monthly installments starting from May 2020; working from home will be treated as working days in the Contracting State in - No interest or penalties apply in the case of underpayment of the amounts due for the – all deadlines related to liquidation, control, assessment, which the worker would normally be advance payment of individual income tax, corporate income tax and regional tax on collection and litigation activities of the tax authorities expiring working, if not for COVID-19. productive activities, provided that the amount paid is equal to at least 80% of the amount between 8 March 2020 and 31 May 2020 have been suspended. due During this period, tax ruling applications can only be submitted The agreement entered into force on 24 July electronically through certified email. 2020 and applies retroactively from 12 March 2020 to 31 August 2020. The – the deadlines for payments due in accordance to orders of competent authorities may jointly agree to Parliament Enacts Amendments payment by collection agents expiring between 8 March 2020 and renew the application of the agreement due 31 May 2020 have been suspended; and to the extension in one or both of the Contracting States of measures to combat – tax litigation deadlines and activities, including scheduled the spread of COVID-19. - qualifying enterprises may benefit, in fiscal year 2020, from a tax credit equal to 50% of hearings, have generally been suspended until 15 April 2020 the expenses incurred for sanitizing their workplace, up to EUR 20,000 European Commission Approves Italian Scheme to Support Companies Affected by - qualifying enterprises may benefit from a tax credit equal to 60% of the expenses incurred the COVID-19 Pandemic in Southern Italy for renting qualifying commercial properties (shops and workshops) in March 2020 Deferral of filing financial records for the financial institutions The European Commission has approved a -qualifying enterprises may benefit, in fiscal year 2020, from a tax credit equal to 30% of €1.5 billion Italian scheme to support Ministry of Finance allowed Italian financial institutions to defer advertising investments on (online) daily and periodical press and local radio and television companies operating in regions of Southern sending their financial records (DAC2/MCAA/IGA) to the Agency of broadcasters. In addition, for fiscal year 2020, the maximum tax credit for news agents has Italy affected by the coronavirus outbreak, Revenue Information for the year 2020. The former deadline was been increased to EUR 4,000 by reducing their labour costs and helping June 30, 2020. The new deadline is September 30, 2020. This them maintain employment in this difficult deferral affects the information exchanged with other EU Member moment. The scheme was approved under Update - Italian Budget Law for 2021 Includes VAT Zero-Rating for COVID-19 Vaccines and States, other non-EU countries, and with the United States. Testing and Further Social Security Contribution Relief the State aid Temporary Framework. The measure provides for a cut of 30% of the Italy Approves Further Decree-Law on Additional Urgent Measures social security contribution due by the Τhe sale of authorized COVID-19 vaccines and the provision of directly related services are in Relation to COVID-19 exempt from VAT with the right to deduct input tax (i.e., zero-rated). The same is also beneficiary for employment contracts with provided for the sale of diagnostic equipment for COVID-19 and the provision of directly place of employment in the regions of On 30 November 2020, Italy's Council of Ministers issued related services. The zero-rating generally applies from 20 December 2020 to 31 December Southern Italy. The measure applies to the a release announcing its approval of a Decree-Law on additional 2022. regions of Southern Italy (namely Abruzzo, Basilicata, Calabria, Campania, Molise,
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs urgent measures in relation to COVID-19. Some of the main Puglia, Sardinia and Sicily), where the In addition to the VAT zero-rating, the Budget Law has also provided extended social measures include : regional GDP is below 90% of the EU average, security contribution relief for companies located in qualifying disadvantaged areas until 31 and the employment rate is below the December 2029. This includes an extension of the 30% reduction in total social security - General extension of the deadline for the second or single national average. The scheme will be open to contributions until 31 December 2025, a 20% reduction for 2026 and 2027, and a 10% advance payment of personal income tax (IREF), corporate companies of all size active in all sectors, reduction for 2028 and 2029. income tax (IRES), and regional production tax (IRAP) from 30 except the financial, agriculture and November to 10 December 2020; domestic work sectors. - Extension to 30 April 2021 for the second or single advance payment for companies with turnover of EUR 50 million or less in 2019 that have experienced a decrease in turnover of at least 33% in the first half of 2020 as compared to the same period in 2019; - Extension to 30 April 2021 for the second or single advance payment, regardless of turnover, for companies subject to restrictive government measures for COVID-19, companies operating in "red" areas, and restaurants operating in "orange" areas; - Suspension of social security contributions, payments of withholding taxes, and VAT otherwise due in December 2020 for
companies with turnover of EUR 50 million or less in 2019 that
have experienced a decrease in turnover of at least 33% in the first half of 2020 as compared to the same period in 2019; - Suspension of social security contributions, payments of withholding taxes, and VAT otherwise due in December 2020, regardless of turnover, for companies subject to restrictive government measures for COVID-19 operating in "red" areas, restaurants operating in "red" and "orange" areas, and for tour operators, travel agencies, and hotels in "red" areas; and - General extension of the deadline for submitting the income tax and IRAP returns from 30 November to 10 December 2020.
Italy to introduce tax relief measures due to the coronavirus pandemic
Among the tax relief provisions in the decree Law no. 41 of 22 March 2021are the following:
- Extension of tax-collection suspension and automatic cancellation of tax bills of up to €5,000 - Extension of the digital services tax deadlines - Extension of the electronic archiving deadline - New wage subsidy measures - A freeze on redundancies until 30 June 2021
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs subject to certain conditions, qualifying companies transferring for consideration, by 31 December 2020, trading and financial receivables, whose related debtors have defaulted, may convert into a tax credit the deferred tax assets relating to the tax losses not yet carried forward at the date of the transfer and the exceeding allowance for corporate equity not yet deducted;
– individuals and non-commercial entities may benefit from a tax credit equal to 30% of donations made in 2020 to the state, regions, public authorities and institutions, foundations and recognized non-profit organizations to help finance the containment and management of the COVID-19 pandemic, up to EUR 30,000. Such donations may instead be fully deducted by qualifying enterprises from their business income;
– qualifying individuals will have the possibility to amend the pre-filled income tax return for tax year 2019, available online from 5 May 2020 and transmit it to the tax authorities by 30 September 2020;
Law Decree to Relaunch the Economy – Direct Tax Measures
Decree No. 34/2020 - urgent measures to relaunch the economy and mitigate the effects of the COVID-19 pandemic for taxpayers. The main direct tax measures introduced are summarized below:
– Delivery deadline for tangible assets qualifying for the temporary enhanced depreciation regime, is extended from 30 June 2020 to 31 December 2020.
– Tax credit for research and development (R&D) activities is increased from 12% to (i) 45% for small enterprises, (ii)35% for medium enterprises and (iii) 25% for large enterprises for investment made in productive facilities located in certain regions in the south of Italy (i.e. Abruzzo, Basilicata, Calabria, Campania, Molise, Puglia, Sardinia and Sicily).
– Currently, qualifying enterprises and non-commercial entities may benefit from a tax credit equal to 60% of the expenses incurred in 2020 for sanitizing their workplaces and instruments, and purchasing required personal protective equipment, up to EUR 60,000. This tax credit may also be transferred to third parties, e.g. financial intermediaries. The tax credit for expenses incurred for sanitizing workplaces is now repealed.
– Qualifying enterprises, associations and foundations operating in places open to the public may benefit from a tax credit equal to 60% of the expenses incurred in 2020 for adapting their workplaces and implementing the new safety standards, up to EUR 80,000. This tax credit may also be transferred to third parties, e.g. financial intermediaries.
– Qualifying enterprises which had revenues not exceeding EUR 5 million in fiscal year 2019 and suffered a reduction of their turnover of at least 50% in March, April and May 2020, may benefit from a tax credit equal to 60% of the expenses incurred for renting qualifying commercial properties in March, April and May 2020 to carry out their business activity (30% in the case of complex services contracts or lease of going concern). No revenue threshold applies for enterprises operating in the hotel sector. This tax credit may also be transferred to third parties, e.g. financial intermediaries, and cannot be added to the tax credit for expenses incurred to rent qualifying commercial properties in March 2020.
– Qualifying enterprises may benefit, in fiscal year 2020, from a tax credit equal to 50% (previously, 30%) of advertising investments on (online) daily and periodical press and local radio and television broadcasters.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs – Qualifying publishing enterprises may benefit, in fiscal year 2020, from a tax credit equal to 8% of the expenses incurred in 2019 for the acquisition of paper used for their printed publications.– Qualifying publishing enterprises may benefit, in fiscal year 2020, from a tax credit equal to 30% of the expenses incurred in 2019 for the acquisition of server, hosting and maintenance services for their digital publications and IT connectivity management.– Taxpayers may benefit from a tax credit equal to 20% of cash capital contributions, up to EUR 2 million, in qualifying non-related Italian companies with revenues between EUR 5 million and EUR 50 million on a group consolidated basis in fiscal year 2019, which suffered a reduction of their turnover of at least 33% in March and April 2020, provided that such contributions are fully paid before 31 December 2020. The benefit may be recaptured under certain conditions. The tax credit is also granted for investments made in domestic permanent establishments of EEA companies. The companies increasing their capital may also benefit from a tax credit equal to 50% of the losses exceeding 10% of the net equity, up to 30% of the relevant capital increase.– The tax credit granted to individuals for expenses aimed at improving energy-efficiency and reducing the seismic risk of immovable properties is increased to 110% of qualifying expenses incurred between 1 July 2020 and 31 December 2021. The enhanced tax credit must be equally spread over a period of 5 years. Alternatively, these deductible expenses may be converted into a discount applicable in the relevant invoice by the supplier, which can then claim it as a tax credit, or into a tax credit to be transferred to third parties, e.g. financial intermediaries.– Qualifying individuals investing, directly or through an undertaking for collective investment, in an innovative start-up company may benefit from a tax credit equal to 50% of the amount invested, up to EUR 100,000. The investment must be held for at least 3 years.-- Qualifying individuals and non-commercial entities may elect to step up the value of participations in unlisted companiesand qualifying land held on 1 July 2020 by paying a 11% substitute tax.
Law Decree to Relaunch the Economy – Administrative Measures
Law Decree No. 34/2020 provides urgent measures to relaunch the economy and mitigate the effects of the COVID-19 pandemic for taxpayers. The main administrative measures introduced are summarized below:– The balance payment for fiscal year 2019 and the first advance payment for fiscal year 2020 of the regional tax on productive activities (imposta regionale sulle attività produttive, IRAP) is abolished for qualifying enterprises with revenues not exceeding EUR 250 million in fiscal year 2019. This exemption does not apply to public administrations, insurance enterprises and financial intermediaries, as defined by article 162-bis of the Income Tax Code. The tax authorities provided specific clarifications with respect to enterprises which do not follow the calendar year in Resolution No. 28 (in Italian) of 29 May 2020.– The payments of value added tax, social security contributions and employers' withholding taxes which have been suspended under Law Decree No. 23 of 8 April 2020, must be fulfilled in a single installment by 16 September 2020 (previously, 30 June 2020) or in up to 4 (previously, 5) equal monthly installments starting from 16 September 2020 (previously, June 2020).– The withholding taxes on fees and commissions derived by qualifying self-employed individuals, whose application has been suspended, must be paid in a single installment by 16 September 2020 (previously, 31 July 2020) or in up to 4 (previously, 5) equal monthly installments starting from 16 September 2020 (previously, July 2020).– For fiscal year 2020, taxpayers may offset their tax credits against their tax liabilities up to EUR 1 million (previously, EUR 700,000).
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs – With respect to supplies carried on from 1 January 2021, tax authorities will make available online to taxable persons established in Italy the following pre-filled forms and documents. – quarterly VAT calculations; and – annual VAT returns. – With respect to electronic invoices transmitted from 1 January 2021 (previously, 1 January 2020) through the tax authorities' SdI system, the tax authorities will automatically verify whether they correctly meet the stamp duty requirements and, where needed, will amend the relevant invoices and request the supplier to pay the required stamp duty. – For retailers with an annual turnover not exceeding EUR 400,000, no penalties apply for failure to electronically store and transmit required data on daily considerations until 1 January 2021, provided that the transmission is completed within the month following the one in which the supply takes place. – The beginning of the tax receipt lottery has been postponed from 1 July 2020 to 1 January 2021. The tax authorities updated the related guide (in Italian) accordingly. – The first installment payment of the municipal tax on immovable property (imposta municipale propria, IMU) is abolished with respect to certain touristic properties and structures, including beach establishments, hostels, bed and breakfasts, campsites and resorts. – Custom duties payments due between 1 May 2020 and 31 July 2020 by qualifying enterprises may be postponed by 60 days, without the application of any interest or penalties. In particular, in the case of serious economic and social difficulties, the following enterprises may request the extension: – enterprises operating in the transport sector; – enterprises which had revenues not exceeding EUR 50 million in fiscal year 2019 and suffered a reduction of their turnover of at least 33% in March and April 2020; and – enterprises which had revenues exceeding EUR 50 million in fiscal year 2019 and suffered a reduction of their turnover of at least 50% in March and April 2020.
Parliament Enacts Amendments to Emergency Tax Measures
The parliament converted into law, with amendments, Law Decree No. 23/2020 enacting further urgent measures to mitigate the effects of the COVID-19 pandemic for taxpayers. The Law entered into force on 7 June 2020 and the following amendments have been introduced: – expenses incurred in 2020 by qualifying small and medium enterprises in order to participate in fairs and commercial events abroad may qualify for the related tax credit introduced by Law Decree No. 34 of 30 April 2019, converted into law, with amendments, by Law No. 58 of 28 June 2019, also where the relevant event has been cancelled because of the COVID-19 pandemic; – qualifying enterprises operating in the hotel sector may elect to step up certain business assets and participations, except immovable properties held by qualifying real estate companies, included in the balance sheet of the accounting period ongoing on 31 December 2019, by paying a 10% substitute tax. The substitute tax may be paid in three equal annual installments, for amounts up to EUR 3 million, or six equal annual installments, for amounts exceeding EUR 3 million; and – input VAT paid on acquisitions of goods subsequently donated to support the containment and management of the COVID-19 pandemic is deductible.
Italy's Council of Ministers Approves Decree-Law Providing Further COVID-19 Tax Relief Measures
Italy's Council of Ministers has announced decisions taken during its meeting on 7 August 2020, including the approval of a Decree-Law that introduces urgent measures to support and relaunch the economy in light of the COVID-19 pandemic. One of the main measures is further relief for the suspension of certain tax and social security contribution payments. This includes that for payments suspended in March, April, and May, 50% may be paid by 16 September 2020 as a single payment or in 4 monthly installments with the first payment made by 16 September, without penalties or interest,
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs and the remaining 50% may be paid in up to 24 monthly installments, also without penalties or interest. Prior relief required the payment of suspended payments in full by 16 September (or in 4 installments). Another important measure is an extension to 30 April 2021 for the second or single payment of IRAP by taxpayers under the synthetic indexes of taxpayer reliability (indici sintetici di affidabilità fiscale, ISA) and taxpayers under the flat-rate scheme that have experienced a decrease in turnover of at least 33% in the first half of 2020 as compared to the same period in 2019.
Lastly, additional social security contribution relief is also provided, including a 30% reduction in pension contributions for companies located in disadvantaged areas from October to December 2020. Certain companies are also granted an exemption from social security contributions for a maximum of four months. Other measures include: o An option is provided for qualifying enterprises to step up the value of certain business assets and participations included in the balance sheet of the period ongoing on 31 December 2019, subject to a substitute tax of 10% (excludes immovable property held by qualifying real estate companies); o An extension to 30 April 2021 is provided for the second or single payment of IRAP by taxpayers under the synthetic indexes of taxpayer reliability (indici sintetici di affidabilità fiscale, ISA) and taxpayers under the flat-rate scheme that have experienced a decrease in turnover of at least 33% in the first half of 2020 as compared to the same period in 2019; o An exemption from the second installment payment of the local (municipal) real estate tax (IMU) for 2020 is provided in relation to certain entertainment and tourism properties, with a further total exemption from IMU for 2021 and 2022 provided for entertainment properties including cinemas, theatres, and concert halls; o A 30% reduction in total social security contributions is provided for companies located in qualifying disadvantaged areas for the period 1 October to 31 December 2020; o A social security contribution exemption is provided for up to six months from the date of hire for newly hired permanent employees by 31 December 2020, subject to a cap of EUR 8,060 per year, which also applies where temporary employment contracts are changed to permanent; o The social security contribution exemption above is also provided for temporary and seasonal employees hired in the tourism sector; o The tax credit for up to 60% of the rental fees paid for renting qualifying commercial properties for business activity is extended to cover fees incurred in July by qualifying enterprises in the tourism sector; and o The tax credit for the renovation and improvement of hotels and other accommodation facilities is set at 65% of expenses incurred for qualifying enterprises for two tax periods subsequent to the period in progress on 31 December 2019 (i.e., 2020 and 2021). The Decree-Law entered into force on 15 August 2020.
European Commission Approves Italian Tax Credit and Loan Schemes to Support SMEs Affected by COVID-19
The European Commission issued a release on 31 July 2020 announcing its approval of Italian tax credit and loan schemes to support SMEs affected by COVID-19. --- State aid: Commission approves €6 billion Italian schemes to support SMEs affected by coronavirus outbreak The European Commission has approved three Italian schemes, with an overall budget of €6 billion, mainly consisting of incentives to the recapitalisation by private investors of small and medium-sized enterprises ('SMEs') affected by the coronavirus outbreak. The three schemes were approved directly under Article 107(3)(b) of the Treaty on the Functioning of the European Union (TFEU) and the State aid Temporary Framework, respectively. The Italian support measures
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Italy notified to the Commission under EU State aid rules, three schemes, with an overall budget of €6 billion, to facilitate the provision of capital and liquidity to companies affected by the coronavirus outbreak. The schemes, which are complementary among each other and designed to incentivise the mobilisation of private investments, consists in the following: o Under the first scheme, a subsidy associated with a tax credit, where private investors injecting capital in the affected companies will be entitled to receive a tax credit of up to 20% of the invested amount. Under the scheme, the aid will therefore be granted both to the investor (that receives the tax advantage) and the investee company (that receives the investment). o The second measure is a tax credit scheme, where the companies themselves would receive a tax credit of up to 30% of the amount of their capital increase. o Finally, under the third scheme, the public support will take the form of subordinated loans. All schemes will be accessible to companies that have faced a severe reduction of revenues in March and April 2020, provided they approve and execute a capital increase. The schemes therefore aim at enhancing the access to external financing of those companies that are most severely affected by the economic impact of the coronavirus outbreak, thus helping them to ensure the continuation of their activities. The Commission found that aid to the investees under the three schemes is in line with the conditions set out in the Temporary Framework. In particular, (i) under the first two schemes, the aid will not exceed €800,000 per company (except in the primary agriculture sector and in the fishery and aquaculture sector, where the limits of €100,000 and €120,000 per company respectively, apply), and (ii) with respect to the third scheme, aid will not exceed 12.5% of the turnover of the beneficiary in 2019 as provided by the Temporary Framework. Under all three schemes, aid to the companies is limited in time and can be granted by the end of 2020. As regards, the aid to the investors under the first scheme, the Commission assessed the measure under EU State aid rules, and in particular Article 107(3)(b) TFEU, which enables the Commission to approve State aid measures implemented by Member States to remedy a serious disturbance to their economy. The Commission found that the aid is in line with the principles set out in the EU Treaty and the general principles set out in the Temporary Framework. It is well targeted to remedy a serious disturbance to the Italian economy. In this respect, the Commission considered that the aid will be merely granted to incentivise and facilitate private investment into investee companies, which have experienced a significant reduction of turnover as a result of a coronavirus crisis. The intermediation of the private investors is therefore indispensable to carrying out the investments. The Commission concluded that the three schemes are necessary, appropriate and proportionate to remedy a serious disturbance in the economy of a Member State, in line with Article 107(3)(b) TFEU and the conditions set out in the Temporary Framework. On this basis, the Commission approved the measures under EU State aid rules.
Italy Publishes Decree-Law for Further Urgent Measures in Relation to COVID-19 Italy has published Decree-Law No. 137 of 28 October 2020, which contains further urgent measures in relation to the COVID-19 emergency. The main tax measures include: 1)Tax credit for up to 60% of the rental fees paid for renting qualifying commercial properties for business activity is extended to cover fees incurred in October, November, and December 2020 for companies operating in impacted sectors specified in the Annex to the Decree-Law 2) The second installment payment of the local (municipal) real estate tax (IMU) for 2020 is canceled
3) Social security contribution payments for November 2020 are suspended for private employers that operate in economic sectors affected by COVID-19 restrictions measures, with contributions to be paid in a single lump sum by 16 March 2021 or in 4 monthly installments with the first payment made by 16 March
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs 4) Exemption from payment of social security contributions for November 2020 is provided for companies in the agricultural, fishing, and aquaculture supply chain, including producers of wine and beer.
Italy Publishes Additional Decree-Law for Further Urgent Measures in Relation to COVID-19
Italy has published Decree-Law No. 149 of 9 November 2020 in the Official Gazette, which expands upon the further urgent measures provided by Decree-Law No. 137 of 28 October 2020 in relation to the COVID-19 emergency. In general, this includes an expanded scope of eligibility for the tax credit for rental fees and the suspension of social security contributions for November 2020. It is also provided that the exemption from paying social security contributions for November 2020 for companies in the agricultural, fishing, and aquaculture supply chain, including producers of wine and beer, will also apply for the month of December 2020.
Italy's Council of Ministers Approves Urgent Support Measures for COVID-19
On 19 March 2021, Italy's Council of Ministers issued a release announcing its approval of a Decree-Law on urgent measures to support business, labor, health, and local services in relation to the COVID-19 emergency.
The main tax-related measure is a non-repayable grant for VAT registered persons carrying out business, art, or professional activities, as well as for non-commercial and third sector entities, without any sectoral limitations or constraints based on economic activities.
Tax payment deferral i. Non-compliance with the legal deadlines for Call on employers to file their wage tax returns in a timely manner: Agreement between Germany and the filing supplementary customs duty returns will the reason is that that the Employee Insurance Agency needs the Netherlands concerning taxation of frontier be excusable data contained in these returns for the application of Emergency workers : ii. Non-compliance with customs transport Employment Fund. If the employer files a return but cannot pay the For purposes of the application of the Possibility for 3-month deferral for the payment of: income tax, income-dependent health deadlines will be regarded as an excusable taxes due, a payment deferral may be requested. Germany - Netherlands Income Tax care contribution (zorgverzekeringswet), corporate income tax, wage tax, VAT, gambling tax deadline expiry Agreement, days spent working from home (kansspelbelasting), excise duties, consumption tax on non-alcoholic drinks iii. Appeals and refund requests can be filed pro due to COVID-19 pandemic measures will be (verbruiksbelasting op non-alcoholische dranken), insurance premium tax forma to avoid that the filing deadlines are deemed to be spent in the state where the (assurantiebelasting), landlord charge (verhuurdersheffing), energy tax and other missed Early payment discount frontier workers would have carried out the environmental taxes and comparable taxes levied at the Caribbean region of the iv. Payment extension for customs and excise work without the current COVID-19 Netherlands (i.e. the BES Islands). duties is granted until the fifteenth day following pandemic measures. Netherlands the month in which the COVID-19 end v. Extension for the payment of excise duties and Discount for early payment of tax due if certain conditions are met. This rule will not be applicable to working VAT may be requested when The amount of tax due is reduced by a percentage equal to the days which would have been spent in the The 3-month period starts from the date of filing the request and with a single request a a supplementary assessment is imposed prevailing tax collection interest rate. This discount is stated on the home office anyway or in third countries, in deferral can be obtained for all tax debts. The deferral also applies to tax debts originating vi. No penalties will be imposed when companies assessment received by the taxpayer. Due to the fact that this last particular if working from home is part of the from a period before the COVID-19 pandemic. It is also possible to obtain a deferral for a are unable to meet their customs obligations on rate is currently 0.01%, the discount may be negligible under the respective contractual labour agreements. longer period but in that case an expert must certify that the company is in financial time due to the COVID-19 crisis. letter of the law. Iin these cases, the taxpayer may object to the difficulties if the tax debt exceeds EUR 20,000. assessment after which a "normal" discount will be applied. Frontier workers intending to make use of VAT – provision of personnel, aid, lower VAT rate the mutual agreement are obliged to collect for online fitness relevant evidence, i.e. a statement by the employer about the days spent in home
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs For the period 16 March to 16 June 2020: office due to the COVID-19 pandemic. The i. supply of personnel to care for and nurse fiction provided for by the mutual agreement Tax free compensation for businesses persons in qualifying institutions (e.g. nursing Administrative obligations will only be effective to the extent that the homes, hospitals, psychiatric institutions, relevant employment remuneration institutions providing care for the elderly) is concerning the days spent in a home office exempt from VAT under conditions: a. the are effectively taxed by the work state where Businesses expected to incur a loss of revenue of at least EUR 4,000 in the period 16 March invoice states that the exemption is applied, b. Tax Authority will be more lenient in cases where, an employer or the work would have been carried out 2020 to 15 June 2020, are entitled to a one-off payment of EUR 4,000. Such a payment would no profit be made on the provision on such employee does not, on reasonable grounds, fulfill administrative without the current COVID-19 pandemic normally constitute taxable income. However, the Tax Plan 2021, to be presented in personnel (a 5% administrative mark-up on the obligations (in a timely manner) insofar as these are rectified as measures. September 2020, will provide that the compensation payment will not be subject to tax. gross wage of the work is, however, allowed); soon as possible. ii. Supply of free medical equipment to the The mutual agreement will be applicable to qualifying institutions mentioned above will working days during the period between 11 have no VAT consequences for the entrepreneur March 2020 and 30 April 2020 and is supplying these goods. Such supplies may, under automatically extended until the end of the The new rules have retroactive effect to 12 March 2020. The provisions relating to the lower Mergers, divisions and "silent" conversions and returns the normal rules, have VAT (input deduction) following calendar month, provided that the collection interest and payment discount, however, have retroactive effect to 23 March consequences. agreement is not terminated by one of the 2020. The energy tax, surcharge sustainable energy and climate transition and VAT relief competent authorities at least 1 week before provisions have retroactive effect to 1 April 2020. Gyms, forcibly closed due to the Covid-19 the end of a given following calendar month. pandemic, are currently offering online classes to In order for a merger, division, a "silent conversion" or "silent
their members instead. return" to have retroactive effect to the start of the financial year, Agreement between Belgium and the Normally, similar physical classes provided by certain conditions and legal acts must be fulfilled or completed Netherlands concerning taxation of frontier Taxpayers entitled to certain German social security payments – exemption granted gyms are subject to the lower rate of VAT (9%) before a period of 12 months (legal mergers and divisions) or 15 workers: due to the fact that these are coupled to the months (business mergers, silent conversions and returns).If the 12 On 30 April 2020, the Netherlands and provision of "sports accommodation". As the or 15-month deadline ends in the period 1 March 2020 to 31 May Belgium signed a mutual agreement based accommodation condition cannot be met (and 2020, it may mean that these conditions and legal acts cannot be on the Belgium - Netherlands Income and Dutch tax residents working in Germany may be entitled to certain Covid-19 pandemic- the standard VAT rate would otherwise apply), fulfilled. For these cases, it is given the possibility of a 3-month Capital Tax Treaty (2001) (as amended related social security payments such as 'Kurzarbeitergeld', 'Insolvenzgeld' and lower VAT rate applies to such online classes for extension. through 2009) for frontier workers who are 'Arbeitslosengeld'. Under article 17 of the Germany Netherlands Income Tax Treaty (2012), the period 16 March 2020 until the forced closure currently e-working from home due to the the taxing rights over such payments (together with other similar payments), insofar as they of gyms is lifted. COVID-19 pandemic. The mutual agreement amount to less than EUR 15,000 in a calendar year, is allocated to the Netherlands. stipulates that, for purposes of the Payments such as 'Kurzarbeitergeld', 'Insolvenzgeld' and 'Arbeitslosengeld' received by application of article 15 of the Belgium - Dutch tax residents in the period 11 March 2020 to 31 December 2020 are exempt from Netherlands Income and Capital Tax Treaty taxation in the Netherlands. (2001) (as amended through 2009), days spent working from home due to COVID-19 pandemic measures will be deemed to be spent in the state where the frontier workers Wage tax and travel allowances would have carried out the work without the current COVID-19 pandemic measures. This rule will not be applicable to working days which would have been spent in the home Travel allowances of a "fixed and equal" (vast en regelmatig) nature, may be provided tax office anyway or in third countries, in free if certain conditions are met. Due to the fact that in many cases, employees may not particular if working from home is part of the be commuting in a fixed and equal manner, such allowances may technically be considered respective contractual labour agreements. as taxable income. As this is an undesirable outcome, such travel allowances will continue to remain tax free during the period the COVID-19 pandemic crisis. The fiction provided for by the mutual agreement will only be effective to the extent that the relevant employment remuneration concerning the days spent in a home office are effectively taxed by the work state where the work would have been carried out without the current COVID-19 pandemic measures. Emergency Tax Measures – Government Announces Six New MeasuresSix new measures Government Announces Temporary 0% VAT Rate Government Extends Several Emergency Tax Measures Frontier workers making use of the mutual mitigating the economic effects of the COVID-19 pandemic:– deemed income rules on Face MasksFace masks will be subject Extension of tax measures that aim to mitigate the economic agreement thus consent to taxation of the (gebruikelijkloonregeling);– number-of-hours criterion (urencriterium);– work-related temporarily to a 0% rate of VAT. The rate is effects of the COVID-19 pandemic. The following measures are respective employment remuneration in the expenses scheme (werkkostenregeling);– early loss set-off for expected 2020 losses;– normally 21%.To financially compensate users, extended until 1 September 2020:– the emergency payment work state. Such employment remuneration delayed implementation of the rules on excessive borrowing from one's own company (Wet the government has decided that the domestic deferral regime– the VAT exemption for supply of personnel to care is deemed to have beeneffectively taxed if excessief lenen bij eigenvennootschap); and– temporary suspension of mortgage payments. supply of all face masks (medical and non- for and nurse persons in qualifying institutions (e.g. nursing homes, the amount is being taken into account when The deemed income rules medical) is temporarily – from 25 May to 1 hospitals, psychiatric institutions, institutions providing care for the determining the taxable basis. Frontier
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs The deemed income rules exist to counteract artificial structures under which no income is September 2020 – subject to a 0% rate of VAT. elderly)– the supply of free medical equipment to the qualifying workers may also decide not to use the attributed to directors who are also major shareholders in their own company. These The 0% rate of VAT means that suppliers institutions mentioned in the previous bullet– the temporary mutual agreement in which case the persons are deemed to receive a salary which is at least set at the higher of (i) 75% of the maintain their right to deduct input VAT. suspension of mortgage payments and– the number-of-hours employment income will be taxed in salary from the "most similar employment"; (ii) the highest wages of other employees who criterion The reduction of the interest (belastingrente) and residence state to the extent that the work is are employed by the company, or of entities from which the employer may enjoy a benefit collection interest (invorderingsrente) to 0.01% is extended until 1 actually carried out there. The agreement under the application of the income rules so that directors/major shareholders may October 2020. The press release announcing the extension, as well also contains provisions on temporary temporarily reduce the income they are deemed to receive in proportion to the revenue as the accompanying letter to the lower house of the parliament unemployment payments due to COVID- loss incurred due to the COVID-19 pandemic. The press release states that further details of are available on the Ministry of Finance website (in Dutch).Note: 19.The mutual agreement will be applicable this change will be announced shortly. For deferral requests that are longer than 3 months, a new, to working days during the period between The number-of-hours criterion additional condition was announced, namely that the entrepreneur 11 March 2020 and 31 May 2020. Thereafter, Several fixed deductions available to entrepreneurs are dependent on whether the must declare that no dividends or bonuses will be paid out, nor any both countries may agree to monthly entrepreneur fulfils the "number-of-hours" criterion (urencriterium). In brief, this means share buy-backs will take place. Further details of this new continue the agreement, provided that the that the entrepreneur must (i) spend at least 1,225 hours undertaking business activities in condition will be released soon. agreement is not terminated by one of the a year; and (ii) must spend more time on business activities than any other activities (e.g. competent authorities at least 1 week before employment).Due to the COVID-19 pandemic, however, entrepreneurs may not be able to the end of a given followingcalendar month. meet this criterion. To ensure that they retain access to the deductions, for the period 1 Further details will be reported in due March 2020 to 31 May 2020, the Tax Administration will assume that entrepreneurs will Netherlands allows more time to pay “frozen” tax debts course. In addition to the information have spent 24 hours per week undertaking business activities. Entrepreneurs strongly already reported, the agreement contains affected by the season, for example in the catering/restaurant/festival industry, will, for the The Dutch Government has announced that businesses may the following measures:– days of paid leave period mentioned above, be deemed to have spent the same number of hours undertaking further delay payment of certain tax dues that were “frozen” in and days during which the salary is paid by business activities as they did in the same period last year. response to the COVID-19 pandemic. Under certain scheme put in the Dutch government as a support measure Work-related expenses scheme place earlier this year, businesses were able to request an are considered working days in the state of Under the work-related expenses scheme, an employer may grant tax-free general automatic three-month deferral of numerous taxes (income tax, employment for the calculation of the days compensation of 1.2% of the total salary for tax purposes of all employees. Any excess is the health insurance levy, corporate tax, payroll taxes, and VAT), worked in the employment state/total taxable at a rate of 80%. From 1 January 2020, for the first EUR 400,000 of total salary for providing a request was made by October 1, 2020. Originally these number of working days ratio. This rule is tax purposes, the percentage is increased from 1.2% to 1.7%. In order to create more amounts were to be repaid starting January 1, 2021, over a 24- based on paragraphs 2.6 to 2.16 of the OECD financial room for employers, for 2020, the percentage for the first EUR 400,000 of total month period. The Government has now announced that Model Commentary 2017; and– article 18(6) salary for tax purposes is increased from 1.7% to 3%. businesses will be allowed 36 months to pay the amounts and will of the treaty applies to temporary Belgian be required to do so only as from July 1, 2021. unemployment payments to Dutch frontier workers if the employment contract is not Dutch Government Extends Deadline to Apply for Tax terminated. This means that these payments Payment Deferral Relief are taxable in Belgium.
The Dutch government has announced an extension of the Mutual Agreement Between Belgium and deadline to apply for the tax payment deferral relief The Netherlands on Taxation of Frontier provided in response to the ongoing effects of the COVID- Workers prolonged 19 pandemic. Previously, taxpayers could apply up to 1 On 23 June 2020, the Belgian Ministry of October 2020 for the deferral of payment in up to 36 Finance announced that the mutual monthly installments with the initial payment in July 2021. agreement of 30 April on the taxation of The ability to apply for the payment relief reopened on 4 frontier workers under the Belgium - November 2020 and will now be available until 1 January Netherlands Income and Capital Tax Treaty 2021.If taxpayers meet the conditions, they will be eligible (2001) (as amended through 2009) will be for the 36-month repayment of their accrued tax debt prolonged until 31 August 2020.
Netherlands COVID-19 VAT 3-month payment delay Belgium and the Netherlands Extend Agreement on Taxation of Cross-Border The 3-month VAT deferral has been extended again and this time Workers During COVID-19 Pandemic until 1 July 2021. This means that repayment of total tax obligations should recommence on 1 October 2021. The extension is only on On 24 August 2020, Belgium and the demand. Netherlands agreed to extend their agreement on the taxation of cross-border (frontier) workers during the COVID-19 pandemic, which essentially provides that in cases where a cross-border worker is required to work from home due to COVID- 19, the days spent working from home will be treated as working days in the Contracting State in which the worker would normally be working, if not for COVID-19. Previously
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs extended to 31 August 2020, the agreement is now extended to 31 December 2020.
Early loss set-off for expected 2020 losses Taxpayers subject to corporate income tax can set off any loss against the profits for the preceding year and for the next 6 years. For entrepreneurs subject to income tax, the carry- back is 3 years, and the carry-forward 9 years. As loss set-off improves the taxpayer's liquidity, the government has announced that taxpayers may form a reserve ("corona reserve") up to the amount of the expected loss for 2020, and set this off against any 2019 taxable income. The amount of the reserve may not exceed the total taxable income for 2019. Taxpayers can receive a refund of any taxes paid (and payable) by requesting a new preliminary corporate income tax assessment. A legislative amendment will be drafted to formalize this measure. As such legislation will not be ready in the (very) short term, the State Secretary will soon publish a decree clarifying what companies must do in order to avail themselves of the "corona reserve" (and under which conditions).
Excessive borrowing by substantial shareholders – postponed Under the rules to combat excessive borrowing by substantial shareholders, which were scheduled to take effect from 1 January 2022, substantial shareholders borrowing more that EUR 500,000 from their "own" company will be taxed at the rate applicable to Box 2 income (i.e. income from substantial shareholdings, currently 26.25%) on the amount exceeding that threshold. The Letter notes that shareholders planning to be below the EUR 500,000 threshold by the time the rules take effect may now run into problems achieving this due to the COVID-19 pandemic. The government has therefore announced that it will push back the effective date of the abovementioned rules to 1 January 2023 to give such shareholders more time. The legislative proposal to implement the rules to combat excessive borrowing by substantial shareholders will be sent to the parliament soon.
Temporary suspension of mortgage payments Mortgage lenders have indicated that they wish to give their clients the possibility to suspend their mortgage payments for up to 6 months if they are unable to meet their mortgage payment obligations (interest and principal) during the COVID-19 pandemic. A special situation applies for mortgages signed on or after 1 January 2013: in order to keep the full deduction of the interest on a mortgage loan relating to the owner-occupied dwelling of a taxpayer, the mortgage must be fully repaid (in monthly/annual installments) within a 30-year period, and any payment pause in 2020 must be "caught up" in 2021.The forthcoming decree to formalize the payment suspension will contain two approvals: – as soon as the suspension expires, a new repayment plan must be established that spreads the postponed payment out over the remaining duration of the mortgage loan; and – the remaining mortgage loan may also be split into two parts: one part without the suspended payments, and a second part consisting of the suspended payments. The second part may be repaid over the remaining duration of the mortgage loan, or in a shorter period if the client so wishes. If the conditions set out in the decree are met, the interest will continue to be deductible. The decree will apply for taxpayers who, between 12 March and 30 June 2020, have notified (or will notify) their mortgage lender that they wish such a payment suspension. Also, to qualify, the pause must commence by 1 July 2020. Lower House of Parliament Adopts COVID-19 Emergency Law Including Reduction of Tax Collection and Penalty Interest
A COVID-19 emergency law of 12 May 2020 contains the following reductions of the tax collection and penalty interest:
– the tax collection interest (invorderingsrente) is reduced from 4% to 0.01% from 23 March 2020 until 1 October 2020; and
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs – the penalty interest for late filing or late payment (belastingrente) is reduced from 8% to 0.01% for companies and from 4% to 0.01% for individuals. The reduction applies for all taxes from 1 June 2020 to 1 October 2020, except for the personal income tax where the reduction applies from 1 July 2020 until 1 October 2020.
The bill was adopted by the Lower House of Parliament on 26 May 2020.
Government Further Extends Emergency Tax Measures
The government has announced that a number of emergency tax measures, recently extended until 1 September 2020, will be further extended to 1 October 2020. These measures, which aim to mitigate the economic effects of the COVID-19 pandemic, are the following:
– the emergency payment deferral regime
– the VAT exemption for supply of personnel to care for and nurse persons in qualifying institutions (e.g. nursing homes, hospitals, psychiatric institutions, institutions providing care for the elderly)
– the supply of free medical equipment to the qualifying institutions mentioned in the previous bullet
– the temporary suspension of mortgage payments and
– the number-of-hours criterion.
The reduction of the interest (belastingrente) and collection interest (invorderingsrente) to 0.01% until 1 October 2020 was passed by the Lower House of Parliament on 26 May 2020.The letter of 28 May 2020 announcing the extension is available on the Ministry of Finance website (in Dutch). The extension was also announced on the Tax Authority website (also in Dutch).Note: For deferral requests that are longer than 3 months an additional condition was announced, namely that the entrepreneur must declare that no dividends or bonuses will be paid out, nor will any share buy-backs take place.
Government Expands and Extends Measures in Updated Decree
The Decree on Emergency Measures (Besluit noodmaatregelen coronacrisis), which contains measures to mitigate the economic effects of the COVID-19 pandemic, was updated to reflect the following (main) changes:
– expansion of the fixed allowances that may be granted tax free;
– additional condition for payment deferrals exceeding 3 months;
– tax-free compensation for fixed costs
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Fixed allowances Under the previous version of the decree, travel allowances of a "fixed and regular" (vast en regelmatig) nature may be provided tax free if certain conditions are met. The Decree expands the types of fixed allowances (vaste vergoedingen) that an employee may continue to receive tax free (e.g. lunch and phone allowances). In order to qualify for tax-free treatment, the employee must have had an irrevocable right to that allowance on 12 March 2020. Important to note is that the compensation for extraterritorial costs on the basis of the 30% ruling is excluded from this treatment.
Payment deferral longer than 3 months – bonuses, dividends and share buybacks In order to obtain the payment deferral, the taxpayer must declare that no bonuses will be paid to the board of directors (Raad van Bestuur) or senior management (directie), that no dividends will be distributed nor any share buybacks take place in the period running from the deferral request to the date of the meeting in which the annual financial statements are adopted (vastgesteld). Bonuses also include profit distributions and other similar payments. Excluded from the scope are, however, distributions of bonuses, dividends and share buybacks that take place after the deferral request, but the decision underlying them was taken in 2019.
Tax-free compensation for fixed costs The government announced a measure under which, for the period 1 June to 1 October 2020, small and medium-sized enterprises (SMEs) (with a maximum of 250 employees) may receive a tax-free compensation for fixed costs up to an amount of EUR 50,000. The exact amount of the compensation depends on the amount of (at least 30% of) revenue lost. Fixed costs are defined as recurring costs, such as rent, insurance, lease payments and subscriptions (but not wage costs). More details on the scheme, such as the calculation of the compensation, are expected in the next few weeks. Access to this compensation is open to SMEs operating in specific sectors, as contained on a central list. The Decree states that the Tax Plan 2021, to be presented in September 2020, will provide that this compensation payment – which would normally be subject to (corporate) income tax – will not be subject to tax.
Dutch Government Extending COVID-19 Tax Support
Tax measures Businesses can apply until 1 October 2020 to defer tax. Deferral will end by 1 January 2021 at the latest. To ease the burden on businesses, they will be given ample time – 2 years – to pay off the tax debt they have built up. The temporary reduction in the interest on overdue tax to almost zero will be extended to 31 December 2021 to minimise extra costs faced by businesses.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Up to 100% relief for the entire period of 2020-21 (applicable as from 31 March 2020) for Exemption from customs duty and import VAT Statutory Residence Test the following sectors:i. Retailii. Hospitalityiii. Leisure andiv. Aviation until 31 July 2020 for vital medical equipment Guidance to the proposed temporary Update on Government's Income Assistance Schemes imported from outside the EU changes to the Statutory Residence Test Coronavirus Job Retention Scheme: The scheme is extended to 31 October 2020. Furloughed E-Publications (SRT). Any period(s) between 1 March 2020 workers across the United Kingdom continue to receive 80% of their current salary up to a On 30 April 2020, HM Treasury announced that and 1 June 2020 spent in the United Kingdom cap of GBP 2,500; andSelf-Employment Income Support Scheme: Affective 8 a.m. on 13 May supplies of e-publications are zero-rated.This by highly skilled individuals working on 2020, self-employed individuals or members of partnerships whose business has been measure is effective 1 May 2020.It comprises COVID-19 related activities will not count for adversely affected by the COVID-19 pandemic are able to apply for a grant worth 80% of part of the government's COVID-19 pandemic purposes of the SRT. The qualifying criteria their average monthly trading profits. package and it fast-tracks the proposal will be tightly targeted to minimize the risk The Social Security Contributions (Disregarded Payments) (Coronavirus) Regulations 2020 announced at Budget 2020. of abuse The Social Security Contributions (Disregarded Payments) (Coronavirus) Regulations 2020 Supplies of Personal Protective Equipment Working Tax Credit (S.I. 2020/525) were issued on 20 May 2020 and will come into force on 11 June 2020. These Personal protective equipment are zero-rated On 4 May 2020, HMRC confirmed that those Regulations ensure that amounts reimbursed to an employee in respect of expenses that from 1 May 2020 to 31 July 2020. who work reduced hours due to the COVID- the employee has incurred in obtaining office equipment to enable home working The Value Added Tax (Section 55A) (Specified 19 pandemic or are furloughed by their necessitated by the COVID-19 pandemic are disregarded when computing the amount of Services and Excepted Supplies)Order 2020 made employer can continue to claim Working Tax earnings for the purposes of calculating that employee's liability to pay primary Class 1 The Value Added Tax (Section 55A) (Specified Credit and be treated as though they are contributions. This measure comprises part of the government's COVID-19 pandemic Services and Excepted Supplies) Order 2020 was working their normal hours provided they package. made on 8 June 2020. The Order will come into are still employed or self-employed The Tax Credits (Coronavirus, Miscellaneous Amendments) Regulations 2020The Tax Credits force on 20 July 2020.The Order amends the Temporary Reduction of Charge on Early (Coronavirus, Miscellaneous Amendments) Regulations 2020 (S.I. 2020/534) were issued on Value Added Tax (Section 55A) (Specified Withdrawals of LISAs 21 May 2020 and came into force on 23 May 2020. The Regulations amend a number of Services and Excepted Supplies) Order 2019 and To assist savers who wish to make an early statutory instruments in relation to tax credits. These adjustments are necessitated by the comprises part of the government's COVID-19 withdrawal from their Lifetime Investment establishment of the Coronavirus Job Retention Scheme. This measure comprises part of pandemic package. The commencement day of Savings Accounts (LISAs) as a result of the the government's COVID-19 pandemic package. the provisions contained in the original 2019 COVID-19 pandemic, the charge on The Income Tax (Exemption for Coronavirus Related Home Office Expenses) Regulations Order of 1 October 2020 is substituted with 1 unauthorized withdrawals will be 2020 March 2021. temporarily reduced. The Treasury will The Income Tax (Exemption for Coronavirus Related Home Office Expenses) Regulations legislate for a temporary reduction in the 2020 (S.I. 2020/524) were issued on 20 May 2020 and will come into force on 11 June HM Treasury Announces reductions to VAT on LISA withdrawal charge to 20% between 6 United Kingdom 2020.The Regulations provide for an exemption from income tax for amounts reimbursed sectors affected by the COVID-19 pandemic March 2020 and 5 April 2021 (inclusive). The to an employee for expenses incurred in obtaining office equipment to enable home net effect is that account holders will only working necessitated by the COVID-19 pandemic. The Regulations will take effect for HM Treasury announced a series of stimulus have to reimburse any government bonus reimbursements made on or after the date the Regulations come into force up until the end measures meant to support jobs, create jobs, and they have received, but will not pay the of the tax year 2020-21.This measure comprises part of the government's COVID-19 protect jobs. This package is part of the second additional withdrawal charge of 5%.Because pandemic package. phase of the three-phase plan to secure the UK's this temporary measure has retroactive economic recovery from the coronavirus. To effect from 6 March 2020, anyone who has protect jobs, the government will reduce the up made an early withdrawal since that date to 50% of the cost of sit-down meals in and paid a 25% charge will have the restaurants--the so-called "Eat Out to Help Out" difference refunded. discount. The government will also cut the value- Mitigation of Pension Abatement added taxes (VATs) for tourism and hospitality- Tax rules that would otherwise reduce related activities from 20% to 5%. The pension income, for recently retired government will also introduce a temporary individuals aged between 50 and 55 who are increase to the Nil Rate Band of Residential SDLT returning to take on roles to support the (Stamp Duty) from a level of GBP 125 thousand government's response to the COVID-19 to GBP 500 thousand until March 31, 2021--a pandemic, are temporarily suspended. move that is meant to drive growth and support Without this measure, there would be a risk jobs across the housebuilding and property that these individuals would encounter a sectors. reduction in their pension income. Business Support Grants – Consultation Launched On 29 May 2020, HMRC launched a consultation concerning the draft legislation to introduce rules on taxation of coronavirus (COVID-19) business support grants. The consultation runs to 12 June 2020.This measure comprises part of the government's COVID-19 pandemic package.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs The Rates(Emergency Relief) Regulations 2020 and The Rates (Small Business Hereditament UK HMRC Publishes Competent Authority Relief) Regulations made UK Winter Economy Plan Including New Jobs Agreement with Austria on Tax Residence Support Scheme and Extension of VAT Cut for Certificates The Rates (Emergency Relief) Regulations 2020 were made on 1 June 2020. The Regulations the Hospitality and Tourism Sectors extend emergency rate relief in respect of specified hereditaments for the financial year UK HMRC has published a competent ending before 1 April 2021. They will come into force on 23 June 2020.The Rates (Small Additional government support providing authority agreement signed with Austria Business Hereditament Relief) Regulations 2020 were also made on 1 June 2020 and will certainty to businesses and workers impacted regarding the issuance of tax residency also come into force on 23 June 2020. The Regulations extend the small business rate relief by the COVID-19 pandemic. The package certificates under the 1969 Austria-UK tax scheme to 31 March 2021. includes: treaty, which are needed to claim treaty benefits. The agreement was signed by the The Coronavirus Life Assurance Scheme (English and Welsh Schemes) (Excluded Benefits for - New Jobs Support Scheme; UK on 3 August 2020 and by Austria on 4 Tax Purposes) Regulations 2020 made - Extension of the Self Employment Income August 2020. Support Scheme; and Due to the COVID-19 Pandemic, HMRC The Coronavirus Life Assurance Scheme (English and Welsh Schemes) (Excluded Benefits for - 15% VAT cut for the hospitality and tourism officers certifying claims are not physically Tax Purposes) Regulations 2020 were made on 19 June 2020 and will come into force on 13 sectors. present in HMRC offices and are unable to July 2020.If a lump-sum payment of GBP 60,000 is paid pursuant to: physically stamp and sign claim forms as – the National Health Service and Social Care Coronavirus Life Assurance (England) Scheme More particularly, as part of the package, the normally required. Therefore, to ensure that 2020; or government announced it will extend the benefits remain available in a timely fashion, – the National Health Service and Social Care Coronavirus Life Assurance (Wales) Scheme temporary 15% VAT cut for the tourism and the agreement provides that HMRC will 2020, hospitality sectors to the end of March next provide a Certificate of Residence that has The Regulations provide that the lump sum will be exempted from the charge to tax on year. This will give businesses in the sector - been signed using the electronic signature of employer-financed benefits. which has been severely impacted by the the issuing officer and such certificates will pandemic - the confidence to maintain staff as be accepted by Austria for the purpose of UK HMRC Publishes Policy Paper on Continued Support in Light of COVID-19 they adapt to a new trading environment. In claiming benefits. addition, up to half a million business who The agreement is effective from 4 August UK HMRC has published a policy paper, COVID-19: how HMRC will continue to support deferred their VAT bills will be given more 2020 to 30 June 2021, unless terminated by customers and the economy. The paper provides an overview of support schemes and policy breathing space through the New Payment one of the competent authorities before that changes, Reforming the tax system, and Principles for the next steps, as well as guidance Scheme, which gives them the option to pay date. Tax collection and benefit payments, Compliance checks, and debt. back in smaller instalments. Rather than paying a lump sum in full at the end March next year, UK Considering Tax Increases to Cover Costs of COVID-19 they will be able to make 11 smaller interest- free payments during the 2021-22 financial year. Chancellor of the Exchequer Rishi Sunak is reportedly considering an increase in the corporation tax rate from 19% to 24% as part of the upcoming budget in order to cover costs UK COVID new HMRC deferred VAT repayment resulting from the COVID-19 pandemic, with calls in parliament for an even higher rate of scheme 26%. The Chancellor is also considering changes that would increase taxation on individuals, The UK’s HMRC has issued a new scheme for including increased taxation of capital gains and dividend income, cuts in pension tax relief, repaying VAT that taxpayers deferred between and increases in fuel duties. 30 March and 20 June 2020. This VAT was scheduled to fall due after 31 March 2021, and HMRC has now launched a new 2021 repayment scheme. The 2020 deferral measure was offered to support businesses during the first wave of the coronavirus pandemic. This was provided to 2 million taxpayers who rolled over around £34billion in VAT.
There are now two repayment options for taxpayers who deferred their VAT in 2020. Failure to choose either will result in interest and late penalties: Pay the VAT by 31 March 2021; or Join a new deferral scheme open between 23 February and 21 June 2021. The new scheme lets taxpayers: 1. pay the deferred VAT in equal instalments, interest free
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs 2. choose the number of instalments, from 2 to 11 (depending on when the taxpayer joins)
Oil and Gas Industry Further reduction to the reduced VAT rate to 6%, applicable from 1 April 2020 to 31 October 2020 Special aid package for the oil and gas industry and the supply industry amending the petroleum revenue taxation The measures, which will be further elaborated in a bill presented to the parliament on 12 Norway Extends Reduced VAT Rate for COVID-19 May 2020, include: – oil and gas companies may deduct investments, including uplift, from the special tax base The Norwegian government has reportedly used for petroleum revenue tax purposes immediately; approved an extension of the reduced VAT rate Norway – the uplift is reduced from 5.2% for each of the first 4 years to 10% for the first year only; provided in response to COVID-19 for passenger – the measures apply to investment costs incurred in 2020 and 2021 and to investments transport, overnight accommodation, public included in plans for new developments that are submitted by the end of 2021 and broadcasting, and access to cinemas, museums, approved by the end of 2022, and until production starts. Investment costs incurred after amusement parks, and sporting events. 2024 are excluded from the scope of the measure; Previously scheduled to expire 31 October 2020, – oil and gas companies may receive a refund for the tax value of losses in the income years the reduction in the rate for such supplies from 2020 and 2021. 12% to 6% is now extended to 1 July 2021.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Ministry of Finance Announces Additional Measures i. Waiver of personal and income tax advance payments due in June 2020 The Ministry of Finance recently announced further measures in connection with the With effect from 12 March 2020 until the end of ii. Deferral of payment deadlines for real estate acquisition tax COVID-19 pandemic. The measures, which were published in the Financial Newsletter on 10 the state of emergency, VAT waiver applies to returns due from 31 March to 31 July 2020 (provided the returns June 2020, include the following: gratuitous supplies of goods and services to are filed by 31 August 2020). – the general deadline for filing the 2019 corporate and individual income tax return is 1 health service providers, the Integrated Rescue iii. For corporate and Individual income tax purposes, taxpayers are April 2020 (1 July 2020 for taxpayers subject to a financial audit or whose tax return is filed System, the Army of the Czech Republic, as well allowed to carry back their 2020 tax losses to the 2018 and 2019 tax by a registered tax adviser). However, no penalty and late payment interest will apply, as as social services facilities. The waiver applies to years. long as the tax return is filed by 18 August 2020, i.e. within 3 months of the end of the state supplies to these institutions, as well as their iv. Application of the Electronic Reporting of Revenues is of emergency. The measure does not apply to taxpayers registered with the Specialized Tax employees, clients or volunteers working for suspended for the duration of the state of emergency and the Office (i.e. large taxpayers); them. following 3 months – no penalty and late payment interest will apply for the late filing of real estate acquisition tax returns, as long as the returns are filed by 31 December 2020 (initially, 31 August 2020). To reduce the administrative burden, it is Electronic Reporting of Revenues Suspended The extension of the initial deadline should be considered in the context of plans to abolish assumed that the gratuitous supplies made to the real estate transfer tax; these institutions during the state of emergency Electronic reporting of revenues suspend until 1 January 2021. – a waiver of various administrative fees for applications filed in the context of the COVID- are part of measures to stop the spread of COVID- 19 pandemic. 19. Extension of Reporting Deadlines - DAC 6
On 16 June 2020, a tax bill to counter the negative economic implications of the COVID-19 Ministry of Finance Announces Additional In the context of the COVID-19 pandemic, the General Tax pandemic was approved by the parliament. The bill would apply as from the day following Measures Directorate announced on its website that it anticipated delays its publication. The changes include: with the implementation of Council Directive (EU) 2018/822 of 25 – loss carry back. Corporate and individual income taxpayers recording a tax loss in 2020 The Ministry of Finance recently announced May 2018 amending Directive 2011/16/EU regarding mandatory would be able to claim a carryback of the loss and reduce their 2019 and 2018 tax base. The further measures in connection with the COVID- automatic exchange of information in the field of taxation in loss carry-back provision applies in respect of tax years ending on 30 June 2020 or later; and 19 pandemic. The measures, which were relation to reportable cross-border arrangements. It is likely that – road tax. The road tax on vehicles with a maximum permitted weight exceeding 3.5 tonnes published in the Financial Newsletter on 10 June the Bill implementing DAC6 into Czech law will enter into force in will be reduced by 25%. The reduction applies retrospectively from 1 January 2020. 2020, include an extension until 31 July 2020 of September 2020, and will not apply as of 1 July 2020, as envisaged. the waiver of VAT in respect of certain gratuitous Under a governmental decree to be issued, the reporting deadlines Employer Social Security Contributions for Employers with 50 Employees or Less – To Be supplies in connection with the COVID-19 under DAC6 would be extended, as follows: Waived pandemic. In particular, the VAT waiver applies – cross-border arrangements, where the first step was Czech Republic to gratuitous supplies of goods and services to implemented in the period from 25 June 2018 to 30 June 2020 On 16 June 2020, the parliament approved an amendment to the Social Security Insurance health service providers, the Integrated Rescue (inclusive): no later than by 28 February 2021; Law (the Bill) which, in response to the COVID-19 crisis, would temporarily waive social System, the Army of the Czech Republic, as well – cross-border arrangements which were made available or ready security contributions for qualifying employers. Under the Bill, employers with 50 as social services facilities. The waiver applies to for implementation, or where the first step was implemented, in employees or less would not be required to make employer social security contributions supplies to these institutions, as well as their the period from 1 July 2020 to 31 December 2020 (inclusive): no (24.8% of the gross remuneration paid) in the months of June, July and August 2020. The employees, clients or volunteers working for later than by 30 January 2021; and waiver applies subject to the following conditions: them. To reduce the administrative burden, it is – cross-border arrangements which were made available or ready – the number of employees in each of the months in question was not reduced by more assumed that the gratuitous supplies made to for implementation, or where the first step was implemented, as of than 10% compared to March 2020; and these institutions during the state of emergency 1 January 2021: no later than within 30 days after the decisive fact. – the gross remuneration paid in each of the months concerned was at least 90% of the are part of measures to stop the spread of COVID- remuneration paid in March 2020. 19. Czech Ministry of Finance Extends COVID-19 Tax Relief Government announcement on business support On 16 June 2020, a tax bill to counter the negative economic implications of the COVID-19 Extension of tax relief introduced in response to the COVID-19 More specifically, among other measures, there is a program aiming to compensate for fixed pandemic was approved by the parliament. The pandemic. This includes the automatic deferral of tax payments by costs incurred by entrepreneurs that reported a significant decrease in sales compared with bill would apply as from the day following its businesses whose primary activity falls into one of the areas the period before the COVID-19 pandemic. publication. The changes include: explicitly targeted by government restrictions, including: – VAT on accommodation, sports and cultural activities. Accommodation services, sports and - operation of restaurants and bars; cultural activities (i.e. tickets for sports and - operation of music, dance, game, and similar social clubs and cultural events, entrance fees for the use of discos sporting facilities, including saunas, etc.) will be - organizing concerts and other musical, theatrical, film subject to the reduced 10% VAT rate (currently, performances; 15%). - organizing wedding celebrations, celebrations of joining a registered partnership and funerals; - operation of circuses and variety shows; Czech Republic Provides Further VAT and Road - organizing pilgrimages and similar traditional events; Tax Deferral for COVID-19 - organization of congresses and other educational events; - organization of trade fairs
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs - operation of indoor sports grounds, gyms and fitness centers, The Czech Republic has published Financial artificial swimming pools, wellness facilities; Bulletin No. 38/2020 of 21 December 2020, - operation of zoos; and which includes a decision issued by the Ministry - operation of museums, galleries, exhibition spaces, castles, of Finance providing for a deferral of the chateaux and similar historical or cultural objects, payment of VAT and road tax by taxpayers observatories, and planetariums. subject to government restrictions in response to COVID-19. This includes that no interest will be The automatic deferral applies for all payments of VAT and income imposed for late payment of VAT for the monthly tax due during the emergency period and only requires sending a periods of September 2020 to March 2021, or the notification that the taxpayer meets the conditions. The deferral corresponding quarterly periods, provided that applies until December 2020. payment is made by 16 August 2021. Relief for late filing of tax returns in response to the coronavirus pandemic
The Ministry of Finance announced that under certain conditions, penalties for the late filing of income tax returns for the 2020 tax period (and related default interest and interest on the deferred tax amount) will be waived. The abovementioned relief applies both for corporate and personal income tax returns for 2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs i. Interest income received in 2021 on bank deposits exceeding RUB 1 million (approximately Reduced VAT Rate Applies to Sale of Medical The President announced that 30 March until 6 April 2020 will be Tax Audits:i. Moratorium on tax audits EUR 11,396) will be subject to individual income tax at a rate of 13% (the amendments will Supplies Aimed to Combat COVID-19 non-working days due to COVID-19 epidemic. Consequently, filing applicable as from 1 January 2021 to small apply from 1 January 2021 relating to interest accrued after 1 January 2021) ii. Stimulus The sale of medical supplies aimed to combat the deadlines will be postponed as follows:i. Corporate income tax and medium-sized enterprisesii. For large payments made to medical staff treating COVID-19 patients will be exempt from individual COVID-19 pandemic is subject to a reduced 10% returns for 2019: from 28 (30) March 2020 to 6 April 2020ii. enterprises, tax audits will be limited to 30% income tax;iii. Budgetary subsidies granted to individual entrepreneurs included in the VAT rate, even in the absence of the marketing Property Tax return: from 30 March 2020 to 6 April 2020iii. Financial until 1 May 2020.iii. Unscheduled tax audits register of small and medium-sized businessesand engaged in the industries most affected authorization of the pharmaceutical product. The statements for 2019: from 30 March 2020 to 6 April 2020iv. may only be conducted in the event of by the COVID-19 pandemic will be exempt from individual income tax;iv. Expenses incurred list of medical products subject to a 10% VAT rate Simplified Tax Return: from 31 March 2020 to 6 April 2020v. entrepreneurial activities that pose for the acquisition of personal protective equipment, medical tests and medical equipment is approved by Government Decree no. 688 of 15 Mineral Extraction tax return for February 2020: from 31 March significant risks to the life and health of for thediagnosis and treatment of COVID-19 will be deductible for corporate income tax September 2008. 2020 to 6 April 2020vi. Payment deferral to enterprises engaged in individuals purposes.The amendments will apply with effect from 1 January 2020. the arts, cinema and sports sector in relation to taxes and social Government Launches Online Service to Emergency Tax Measures – Tax Exemptions and Deductions in Force security contributions due before 1 May 2020. No penalties will be Inform Taxpayers About COVID-19- related A number of tax exemptions and tax deductions were introduced in the Tax Code to combat imposed due to the late payment of such taxes and contributions Tax Measures the effects of the COVID-19 pandemic by Law No. 121-FZ that was published in the Official Filing deadlines for consolidated financial statements Special online service to notify individual and Gazette on 22 April 2020 i. Annual consolidated financial statements: no later than 180 days corporate taxpayers about the tax measures FTS Clarifies Application of Reduced Social Security Contribution Rate following the reporting year (previously 120 days); and currently in force, such as exemptions and The Federal Tax Service (FTS) clarified that the reduced 10% social security contribution rate ii. Interim consolidated financial statements: no later than 50 days deferrals, aimed to assist them during the for small and medium-sized businesses may be applied from the first day of the month in following the reporting period (previously 60 days). COVID-19 pandemic period. which a business entity was included in the register of the small and medium-sized FTS Suspends Debt Collection Until 1 June 2020 Notification of Participation in Foreign businesses, but not earlier than 1 April 2020 As part of the COVID-19-related tax measures, the Federal Tax Companies May Be Filed Online Clarifications Regarding Reduced Social Security Contribution Rate Service (FTS) announced that it will not collect tax arrears from any Taxpayers may file the notification of direct Taxpayers removed from the register of small and medium-sized enterprises lose the legal entities and individual entrepreneurs until 1 June and/or indirect participation in foreign eligibility for the reduced 15% social security contribution rate from the first day of the 2020.Injunctive measures, such as bank account and asset freeze, companies online through the personal Russia month in which the removal from the register occurred. have also been postponed until that date. If the FTS determines taxpayer account. Through this online Tax Deferrals for Lessors of Commercial Real Estate that the suspension of debt collection could result in the service, the taxpayers may report Lessors of commercial real estate (legal entities and individual entrepreneurs) that have concealment of assets or other fraudulent actions, the collection of acquisition, termination and/or any changes granted deferrals of rent payments to their lessees are entitled to tax deferrals and/or tax tax arrears will not be postponed. In that event, arrears may only to the participation in a foreign company, as payment in installments in accordance with the simplified procedure. be recovered with prior authorization of the head of the tax well as file an adjusted notification in case of authority incomplete or erroneous filings.Note: The notification is mandatory if the participation in the share capital exceeds 10%. Clarifications on Tax Residence Status Due to Travel Restrictions The Ministry of Finance (MoF) provided clarifications on the individual tax residence status in response to the suspension of international flights due to the COVID-19 pandemic. Individuals are deemed to be tax residents in Russia if they are physically present in Russia for at least 183 days in any 12 month-period. The MoF clarified that the period of stay in Russia by individuals unable to leave the country due to travel restrictions will be taken into account for the purposes of the 183-day residence criterion.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs List of Tax Deductible Medical Supplies Published Federal Tax Service Extends Suspension of Debt Collection Until 1 July 2020 Russia's Federal Tax Service Confirms The government published the list of medical equipment for the diagnosis and treatment of Relaxed Tax Residency Conditions for COVID-19, the costs incurred for the acquisition, production and supply of which are As part of the COVID-19 related tax measures, the Federal Tax Individuals Due to COVID-19 deductible for corporate income tax purposes. Service (FTS) extended the suspension of debt collection from legal entities and individual entrepreneurs until 1 July 2020.However, “Relaxed” conditions apply with respect to the collection of tax arrears will not be postponed if the FTS tax residence for individuals who have been Ministry of Finance Clarifies Taxation of Interest on Bank Deposits determines that the suspension could result in the concealment of unable to enter Russia due to travel assets or other fraudulent actions, or if the taxpayer has waived the restrictions imposed in response to COVID-19 Individual income tax from 1 January 2021 (Law no. 102-FZ).The Ministry of Finance (MoF) moratorium on bankruptcy proceedings against them. In that pandemic. Individuals may opt to be treated clarified that interest income calculated as the product of RUB 1 million and the key interest event, arrears may only be recovered with prior authorization of as tax residents in Russia for 2020 whereas rate of the Central Bank of Russia on the first day of the tax period will not be taken into the head of the tax authority. they have not met the standard 183-day account for income tax purposes. Interest accrued on escrow accounts will also be excluded. physical presence test but have been Moratorium on Field Tax Audits Extended physically present in Russia for at least 90 to Deferral of Social Security Contributions for Affected Enterprises 182 days during the period 1 January to 31 A moratorium on field tax audits has been extended until 30 June December 2020. In response to the COVID-19 pandemic, the deferral of social security contributions has been 2020. This measure applies to individuals, entrepreneurs and legal extended to all affected small and medium-sized enterprises. Previously, only micro entities. businesses (i.e. enterprises with fewer than 15 employees) were entitled to the deferral.
Reduced Pension Contributions for Affected Individual Entrepreneurs
Pension contributions for 2020 payable by individual entrepreneurs engaged in the economic sectors most affected by the COVID-19 pandemic are reduced by the amount of one minimum monthly salary (in 2020: RUB 12,130). Accordingly, the fixed pension contribution is set at RUB 20,318, regardless of the income received.
Subsidies provided to SONCO and SMEs
The Ministry of Economic Development and the Federal Tax Service began to provide subsidies to socially-oriented non-profit organizations (SONCO) and small and medium- sized enterprises (SMEs) to prevent the coronavirus infection. The subsidies were available to businesses operating within specific sectors, and were calculated according to the number of employees.
Expansion of registry of NGOSs
The Ministry of Economic Development expanded the register of non-governmental organizations (NGOs) that will receive previously announced government support measures, which include tax exemptions and soft loans. The register was updated on June 5, 11, 23, and 29, 2020, so that the register now includes more private educational organizations and non-profit organizations.
Russia Clarifies the Deduction of Costs Incurred in Relation to COVID-19
The Russian Ministry of Finance has published Letter No. 03-03-06/1/52672, which clarifies the deduction of expenses incurred by companies in relation to the COVID-19 pandemic. This includes that expenses incurred by a company for the prevention of the spread COVID- 19 are deductible for corporate tax purposes as other production costs. This includes expenses incurred to ensure normal working conditions and safety measures, expenses for testing of employees for infection, expenses for disinfection, etc. Further, payments made to employees for the period they are unable to perform normal labor functions due to COVID-19 are also deductible, provided that the payments are made in accordance with Russian law.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
Russia provides Covid-19 relief for SMEs
The relief for SMEs was originally provided for businesses that were included in the register of SMEs on the basis of tax reporting for 2018. Under Federal Law 320-FZ, the scope of SMEs is changed to include SMEs that were created between 1 December 2018 and 29 February 2020 or on the basis of tax reporting for the year. This change applies retroactively as from 1 April 2020.
Russia Extends COVID-19 Relief for SMEs
Decree No. 1791 of 7 November 2020 extends certain tax relief measures provided for SMEs in response to COVID-19. This includes that the deferral of the payments of advance tax and social security contributions by qualifying SMEs is generally extended by a further three months to 31 December 2020.
Russia to Provide Relaxed Conditions for Individual Tax Residence due to COVID-19
The Russian parliament is considering Draft Law no. 990337-7, which was submitted on 16 July 2020 and provides relaxed conditions on tax residence for individuals that have been unable to enter Russia due to travel restrictions imposed in response to the COVID-19 pandemic. This includes that individuals may opt to be treated as tax resident in Russia for 2020 where they have not met the standard 183-day physical presence test but have been physically present in Russia for at least 90 to 182 days in 2020. The option may be claimed when submitting the individual income tax return.
i. Foreign exchange gains, derived from the foreign exchange pension fund of which i. Extension regarding submission of VAT and Extension of Time Granted for Incomplete Investments with premiums are paid in foreign exchange, are not treated as taxable income for the purposes WHT returns – the submission period of VAT and Incentive Certificate of Personal Income Tax Law. WHT regarding tax returns regarding April, May ii. Accommodation tax will be effective as from 1 January 2021 instead of 1 November 2020. and June 2020 is extended to 27 July 2020 iii. “Force Majeure” implemented from 1 April 2020 to 30 June 2020 for the following ii. The VAT and WHT payment periods regarding taxpayers: April, May and June 2020 is extended for 6 Investors may apply for an extension of the period during which an - Taxpayers who perform trading, agricultural and professional activities months. Therefore payments will be made by 27 investment with incentive certificate must be completed due to the - Metal industry, automotive, logistics and transportation, cinama-theatre, October 2020, 27 November 2020 and 28 COVID-19 pandemic. An extension may be granted up to 1 year by accommodation, food-drink, textile-clothing production and trade and event-organization December respectively the Ministry of Industry and Technology. However, investments sectors iii. Extension of the deferment period for VAT on must meet the following conditions: - Taxpayers who perform business activities which have been temporarily suspended by the delivery of goods destined for export by 3 Ministry of Internal Affairs. months due to force majeure, if the deferment – the certificate must have been issued before 11 March 2020; and period ends in the period between 1 April 2020 Collection of various taxes to be postponed and 30 June 2020. – the certificate had not expired as at 11 March 2020. Turkey i. The collection of debts for income tax withholding, all social insurance premium Tax Administration Sets Procedures and payments, and electrical energy and water consumption debts of the Principles for VAT Refund Claims During Force municipality and affiliated organizations is postponed. Majeure Period ii. No default interest and charges for late payments would become due Taxpayers may make VAT refund claims during iii. Advertisement taxes and environmental cleaning taxes will, for a limited period, not be the force majeure period. However, they must collected for entities that have ended their activities or are unable to carry on operations. meet the following conditions: – the VAT return must be submitted during the force majeure period and state the VAT refund claimed; and – taxpayers must provide all related documents regarding the VAT refund claim.
Tax Procedure Law
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Tax Procedure Law extends the periods regarding submission and payment of VAT. The submission period of VAT tax returns relating to April, May and June 2020 was extended to 27 July 2020. The VAT payment periods relating to April, May and June 2020 was extended by 6 months. As a result, payments must be made by 27 October 2020, 27 November 2020 and 28 December 2020, respectively.
Turkey Publishes Decision to Temporarily Reduce VAT Rates for Various Goods and Services
Turkey's Revenue Administration has announced the publication of Decision No. 2812 in the Official Gazette on 31 July 2020, which provides for a temporary reduction of the VAT rates for certain goods and services in light of the COVID-19 pandemic. This includes that the VAT rate has been temporarily reduced to 8% for the following goods and services: o Workplace (office) rental services; o Congress, conference, seminar, concert, fair, and amusement park entrance fees; o Organization services provided in weddings, wedding ballrooms, and cocktail lounges; o Barber and hairdressing services and services provided in beauty salons; o Repair of tailoring, clothing, and home textile products; o Shoe and leather goods repair and shoe dyeing services; o Dry cleaning and ironing services for laundry, apparel, and other textile products; o Carpet and rug washing services; o Maintenance and repair of the following, excluding materials: o bicycles, motorcycles, and motorbikes; o electrical appliances used in the home, such as refrigerators, ovens, washing machines, dishwashers, air conditioners, etc.; o consumer electronics products, such as TVs, radios, CD/DVD players, video cameras, etc.; o heating products used in the home, such as water heaters, wall-mounted boilers, etc. (excluding central heating boilers); o home and garden equipment;
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs o furniture and home furnishings; o computers, communication tools, and equipment; and o musical instruments; o Locksmith and key duplication services and porter services; o Lubrication, washing, and polishing services for motor vehicles and maintenance and repair of their seats and upholstery (excluding materials); o Housing maintenance, repair, painting, and cleaning services provided to households (excluding materials); o Certain food and beverage services (excluding alcoholic beverages); o Passenger transportation services; and o Ornamental plants and flower deliveries. The Decision also provides a temporary 1% VAT rate on entrance fees for cinemas, theatres, operas, ballets, and museums, and for overnight accommodation services. The Decision entered into force on the date of publication and applies until 31 December 2020.
Turkey Publishes Decree for Temporary Reduction of VAT Rate on Education and Training Services
Turkey's Revenue Administration has announced the publication of Presidential Decree No. 2913 of 30 August 2020. The decree provides for a temporary reduction in the VAT rate from 8% to 1% on education and training services provided between 1 September 2020 and 30 June 2021 within the scope of the Private Education Institutions Law No. 5580, the Social Services Law No. 2828, and Decree-Law No. 573 on Special Education.
Turkey Extends Temporary Reduced VAT Rates for Various Goods and Services
Turkey's Revenue Administration has announced the publication of Decision No. 3318 of 22 December 2020, which provides for an extension of the temporary reduction of VAT rates that was provided for certain goods and services in light of the COVID-19 pandemic. This includes an 8% rate for various goods and services and a 1% rate for entrance fees for cinemas, theatres, operas, etc. (previous coverage). Previously scheduled to expire 31 December 2020, the application of the reduced rates is extended until 31 May 2021.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
i. Corporate income tax payments due in April, May and June 2020 Relief Extended for Individuals Working will be automatically deferred for three months to July, August and Remotely in Singapore Due to COVID-19 September 2020, respectively Travel Restrictions
i. Taxpayers that incur capital expenditure on the acquisition of plant and machinery for YA ii. Personal income tax payments for self-employed persons due in The Inland Revenue Authority of Singapore 2021 will have an irrevocable option to claim accelerated capital allowances over 2 years: May, June and July 2020 will be automatically deferred for three (IRAS) recently updated its COVID-19 support 75% in YA 2021 and 25% in YA 2022 months to August, September and October 2020 respectively measures and guidance in relation to the guidance on Working Remotely from ii. Tax payerσ that incur qualifying expenditure on renovation and refurbishment (R&R) for iii. Corporate income tax rebate of 25% of tax payable for year of Singapore due to COVID-19. For Singapore YA 2021 will have an irrevocable option to claim R&R reduction in one YA assessment (YA) 2020, capped at SGT 15.000 citizens and Singapore permanent residents, if work is being performed remotely in iii. The GST rate will remain unchanged at 7% in 2021. iv. Automatic extension of interest-free installments by 2 months Singapore for an overseas employer, the for payment of corporate income tax on estimated chargeable IRAS is prepared to consider such work as not exercising employment in Singapore if: income (ECI) filed within 3 months of the companies’ financial year- end (subject to conditions) o There is no change in the contractual terms governing the Singapore Provides Overview of Income Tax Treatment of COVID-19-Related Payouts to overseas employment of the Businesses and Individuals v. Enhanced carry-back relief: unutilized capital allowances and trade losses for YA 2020 can be carried back to three YA (instead of individuals before or after their return to Singapore; and The Inland Revenue Authority of Singapore updated its webpage on COVID-19 Support one YA) immediately preceding YA 2020 (i.e. YA 2019, YA 2018 and YA 2017) (capped at SGD 100.000 and subject to conditions) o The arrangement is a temporary Measures and Tax Guidance on 20 July 2020, including the publication of a document work arrangement due to COVID- providing an overview of the Income Tax Treatment of COVID-19-Related Payouts to 19.
Businesses and Individuals. If the conditions are met, the employment income for the period of stay in Singapore up
The overview includes payouts that are not taxable either because they are not income in will not be taxable in Singapore. Originally nature or a specific exemption has been granted to exempt the payout from tax, which provided for periods up to 30 September includes, among others, the Jobs Support Scheme payout, the COVID-19 Quarantine Order Inland Revenue Authority of Singapore (IRAS) - Automatic 2020, this is now extended for periods up to Singapore Allowance scheme payout, and the COVID-19 Leave-of-Absence scheme payout. extension of tax filing deadlines for individuals and businesses 31 December 2020. Similar relief is provided for non-resident foreigners working Also included are payouts that are taxable, being revenue receipts of a business, in remotely in Singapore, provided that the accordance with general income tax rules, which includes the Temporary Housing Support period of extended stay due to COVID-19 for employers affected by Malaysia's Movement Control Order, the Senior Worker Support i. income tax returns for individuals (including sole proprietors and does not exceed 60 days. Package, the Assistance scheme to defray third-party professional cleaning and disinfection partnerships): filing deadline extended from 18 April 2020 to 31 costs, and the Wage Credit Scheme. May 2020;
ii. income tax returns for clubs, trusts and associations: filing deadline extended from 15 April 2020 to 30 June 2020; Singapore Publishes COVID-19 Guidance on Transfer Pricing iii. estimated chargeable income (ECI) for companies with financial The Inland Revenue Authority of Singapore updated its webpage on COVID-19 Support year ending January 2020: filing deadline extended from 30 April Measures and Tax Guidance on 8 September 2020 to include guidance in relation to transfer 2020 to 30 June 2020; pricing. The guidance is provided in a question and answer format, with examples. iv. GST returns for accounting period ending March 2020: filing deadline extended from 30 April 2020 to 11 May 2020; ( Update: IRAS has stated that GST-registered businesses making GST payments are allowed to file their tax returns based on best available information, and make any corrections necessary by filing a GST F7 by 11 August 2020;)
v. section 45 withholding tax forms due in April 2020: filing and payment deadlines extended from 15 April 2020 to 15 May 2020;
vi. tax clearance for foreign employees in April 2020: extension for filing Form IR21 for employers up to 30 June 2020. The extention is
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs also applicable to tax clearance for foreign employees due in May 2020.
Extension of Corporate Tax Return Filing Upon Request
The Inland Revenue Authority of Singapore (IRAS) has published a notice through which companies facing difficulties in meeting the return filing deadline for year of assessment 2020 may request a one-month extension.
Singapore Updates Overview of Income Tax Treatment of COVID- 19-Related Payouts to Businesses and Individuals
On 7 December 2020, the Inland Revenue Authority of Singapore (IRAS) published an updated version of its overview of the Income Tax Treatment of COVID-19-Related Payouts to Businesses and Individuals, which was first published in July 2020. The overview includes a list of payouts that are not taxable either because they are not income in nature or a specific exemption has been granted to exempt the payout from tax, as well as a list of payouts that are taxable, being revenue receipts of a business, in accordance with general income tax rules.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs INR 20 Lakh Crore Stimulus Package Announced Goods and Services Acti. Last date for filing GST i Due date for filing the income tax return for FY 2018/19 extended Individual Residence Status ClarifiedOn 8 Part 1 of the INR 20 lakh crore (INR 20 trillion – equivalent to 10% of India's GDP) stimulus returns for March, April and May 2020 extended from 31 March 2020 to 30 June 2020 May 2020, the Central Board of Direct Taxes package to make the country self-reliant and revive the stalled economy due to COVID-19. to 30 June 2020 for those having aggregate ii. Aadhar-PAN linking date to be extended from 31 March 2020 to (CBDT) provided clarification on the The key tax announcements are:– In order to put more funds at the disposal of the annual turnover less than INR 50 million. No 30 June 2020 individual tax residence status under section taxpayers, the rates of tax deducted at source (TDS) for non-salaried specified payments interest, late fees or penalty to be chargedii. No iii. Vivad Se Vushwas Scheme extended from 31 March 2020 to 30 6 of the Income-tax Act, 1961 in response to made to residents and the rates of tax collected at source (TCS) for the specified receipts late fees or penalties for companies with June 2020 with no additional 10% payment if such payment is made the declaration of lockdown and suspension will be reduced by 25% of the existing rates, as follows:– payments relating to contracts, turnover of INR of 50 million or more if complied by 30 June 2020 of international flights due to the COVID-19 professional fees, interest, rent, dividend, commission, brokerage, etc. will be eligible for before 30 June 2020. However reduced interest iv. No extension of the date for deposit of tax deducted at source. outbreak in the country. The salient features this reduced rate of TDS;– the relief will not be available for payments made towards salary at 9% (from 18%) will be chargediii. Date for However, interest on delayed payments reduced from 18% per of Circular No. 11/2020 as issued by the CBDT and to non-residents;– the relief will be applicable for the remaining part of FY 2020-21, i.e. opting for composition scheme and filing of annum to 9% per annum. are set out below. For the purposes of from 14 May 2020 to 31 March 2021; and– however, there will be no reduction in rates of composition returns for FY 2019/2020 extended v. Reduction of the interest rate from 12% to 9% on delayed determining the tax residence status of an TDS or TCS, where the tax is required to be deducted or collected at a higher rate due to until the last week of June 2020iv. Due date for payments of advance tax, self-assessment tax, regular tax, tax individual for the previous year 2019-2020, non-furnishing of PAN/Aadhar.– All pending refunds to charitable trusts and non-corporate filling GST annual returns for FY 2018/2019 deducted at source, tax collected at source, securities transaction where an individual arrived in India on a visit businesses and professions, including proprietorship, partnership, LLP and co-operatives, extended from 31 March 2020 to the last week of tax, and commodities transaction tax made between 20 March before 22 March 2020 and met with the will be issued immediately.– The due dates for all income tax returns for FY 2019-20 will be June 2020vi. Payment date under Sabka Vishwas 2020 and 30 June 2020 following conditions:– where that person extended from 31 July 2020 and 31 October 2020 to 30 November 2020.– The due date for extended to 30 June 2020 with no interestvi. Due vi. No fee/penalty to be charged for delay relating to the period was unable to leave India on or before 31 tax audits will be extended from 30 September 2020 to 31 October 2020.– The final date for dates for issue of notices, intimation, approval from 31 March 2020 to 30 June 2020 March 2020, his period of stay in India from opting for Vivad Se Vishwas without paying additional amounts will be extended from 30 order, sanction order, filing of appeals, furnishing vii. Due dates for the issue of notices, intimation, approval order, 22 to 31 March 2020 will not be taken into June 2020 to 31 December 2020.– The date of income tax assessments being barred will be returns, statements, applications, reports and sanction order, filing of appeals, furnishing returns, statements, account;– where that person was extended from 30 September 2020 to 31 December 2020; those being barred on 31 March any other document where time limit under the applications, reports, any other document including investment in quarantined in India on account of COVID-19 2021 will be extended to 30 September 2021. GST laws expires between 20 March 2020 to 29 savings or investment on roll-over benefits under the following on or after 1 March 2020 and departed on an June 2020 to be extended to 30 June acts, where time limit is expiring between 20 March 2020 to 29 June evacuation flight on or before 31 March 2020Customsi. Customs clearance to operate 2020 to be extended to 30 June 2020:- Income Tax Act- Wealth Tax 2020, or was unable to leave India on or 24/7 as an essential service until 30 June 2020ii. Act- Prohibition of Benami Property Transaction Act- Black Money before 31 March 2020, his period of stay Due dates for issue of notices, intimation, Act- STT Law- CTT Law- Equalization Levy- Vivad Se Vishwas from the beginning of his quarantine to his approval order, sanction order, filing of appeals, Scheme. date of departure, or 31 March 2020 (as the furnishing returns, statements, applications, case may be), will not be taken into account; reports, and any other document where time India Further Extends Income Tax Return Filing Deadline and– where that person departed on an limit under the Customs and Allied Laws expires evacuation flight on or before 31 March India between 20 March 2020 to 29 June 2020 to be India's Central Board of Direct Taxes issued Notification No. 2020, his period of stay in India from 22 extended to 30 June 2020 56/2020 on 29 July 2020, which provides a further extension for the March 2020 to his date of departure will not submission of income tax returns for the 2019-20 assessment year be taken into account. (financial year 2018-19). As provided in Notification No. 35/2020, the deadline for filing original and revised income-tax returns for the 2019-20 assessment year was extended to 31 July 2020. With India Announces an EPFO Subsidy Scheme further Notification, this has been further extended to 30 for Job Creation and other Measures in November 2020. Response to COVID-19.
India Ministry of Finance announces new Employees' Provident Fund Organisation (EPFO) subsidy scheme for job creation and other measures in response to COVID-19 under AatmaNirbhar Bharat (self-reliant India) 3.0.
Beneficiaries / New Employees under the scheme would be:
any new employee joining employment in EPFO registered establishments on monthly wages less than Rs.15,000
EPF members drawing monthly wage of less than Rs.15,000 who quit employment during COVID Pandemic from 01.03.2020 to 30.09.2020 and is employed on or after 01.10.2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs IRS guidance for Non-Residents and Foreign Taxation of Corporations US states announced income tax filing and/or tax payments, i.e. Corporations Engaged in Business in United i. The District of Columbia has announced that the date to file States and Facing Travel Disruptions Alternative minimum tax credits income tax returns and make tax payments is extended to 15 July i. Corporations are permitted to claim alternative minimum tax credits (MTCs) at an 2020 for both corporations and individuals accelerated rate of 50% for 2018 and 100% for 2019. Corporations may also elect to claim ii. Delaware has announced that the date to file income tax returns the full refundable credit amount for 2018. and make tax payments is extended to 15 July 2020 for both Under certain circumstances, up to 60 corporations and individuals. No interest or penalties will be consecutive calendar days of US business Net operating losses imposed if the taxes are paid on or before the extended date activities will not be counted for purposes of i. Net operating losses (NOLs) arising in tax years 2018, 2019 and 2020 are permitted to be iii. New Jersey has announced that the date to file income tax determining whether a non-resident carried back for a 5-year period returns and make tax individual or foreign corporation will be ii. The limitation that currently allows NOLs to offset only 80% of taxable income is payments will be extended to 15 July 2020 for both corporations deemed to be engaged in a US trade or temporarily removed so that taxable income may be fully offset by NOLs. and individuals business or as having a US permanent iv. New York State has announced that the date to file income tax establishment. A US trade or business is the Deduction of business interest returns and make tax payments is extended to 15 July 2020 for both US domestic law standard for taxation, and a i. Limitation on the deduction of business interest is increased in taxable years beginning in corporations and individuals. No interest or penalties for late filing US permanent establishment is the standard 2019 and 2020 from 30% of adjusted taxable income (ATI) to 50% of ATI. The CARES Act also or payment will be imposed if the taxes are paid on or before the applied under US income tax treaties. The permits taxpayers to use their ATI as computed for 2019 as their ATI amount for 2020. extended date. relief will only apply if those activities would not have been conducted in the United Charitable contributions FATCA States but for travel disruptions arising from i. Deduction limitation for 2020 on cash contributions by corporations to qualified charitable Extension of the date for a Reporting Model 2 FFI or a Participating the COVID-19 emergency. Non-resident organizations is increased from 10% of taxable income to 25% of taxable income. FFI to file the FATCA Report (Form 8966) from 31 March 2020 to 15 individuals and employees of foreign USA ii. Deduction limitation for qualified contributions of food inventory is increased from 15% July 2020. The IRS stated that it will not be necessary to file Form corporations may be unable to leave the of taxable income to 25% of taxable income. 8809-I, Application for Extension of Time to File FATCA Form 8966, United States due to a variety of factors, in order to obtain the extension. Moreover, FATCA certifications including orders imposed by governmental Qualified improvement property that are due on 1 July 2020 will be extended to 15 December 2020, authorities, disruptions in travel i. Technical corrections are made to the rules for the depreciation of qualified improvement without the need to file an extension request with the IRS. The new arrangements, shelter-in-place orders, property (QIP) in order to permit enhanced deductions for improvements made to real due date will automatically show on the FATCA registration system. quarantines, border closures, or feelings of property. The deduction generally applies to interior improvements made to non- the individual or employee that it is unsafe to residential real property. Emergency Tax Measures – US Internal Revenue Service Issues travel. ii. Bonus depreciation may be claimed at a 100% rate for eligible QIP placed in service after Additional Relief for Federal Tax Filings and Payments 2017. The Internal Revenue Service (IRS) has provided additional relief for Social security taxes filing US federal tax returns and making US federal tax payments. IRS Updates List of Countries with Waiver of i. Employers and self-employed individuals are permitted to defer the payment of the The relief is in response to the ongoing COVID-19 emergency in the Time Requirements for US Foreign Earned employer's portion of social security taxes for 2020. This applies to the 6.2% payroll tax United States. The notice provides guidance on the taxpayers who Income Exclusion imposed on employee wages. The employer or self-employed individual is required to pay are deemed to have been adversely affected by COVID 19, specifies 50% of the deferred taxes on 31 December 2021 and 50% of the deferred taxes on 31 the IRS tax forms and payment obligations that are covered, and
December 2022. specifies the extended due dates for the related federal tax returns and federal tax payments. The new notice additionally provides The US Internal Revenue Service (IRS) has Refundable payroll tax credit relief for specified time-sensitive actions, including the time for updated the list of countries for which i. Refundable payroll tax credit provided for 50% of qualified wages paid by employers who filing petitions in US Tax Court and for filing claims for tax credits qualified individuals can exclude a limited were carrying on business in 2020 and whose operations were adversely affected by the and tax refunds. It also postpones the due dates for certain amount of foreign earned income from US COVID-19 crisis. governmental acts and extends the time to participate in the IRS taxation and claim an exclusion or deduction Voluntary Annual Filing Season Program
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs ii. Credit available to employers: (1) whose operations were fully or partially suspended due IRS Postpones Certain Deadlines for Federal Employment Taxes, for certain foreign housing costs (referred to to a COVID-19 shut down order, or (2) whose gross receipts declined by 50% or more Employee Benefits and Exempt Organizations as the US foreign earned income exclusion). compared to the same quarter of the prior year. The US foreign earned income exclusion iii. For employers who qualify for the credit under the 50% gross receipts test described The Internal Revenue Service (IRS) has postponed deadlines for applies if either the foreign residence test or above, the qualification will terminate at the end of the calendar quarter in which gross certain time-sensitive actions relating to specified federal the physical presence test is met for specified receipts exceed 80% of the gross receipts for the same quarter in the prior year. employment taxes, employee benefit plans, exempt organizations, periods of time. These time requirements iv. For employers with greater than 100 full-time employees, qualified wages are wages paid individual retirement arrangements (IRAs), and certain other can be waived due to adverse conditions to employees who are not providing services due to COVID-19 circumstances. savings accounts. The relief is in response to the ongoing COVID-19 such as war, civil unrest, or similar v. For employers with 100 or fewer full-time employees, all wages paid to employees are emergency in the United States and applies to certain actions that, conditions, that prevented the normal qualified for the credit regardless of whether the employer is in operation or is subject to a with certain exceptions, are due to be performed on or after 30 conduct of business. The new countries were shut-down order. March 2020, and before 15 July 2020. added are the following countries for 2019: vi. Credit is limited by reference to the first USD 10,000 of compensation paid to an eligible employee, including health benefits. Factsheet Issued on Payment of Deferred Federal Income Tax – Congo (effective for departure on or after vii. Credit is available for wages paid or incurred from 13 March 2020 to 31 December 2020. 13 January 2019); The US Internal Revenue Service (IRS) has issued a factsheet (FS- Taxation of Individuals 2020-08) providing information on the scheduling and electronic – Haiti (effective for departure on or after 14 payment of federal taxes due by 15 July. A variety of federal tax February 2019); Excess business losses filing and payment deadlines falling on or after 1 April 2020, and i. Limitation on the deduction of excess business losses by individuals and pass-through before 15 July 2020, have been postponed until 15 July 2020 in – Iraq (effective for departure on or after 14 entities is suspended for the 2018, 2019 and 2020 taxable years. response to the ongoing Coronavirus (COVID-19) emergency. The May 2019); ii. Number of technical corrections were made to the statutory provision with regard to the factsheet notes that this automatic filing and payment relief applies computation of the deduction. to all taxpayers and that they do not need to file any additional – Sudan (effective for departure on or after forms or call the IRS to qualify for the relief. The 11 April 2019); and Charitable contributions i. "above-the-line" deduction is permitted for cash contributions made to qualified – Venezuela (effective for departure on or charitable organizations in 2020, up to an amount of USD 300. The "above-the-line" after 24 January 2019). deduction permits the deduction to be claimed by taxpayers who do not claim itemized deductions. Taxpayers who itemize their deductions are permitted to claim a charitable
deduction of up to 100% of adjusted taxable income (AGI) in 2020 rather than the currently applicable 50%. Revenue Procedure 2020-14 provides that Early withdrawals from retirement plan+C15s the time requirements of IRC section 911 will i. The 10% penalty for early withdrawals from eligible retirement plans is waived on be met with respect to an individual who left withdrawals up to a maximum amount of USD 100,000. the listed countries on or after the specified ii. Related income tax on the withdrawn amount may be paid over a 3-year period, or the effective dates if the individual can establish individual may re-contribute the withdrawn amount to the retirement plan within the 3- a reasonable expectation of meeting the year period. time requirements but for the adverse iii. Waiver applies to individuals: (1) who have been diagnosed with the coronavirus; (2) conditions. who have a spouse or dependent who has been diagnosed with the coronavirus; or (3) who experience adverse financial consequences as a result of the coronavirus, including being quarantined, furloughed, laid off from work, having work hours reduced, being unable to work due to lack of child care, a closure or reduced hours of a business owned or operated Individuals who were first physically present by the individual due to the coronavirus, or other factors as determined by the Secretary of or established residency in the listed the Treasury. The limit on the amount that may be borrowed from qualified retirement countries after the effective dates are not plans is increased from USD 50,000 to USD eligible for the waiver. In addition, the IRS 100,000 if the funds are necessary to provide relief related to COVID-19. also issued Revenue Procedure 2020-27, and iv. The normal 5-year term of such loans noted therein that COVID-19 is an adverse may be extended for an additional year. condition that prevents the normal conduct v. Repayment of currently outstanding loans may also be delayed for 1 year of business in 2019 and 2020 as follows: under qualifying circumstances. Required minimum distributions from retirement funds – in the People's Republic of China, excluding i. Requirement to take minimum distributions (RMDs) from defined contribution plans, the Special Administrative Regions of Hong including Individual Retirement Kong and Macau (China),as of 1 December ii. Accounts (IRAs) is waived for 2020. The RMD rules currently require individuals who are 2019; and 72 years of age or older to make minimum annual withdrawals from qualified retirement plans and pay any related income – globally, effective as of 1 February 2020. tax imposed on the withdrawal, but such RMDs will not be required to be taken for 2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs The IRS stated the period covered by Revenue Procedure 2020-27 will end on 15 factsheet provides information on how to schedule or reschedule July 2020. Accordingly, an individual who left and electronically pay taxes due, including estimated tax payments, China after 1 December 2019, or another as well as procedures for taxpayers who cannot pay the full amount foreign country after 1 February 2020, and on or who want more time to file. or before 15 July 2020, would be treated as a qualified individual with respect to the U.S. President Signs Executive Order for Payroll Tax Deferral period during which that individual was present in, or was a bona fide resident of, On 8 August 2020, U.S. President Trump announced and signed an that foreign country if the individual executive order (memorandum) directing the Secretary of the establishes a reasonable expectation that he Treasury to use his authority to defer certain payroll tax obligations or she would have met the requirements of with respect to the American workers most in need. IRC section 911(d)(1) but for COVID-19. The executive order provides for the deferral of the withholding, deposit, and payment of payroll tax on wages or compensation paid during the period 1 September to 31 December 2020 with respect to any employee whose wages or compensation, as applicable, payable during any bi-weekly pay period generally is less than USD 4,000, calculated on a pre-tax basis. Amounts deferred pursuant to Extension of Timeframes for Health, Welfare the implementation of the order are deferred without any and Retirement Plans penalties, interest, additional amount, or addition to the tax.
U.S. IRS Issues Guidance to implement Presidential Memorandum Deferring Certain Employee Social Security Tax Withholding The US Internal Revenue Service (IRS)
together with the Employee Benefits IR-2020-195, August 28, 2020 Security Administration of the Department WASHINGTON — The Department of Treasury and Internal of Labour, has announced the extension of Revenue Service issued guidance implementing the Presidential certain timeframes under the Employee Memorandum issued on Aug. 8, 2020, allowing employers to defer Retirement Income Security Act and the withholding and payment of the employee's portion of the Social Internal Revenue Code for group health Security tax if the employee's wages are below a certain amount. plans, disability and other welfare plans, Notice 2020-65 makes relief available for employers and generally pension plans, and participants and applies to wages paid starting Sept. 1, 2020, through Dec. 31, 2020. beneficiaries of these plans during the The employee Social Security tax deferral may apply to payments COVID-19 National Emergency. The relief is of taxable wages to an employee that are less than $4,000 during a provided in recognition that participants and bi-weekly pay period, with each pay period considered separately. beneficiaries covered by such plans may No deferral is available for any payment to an employee of taxable encounter problems in exercising their wages of $4,000 or above for a bi-weekly pay period. health coverage portability and continuation Today's notice postpones the time for employers to withhold and coverage rights, or in filing or perfecting their pay employee Social Security taxes. benefit claims, and that affected group
health plans may have difficulty in complying
with certain notice obligations, as a result of the pandemic. Moreover, these provisions waive the 10% penalty for early withdrawals up to a maximum amount of USD 100,000 from eligible retirement plans by qualified individuals. The related income tax on the withdrawn amount may be paid over a 3- year period, or the individual may re- contribute the withdrawn amount to the retirement plan within the 3-year period. The CARES Act also permits an additional year for repayment of loans from certain retirement plans and relaxes limits on loans.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs US Residence Relief and US Treaty Relief for Non-Residents Unable to Leave United States
The relief is provided in Revenue Procedure 2020-20, which notes that travel restrictions due to COVID-19 may have affected the travel plans of foreign individuals who are present in the United States and intended to leave but were unable to do so. The relief is provided in two areas:
– the US residence test (i.e. the substantial presence test) of IRC section 7701(b)(3), which provides that non-resident individuals will be treated as residents of the United States for US federal income tax purposes if they are physically present in the United States for at least 31 days in a taxable year and present for 183 days or more under a three-year weighted-day formula; and
IRS Issues Guidance on Tax Implications of Paycheck Protection Program – determining eligibility for the exception Guidance on the deductibility for Federal income tax purposes of certain otherwise under the dependent personal services deductible business expenses when a taxpayer receives forgivable loans under the Paycheck article of many US income tax treaties for Protection Program (PPP). The guidance states that to the extent that the amount of such non-residents who are physically present in forgiven loans is excluded from gross income, the related expenses are not deductible. The the United States for not more than 183 days PPP was established under the Coronavirus Aid, Relief, and Economic Security Act (the in any twelve-month period that begins or CARES Act) (H.R. 748) and provides for loans of up to USD 10 million for small businesses. ends in the relevant taxable year.Relief is Loans made under the PPP may be used for the following purposes: (1) payroll costs, (2) already provided in both of the above areas certain employee benefits relating to healthcare, (3) interest on mortgage obligations, (4) for medical conditions, so that days which rent, (5) utilities, (6) interest on any other existing debt obligations.The CARES Act also the non-resident is prevented from leaving provides for the forgiveness of loans used during a specified period for the following: (1) the United States due to an illness are not payroll costs, (2) any payment of interest on any covered mortgage obligation, (3) any taken into account in making the above payment on any covered rent obligation, (4) any covered utility payment.The amount of the determinations. forgiveness may be reduced if the recipient reduces the number of its employees or their IRS Provides Relief for Foreign Branch Losses remuneration below a certain level. The CARES Act provides that the amount of the loan and Reporting Obligations for Temporary that is forgiven is not included in gross income. The Notice states that the denial of the Activities Outside US deductibility of the expenses to which the loan forgiveness relates is consistent with The US Internal Revenue Service (IRS) has relevant legislation and prior IRS guidance, and is intended to prevent a double tax benefit. provided relief for certain temporary Fact Sheet Issued on Tax Credit Measures for Paid Sick and Paid Family and Medical Leave activities carried on outside the US due to Information on employer and self-employed tax credit measures for paid sick and paid travel restrictions related to the COVID-19 family and medical leave. These measures were provided for under the, Families First pandemic that would otherwise give rise to a Coronavirus Response Act (H.R. 6201) (FFCRA) to address the economic effects of the foreign branch and limit the ability of a US COVID-19 pandemic. The FFCRA provides tax credits for the costs of providing paid sick leave corporation to deduct associated losses. The and paid family and medical leave to employees unable to work because of the coronavirus relief also provides that such activities will (COVID-19). The credits are refundable, so if the amount of the credit exceeds the amount not give rise to certain reporting obligations of federal employment taxes owed, the remainder is refunded. The law is intended to allow for US persons. The relief is provided in employers to keep employees on their payrolls, while at the same time making sure Revenue Procedure 2020-30 and is intended employees are not forced to choose between their employment income and public health to remove uncertainty regarding whether measures needed to combat COVID-19. The credits are subject to conditions, and are only certain temporary activities of individuals available to employers with less than 500 employees. They are available to eligible outside the US give rise to a "foreign branch employers for qualifying leave provided between 1 April 2020, and 31 December 2020. separate unit" for purposes of the dual Equivalent credits are allowed to self-employed individuals in similar circumstances. consolidated loss rules. Temporary activities for these purposes means those of individuals carried on during a single
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs consecutive period of up to 60 calendar days within calendar year 2020, to the extent that the individual or individuals were temporarily present in the foreign country during the period and the activities would not have been conducted in the foreign country but for COVID-19 Emergency Travel Disruptions. Revenue Procedure 2020-30 indicates that such travel disruptions are those which may significantly restrict the cross-border movement of an individual, including an individual who intended to return to the United States from a foreign country. Where such activities constitute a foreign branch ("foreign branch separate unit") an attributable loss may be limited by the dual consolidated loss rules. In addition, US persons that directly or indirectly operate a foreign branch are required to comply with certain reporting requirements. Guidance Issued on Loss Carrybacks and Alternative Minimum Tax IRS Amends Mutual Agreement and APA Procedures The US Internal Revenue Service (IRS) has issued guidance in the form of frequently asked questions (FAQs) on the interaction between the carryback of net operating losses (NOLs) Modifications to procedures for filing and the alternative minimum tax (AMT).The Coronavirus Aid, Relief, and Economic Security documents in connection with mutual Act (the CARES Act) provides that NOLs arising in tax years 2018, 2019 and 2020 may be agreement procedures (MAP) and advance carried back for a 5-year period. This was a change from the prior law under which NOLs pricing agreement (APA) requests. The were not permitted to be carried back but were only permitted to be carried forward. announcement also provides responses from Although the AMT does not apply to Corporations in post-2017 years, it does apply to such the Advance Pricing and Mutual Agreement taxpayers in pre-2018 years. The FAQs address the interaction of the carry back of NOLs to program (APMA) to questions about how the years in which the AMT applied, including the quantification of such losses, filing current economic environment is affecting amendments and procedural issues. The CARES Act also permits corporations to elect to its handling of pending APAs and executed claim the refundable minimum tax credit (MTC) at a 100% rate for the first taxable year APAs. The procedure modifications include beginning in 2018. The FAQs provide guidance on the procedural requirements for making the ability to submit documents with digital the election. The FAQs indicate a last reviewed or updated date of 27 May 2020.For reports or similar signatures and to file on previous guidance related to the carry back of NOLs. electronically. With regard to questions about pending and executed APAs the Paycheck Protection Program Extended by New Legislation announcement notes that APMA is actively discussing various substantive and President Trump has signed into law new legislation (the Paycheck Protection Program procedural issues with treaty partners, Flexibility Act of 2020) that relaxes certain conditions attaching to the Paycheck Protection including such technical issues as the Program (PPP).The PPP was established under the Coronavirus Aid, Relief, and Economic application of transfer pricing methods in Security Act (the CARES Act) and provides for loans of up to USD 10 million for small periods of economic distress and the impacts businesses. Loans made under the PPP may be used to cover specified costs, including of current economic conditions on specific payroll costs, and may be forgiven tax free if the loans are used for such costs industries, types of taxpayer, regions, etc. within a specified period. This period has been extended under the new legislation from APMA will also discuss case-specific issues eight weeks from the granting of the loan to the earlier of 24 weeks after the granting of and concerns with taxpayers and treaty the loan and 31 December 2020. The new legislation also states that loan forgiveness is partners, and the announcement provides conditional upon at least 60% of the covered loan amount being used for payroll costs, and related contact and procedural details. up to 40% for covered mortgage interest, rent and utility payments. Under the PPP, the amount of the forgiveness may be reduced if the recipient reduces the number of its IRS Issues Factsheet on Economic Impact employees or their remuneration below a certain level. The new legislation provides that Payments reductions in the number of employees will not be taken into account in certain circumstances, such as the inability to hire or rehire employees, or to return to previous The US Internal Revenue Service (IRS) has levels of business activity due to the COVID-19 crisis. The new legislation also removes the issued a factsheet (FS-2020-07) providing limitation on claiming loan forgiveness under the PPP in addition to the deferral of payroll information on the computation of Economic taxes that was also provided for under the CARES Act. Impact Payments that have been granted to individuals to address the economic impact Guidance Issued on Loss Carrybacks for Exempt Organizations of the COVID-19 pandemic. The factsheet
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs explains that certain individuals will get The US Internal Revenue Service (IRS) has issued guidance in the form of frequently asked payments automatically while others may questions (FAQs) on the carryback of net operating losses (NOLs) by exempt organizations have to act, either by filing a tax return or by carrying on two or more unrelated trades or businesses. The rules for calculating taxable way of a special tool for non-filers. The income for such organizations were changed by the Tax Cuts and Jobs Act, Public Law 115- amount of the payments is based on the 97 (TCJA), enacted on 22 December 2017. The FAQs address the interaction of those rules individual's family circumstances, their with changes made by the CARES Act to address the impact of the COVID-19 pandemic, adjusted gross income and number of providing that NOLs arising in tax years 2018, 2019 and 2020 may be carried back for a 5- qualifying children. The factsheet explains year period. This was a change from the TCJA rule under which NOLs were not permitted to how the payments are reduced for be carried back but were only permitted to be carried forward. individuals earning above certain thresholds. The factsheet also explains who is eligible. Economic Impact Payments were authorized by the Coronavirus Aid, Relief, and Economic Security Act
US Internal Revenue Service Issues Guidance for Qualified Opportunity Funds
The Internal Revenue Service (IRS) has provided guidance for Qualified Opportunity Funds (QOFs) and their investors in response to the ongoing COVID-19 pandemic. The new notice provides relief to QOFs and their investors with regard to the requirements of Section 1400Z-2 of the Internal Revenue Code and the implementing regulations, including investment of eligible gains in QOFs, the 90% asset test for QOFs, the working capital safe harbor, and re- investments of certain distributions received by QOFs. IRS Issues Guidance on Amended Partnership Returns IRS Expands Relief for Non-Residents and Foreign Corporations Engaged in Business in The US Internal Revenue Service (IRS) has issued internal guidance in the form of a United States and Facing Travel Disruptions Memorandum for Frontline Managers and Examiners on procedures for filing and examining amended partnership returns as provided for under Revenue Procedure 2020- The US Internal Revenue Service (IRS) has 23. Revenue Procedure 2020-23 permitted certain partnerships to file amended returns in updated frequently asked questions (FAQs) order to be able to take advantage in a timely manner of certain benefits provided under that provide relief for non- resident the CARES Act in response to the COVID-19 pandemic. The CARES Act provides retroactive individuals and foreign corporations tax relief that affects partnerships, including relief for tax years ending in 2018 and 2019. providing services or performing other Without the option to file amended returns, certain partnerships that already filed a Form activities in the United States. Where those 1065 "U.S. Return of Partnership Income" for the affected years generally would otherwise services or activities are provided by be unable to take full advantage of the CARES Act relief. individuals who are temporarily in the United States solely due to travel disruptions IRS Issues Guidance on Tax Implications of Employee Leave Payments to Charities caused by the COVID-19 pandemic those actions will under certain circumstances be The US Internal Revenue Service (IRS) has issued Notice 2020-46 that provides guidance ignored for purposes of determining whether under the Internal Revenue Code on the federal income and employment tax treatment of a non-resident individual or foreign payments made by employers under leave-based donation programs to aid victims of the corporation will be deemed to be engaged in ongoing COVID-19 pandemic. Under these programs, employees can elect to forego a US trade or business (USTB), or as having a vacation, sick or personal leave in exchange for cash payments that the employer makes to US permanent establishment under US specified charitable organizations. The notice provides that such payments, if made before income tax treaties. The updated FAQs 1 January 2021, will not be included in an employee's gross income, and that employers may expand this relief by providing that the deduct the payments. Employees may not claim a charitable contribution deduction for the income earned from the activities in value of the foregone leave. question will not be subject to the 30% gross basis tax imposed, solely because the non- IRS Expands Eligibility for Retirement Plans Relief and Provides Further Guidance resident individual or foreign corporation is not treated as having a USTB or permanent
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs The US Internal Revenue Service (IRS) has expanded the categories of individuals able to establishment under the relief provided in benefit from more generous rules for distributions and loans from certain retirement plans. the FAQs. These rules were enacted by the CARES Act in response to the COVID-19 pandemic. They include a waiver of the 10% penalty for early withdrawals and an installment option for the related income tax due, or the individual may re-contribute the withdrawn amount to the Joint Committee on Taxation Issues Report retirement plan within the installment period. The CARES Act also permits an additional on Individual Refundable Credits and year for repayment of loans from certain retirement plans and relaxes limits on loans.The Legislative Change Proposals latest guidance, contained in Notice 2020-50, expands the definition of who is a qualified individual to take into account additional factors such as reductions in pay, rescissions of The Joint Committee on Taxation of the US job offers, and delayed start dates with respect to an individual, as well as adverse financial Congress (JCT) has released a report on consequences to an individual arising from the impact of the COVID-19 coronavirus on the individual refundable federal income tax individual's spouse or household member. The notice also provides further detailed credits, including those contained in the guidance on implementing the rules for employers, administrators and individuals. CARES Act and legislative proposals that would expand such credits. The report also discusses policy considerations and data regarding these credits. The CARES Act provided for a 1-year refundable tax credit to individuals for 2020 to address the economic impact of the COVID-19 pandemic. The IRS has published a factsheet with Frequently Asked Questions on the computation of economic impact payments.
On 15 May 2020, the US House of Representatives passed the Health and Economic Recovery Omnibus Emergency Solutions Act (H.R. 6800) (HEROES Act) that includes proposed changes regarding refundability to several individual credit provisions of the US Internal Revenue Code, including improvements to the 2020 recovery rebates.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs i. 0% rate of financial transaction tax on credit transactions taking place between 3 April Reduced to zero of import duty levied on i. Deadline for filing individual income tax returns for tax year 2019 2020 and 3 July 2020 ii. 0% rate in cases such as loan extensions, renewals, etc. where there products up to 10,000 USD imported through has been extended from 30 April 2020 to 30 June 2020.Deadlines is no change to the borroweriii. Reduced rates of payroll contributions due by employers, international postal or airmail delivery to combat for filing tax and social contribution returns postponed:i. Federal with effect from 1 April 2020 until 30 June 2020. the COVID-19 pandemic. This measure applies tax debts and credits return due by the 15th working day of April, until 30 September 2020.This reduction already May and June 2020 may be filed by the 15th working day of July Ministry of Economy Postpones Deadline for Payment of Social Security Contributions applies (also until 30 September 2020) to listed 2020; ii. Social contribution return due by the 10th working day of As a result of the COVID-19 pandemic, the Ministry of Economy has postponed, from June medical supplies imported through the standard April, May and June 2020 may be filed by the 10th working day of 2020 until November 2020, the deadline for payment of the following social security procedure. July 2020. contributions:– social security contribution (Contribuição para o Instituto Nacional da Seguridade Social, INSS);– contribution to the profit participation programme (Programa de Tax Authorities Reduce Thresholds and Extend Suspension of Taxes Under Drawback Regime Integração Social, PIS); and– contribution for the financing of social security (Contribuição Validity of Special Customs Regimes para o Financiamento da Seguridade Social, COFINS).The deadlines relating to previous Extension by 1 year of the suspension of taxes granted under the months had already been postponed. To mitigate the economic effects of the COVID-19 drawback regime, the term for which ends in 2020.Under the pandemic, the tax authorities have reduced, by drawback regime, taxes normally levied on the import or purchase New Modality of Tax Regularization 50%, the industrialization and exportation of goods in the internal market are suspended provided that the As a result of the COVID-19 pandemic, the General Attorney's Office for the National thresholds for the period ending between 1 May said goods are used or consumed in the manufacturing of products Treasure has implemented a new modality of tax regularization, "Exceptional Negotiation" 2020 and 30 April 2021 for the purpose of to be exported. The extension covers only the suspensions that had (Transação Excepcional), under which special conditions for the payment of federal tax enjoying of the benefits of the Special Customs been extended for 1 year and the (extended) term for which would Brazil debts are offered. The new modality applies as follows:– corporate and individual taxpayers Regimes of Industrial Warehouse under end in 2020.The measure is expected to mitigate the post- that have suffered an economic and financial impact from the COVID-19 pandemic will be Computerized Control and under Computerized pandemic economic effects that are likely to hit exporting able to apply for the new modality of tax regularization. For that purpose, the economic and Control of the Public Digital Bookkeeping System. companies. financial impact is taken into account if the total gross monthly revenue in 2020 (from March In addition, the period of validity of the regimes 2020 until the month prior to the application of the modality) is lower than the total gross is extended in 1 year for goods admitted to the Tax Authorities Postpone Deadline for Companies to Submit Digital monthly revenue for the same period in 2019;– tax debts of up to BRL 150 million are eligible regimes between 1 January 2019 and 31 Tax Bookkeeping for the new modality of tax regularization (debts above this threshold may be negotiated December 2020.Recof and Recof- Sped are under the Individual Agreement Negotiations web portal); special regimes that allow beneficiaries to import The tax authorities postponed from 29 May 2020 to 31 July 2020 or buy in the domestic market, with the the deadline for companies to submit the Digital Tax Bookkeeping suspension of payment of taxes, goods to be (Escrituração Contábil Digital, ECD) related to tax year 2019. industrialized for export or sales in the domestic market. To remain a beneficiary of the regimes, companies must export industrialized products at the minimum annual amount equivalent to 50% of the total amount of the goods admitted to the regime. In addition, they must use, during the industrialization process, at least 70% of admitted goods annually.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs – taxpayers may apply for the new modality from 1 July 2020 until 29 December 2020 Ministry of Economy Postpones Deadline for Payment of Federal through the Regularize web portal; Brazil Extends Temporary Reduction of IOF Rate Taxes under Installment Agreements on Credit Transactions and IPI Rate on Goods The following benefits are offered: Used in Combatting COVID-19 The Ministry of Economy postponed the deadlines for payment of – initial payment of 4% of the tax debt, to be paid in up to 12 monthly installments; federal taxes under installment agreements firmed by taxpayers – payment of the remaining amount in up to 72 monthly installments (for companies) or Brazil has published Decree No. 10.503 of 2 with the Federal Revenue Office and the Attorney General of the 133 monthly installments (for individuals and small and medium-sized enterprises), the first October 2020, which extends the temporary National Treasury, as follows: installment being due in June 2020; reduction of the federal tax on manufactured – installment payments due by the last business day of May 2020 – payment of the remaining amount in up to 81 monthly installments (for legal entities) or may be paid by the last business day of August 2020; products (IPI) rate to 0% on goods used in 97 monthly installments (for individuals, entrepreneurs, small and medium-sized combatting COVID-19, such as disinfectants, – installment payments due by the last business day of June 2020 enterprises, cooperatives, civil organizations and educational institutions) with a reduction may be paid by the last business day of October 2020; personal protective equipment, ventilator of up to 100% in interest, fines and other charges, limited to 70% of the total debt equipment, etc. – installment payments due by the last business day of July 2020 (limited to 50% in case of companies); and may be paid by the last business day of December 2020. – social security debts may also be paid under these conditions but in up to 60 monthly The postponement does not impact interest levied on installments, Brazil has also published installments; Decree No. 10.504 of which continues to apply as per the respective installment – the actual benefits (e.g. the amount of reduction, number of installments) will be granted 2 October 2020, which extends the temporary agreements. This measure does not apply to installments under the individually according to each taxpayer's financial situation; and reduction of the financial transactions tax (IOF) simplified regime for the collection of taxes and contributions – the new modality of tax regularization does not cover debts under the simplified regime rate to 0% on credit transactions. The reduction (Simples Nacional), as this decision is under the responsibility of the (Simples Nacional), the employer's contribution to the unemployment guarantee fund in the IPI and IOF rates were previously provided Simples Nacional Management Committee. This Committee is (Fundo de Garantia do Tempo de Serviço, FGTS) or criminal fines. until 30 September and 2 October 2020, scheduled to meet on 15 May 2020 to deliberate on the respectively, and are now extended by the postponement of deadlines for installments under this regime. The Suspension of payment of employer’s social security contributions and installment Decrees to 31 December 2020. Federal Revenue Service and the Attorney General of the National agreements Treasury informed they will adopt the necessary measures for Brazil Ends Temporary Reduction of IOF Rate on suspending the payment of installments in case of taxpayers that Ministry of Economy announced that municipalities that have their own Social Security Credit Transactions opted for automatic debit payments. Schemes (RPPS) may suspend the payment of employers' social security contributions and installment agreements from March through December 2020. The measure, provided for in Brazil has published Decree No. 10.551 of 25 Committee Postpones Deadline for Payment of Taxes under Complementary Law No. 173/2020, was regulated by Ordinance No. 14,816. November 2020, which amends the effective Installment Agreements by Simplified Regime Taxpayers period of the temporary reduction in the Brazil Extends New Method for Tax Regularization to Simplified Taxpayers financial transactions tax (IOF) rate to 0% on As a new measure to alleviate the economic impact of the COVID- credit transactions. The 0% IOF rate was initially 19 pandemic, the Simples Nacional Management Committee The new method of tax regularization, referred to as "Exceptional Transaction" (Transacão provided from 3 April to 3 July 2020 in response postponed the deadlines for payment of federal taxes under Excepcional), has been extended to taxpayers under the simplified (Simples Nacional) to the COVID-19 pandemic and subsequently installment agreements supported by taxpayers who are under the regime. This new method, which was introduced in response to COVID-19, allows taxpayers extended to 31 December 2020. With Decree No. simplified regime for the collection of taxes and contributions to pay 4% of their outstanding tax debts in up to 12 monthly installments, with the balance 10.551, the period of the temporary reduction is (Simples Nacional), as follows: due in up to 133 monthly installments, with the possibility of discounts of up to 100% on set from 3 April to 26 November 2020. – installment payments due by the last business day of May 2020 fines, interest and charges, subject to a limit of up to 70% of the total debt amount. may be paid by the last business day of August 2020; – installment payments due by the last business day of June 2020 may be paid by the last business day of October 2020; and – Installment payments due by the last business day of July 2020 may be paid by the last business day of December 2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs The postponement does not impact interest levied on installments, which continues to apply as per the respective installment agreements. The measure was implemented through Resolution 155/2020, published in the Official Gazette of 12 May 2020, and is in line with the postponement of deadlines of installment agreements for general taxpayers, implemented on 18 May 2020.
Suspension of Notifications and Procedural Mechanisms for Collection of Taxes
In view of the COVID-19 pandemic, the tax authorities suspended until 30 June 2020 notifications and certain procedural mechanisms for enforcement of administrative collection of federal taxes. The measure includes also the suspension of exclusion of taxpayers from installment regimes or registry of non-compliance of requirements regarding tax registration.
Extension of Suspension of Tax Procedural Terms, Deadlines and Mechanisms for Collection
As a result of the COVID-19 pandemic, the General Attorney's Office for the National Treasure has extended, until 30 June 2020, the suspension of: – tax procedural terms and deadlines; and – Certain procedural mechanisms for enforcement of administrative collection of federal taxes. The suspension was initially scheduled to end on 19 June 2020.
Federal Revenue Service (RFB), Attorney General's Office of the National Treasury (PGFN) decided the extension of certain deadlines
The Federal Revenue Service (RFB) and the Attorney General's Office of the National Treasury (PGFN) extended the term of validity of Negative Debt Certificates (CND) and Positive Certificates with Negative Effects (CNEND) for another 30 days, both relating to federal tax credits and the Union's active debt.
Reduction of IOF Tax Rate on credit operations
Ministry of Economy extended by 90 days the reduction in the IOF tax rate on credit operations. The decision is included in Decree 10.414 of July 2, 2020. In addition, the additional IOF rate of 0.38%, levied on these credit operations, is also reduced for the same period, which has a greater impact on short-term operations at a time when individuals and companies need greater liquidity.
Extension of temporary suspension of collection acts
Ministry of Economy extended, until July 31, 2020, the temporary suspension of collection acts due to the pandemic caused by the new coronavirus (Covid-19).
Brazil Further Suspends Collection Acts Due to COVID-19 and Extends Option for Regularization of Tax Debts
Brazil's Attorney General of the National Treasury has announced that the temporary suspension of collection acts due to the COVID-19 pandemic has been further extended to 31
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs August 2020. Originally extended by Ordinance No. 7.821 of 18 March 2020 by 90 days due to COVID-19, the suspension has been extended multiple times with the latest extension provided by Ordinance No. 18.176 of 30 July 2020. Further, the Attorney General of the National Treasury announced an extension of the application deadline to 31 August 2020 for the previously introduced method for the regularization of tax debts, which was to expire on 31 July 2020. This includes the payment of 1% of tax debts in up to 3 months, and the balance paid in up to 81 months for legal entities and in up to 142 months for others. This extension is also provided by Ordinance No. 18.176.
Brazil Extends Deadline for Reporting FATCA and CRS Financial Account Information
The deadline for reporting information via the e-Financeira digital service in relation to the first half of 2020 has been extended from the last business day of August 2020 to the last business day of October 2020. Although not stated in the Normative Instruction, the extension has been provided in light of the COVID-19 pandemic.
Brazil Extends Annual Individual Income Tax Return Deadline for 2020
Brazil has published Normative Instruction RFB No. 2.020 of 9 April 2021, which extends the deadline for individual income tax returns for 2020. The return requirements for 2020 were previously established by Normative Instruction RFB No. 2.010 of 24 February 2021, including that individuals required to file returns must file online during the period 1 March to 30 April 2021. Normative Instruction RFB No. 2.020 amends Normative Instruction RFB No. 2.010 to extend this to the period 1 March to 31 May 2021.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Parliament Approves Tax Incentives for Reduction of Rent i. While initially there were thoughts for The deadline for submission of income tax returns for companies, VARIOUS CORPORATE/FINANCIAL Introduction of tax incentives for property owners for the voluntary reduction of rent on temporary reduction of VAT rates, eventually it self-employed persons preparing accounts, or other persons liable MEASURES DIRECTLY LINKED TO THE TAX real estate rented to enterprises affected by the COVID-19 pandemic. On 22 May 2020, the was decided to defer the VAT payments until 10 to submit an income tax return by 31 March 2020, has been FIELD: parliament approved the relevant bill amending the Income Tax Law. The bill provides that November 2020, for the periods ending 29 extended to 1 June 2020. The extension also applies for the The Department of Registrar of Companies property owners are eligible for a tax credit of 50% provided that the rent reduction is not February, 31 March and 30 April 2020, without payment of tax due under the aforementioned tax returns for the and Official Receiver has announced the less than 30% and not more than 50% of the existing rent. For the tax credit to be provided, the imposition of interest and penalties, year 2018. following measures: the rent reduction should be granted for a period of up to 3 months, between 1 June and 31 provided that the relevant VAT returns are Settlement of due social contributions i. The deadline for payment of the annual December 2020. submitted within the due dates (10 April, 10 May For individuals and legal persons that, as on 1 March 2020, had company levy of €350 for the year 2020 is and 10 June respectively). ii. Certain categories of entered a scheme for settlement of their overdue social insurance extended to 31 December 2020, without the business do not fall within the provisions of the contributions via installments, the payment of the March and April imposition of penalties.Ii. The filing of annual Cyprus Providing Further Tax Relief for Rent Reductions amended law, such as groceries, supermarkets, 2020 installments is suspended, and the repayment period is returns with draw-up date from 1 January to convenience stores and mini markets, fruit effectively extended by two months 31 December 2020 (i.e. for the year 2019) can Cyprus Ministry of Finance is providing further tax relief for owners of real estate that is markets, butcheries, bakeries, pharmacies, Deadlines for Submission of VAT Returns be made until 28 January 2021, without the rented to individuals or legal entities considering the further lockdown approved in producers of electricity, telecommunication As of April, monthly VAT returns are to be submitted up to and imposition of the €20 late-submission fee response to COVID-19 as from 10 January 2021. With the latest relief, if owners reduce the services, the reason being that their operations including June 2020. Suspension of payments under credit rent amount for a period of up to six months for tenants that have been affected by the have not been particularly affected. VAT due facilities up to 31 December 2020 COVID-19 pandemic, they will receive a tax credit equal to 50% of the rent reduction Relief from Import Duties and VAT Exemption on – Businesses carrying out economic activities that belong to the i. In relation to credit facilities provided by amount. The rent reduction should be no less than 30% and no more than 50% of the Importation for Specific Goods following categories in accordance with their registration financial institutions, borrowers who are monthly rent. In addition to the tax credit, it is also provided that from 1 January to 31 March The Customs Department announced that goods certificate must pay the related VAT in full by the relevant due facing economic difficulties as a result of the 2021, the special contribution for the Defense of the Republic will be calculated on 50% of needed to combat the effects of the COVID-19 date:Producers of electricity power, Collection and distribution of coronavirus are entitled to request gross rent. pandemic are exempt from import duties and water (for the supply of water), grocery and supermarkets mainly suspension of their obligation to pay VAT on importation. The measures are based on for food, kiosks / Mini markets, retail trade of fruits and installments (both capital and interest) for the European Commission's decision of 3 April vegetables, retail trade of meat and meat products including their credit facilities, provided that the credit 2020, which provides for the relief of import poultry, retail trade of bread and other bakery goods, retail trade facilities were not in arrears for more than 30 duties and exemption of VAT due on importation of confectionery, retail trade of fuel, retail trade of computers, days as at 29 February 2020. The from non-EU countries of such goods made peripheral equipment and video games, retail trade of newspapers arrangement captures both individuals between 30 January 2020 and 31 July 2020. The and stationery, Cyprus Telecommunications Authority (CYTA), (including self-employed individuals) and Cyprus beneficiaries are state organizations as well as Internet services, satellite telecommunications services and CYTA. legal persons . other organizations as approved by the EU – Businesses carrying out economic activities that do not belong to ii. The suspension of payments is effective as Member States. the above codes in accordance with their registration certificate from 30 March 2020 (the date of issue of the Reduction of VAT Rate to Support Hospitality must pay 30% of the total outstanding VAT at the end of each VAT relevant ministerial decree) up to 31 industry period by the 27th of the following month. Any VAT due for periods December 2020. Borrowers who wish to The VAT rate applicable to the tourism sector, up to 30 June 2020 which has not been paid by 27 July 2020 is due apply for suspension of payments need to namely hotel accommodation and restaurant by 10 November 2020 complete a relevant form to that effect and services, will be decreased from 9% to 5% for the Extension of Deadline for Payment of Social Insurance Fund submit it to the financial institution. It is period between 1 July 2020 and 10 January Contributions noted that financial institutions do not have 2021.An amendment to the VAT Act is expected In response to the recent COVID-19 pandemic, the Ministry of the right to reject any application, unless in within the coming days to render the Labour, Welfare and Social Insurance announced an extension of cases where the credit facilities were in abovemeasure effective. the deadline for the payment of the contributions to the Social arrears for more than 30 days as at 29 Insurance Fund and other funds administered by the Social February 2020. Return VAT payments Insurance Department. The extension covers contributions on iii. The suspended installments (both capital employees' insurable earnings for March 2020 which were due by and interest) will become payable following December and January return VAT payments, 30 April 2020. the end of the suspension period, through an due on 10 February and 10 March, may now opt appropriate revised repayment schedule to instead make 3 installment payments that will be agreed between the borrowers between 10 April and 10 June 2021. and the financial institutions.iv. It is further noted that any actions taken by financial institutions to recover credit facilities covered by the above measure are suspended. Further, the non-payment of installments during the suspension period does not constitute a breach of the contractual terms between the borrower and the financial institution
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs European Commission Approves Cypriot Scheme The new deadline for the payment of the related amounts is 14 Tax Incentives for Reduction of Rent Deferring Payment of VAT May 2020.Payments already made relating to March 2020 contributions will be considered as an overpayment and will be On 10 June 2020, the European Commission credited in favour of the employer. announced that it had approved, in accordance In response to the COVID-19 pandemic, the with EU State aid rules, a Cypriot aid scheme Extension of Deadline for Payment of Social Insurance Fund Council of Ministers announced the deferring VAT payments to ease the liquidity Contributions for Self Employed introduction of tax incentives for the constraints of companies affected by the COVID- reduction of rent on real estate. The measure 19 pandemic. The scheme was found compatible In response to the recent COVID-19 pandemic, the Ministry of applies to owners renting real estate to with the State aid Temporary Framework Labour, Welfare and Social Insurance announced another extension individuals or legal entities who reduce the adopted by the Commission on 19 March 2020, of the deadline for the payment of the contributions to the Social rent charged for a period of 3 months, in as further amended. Insurance Fund and the other funds administered by the Social order to assist tenants affected by the Insurance Department. The extension covers contributions on self- COVID-19 pandemic. Owners benefit from a The approved scheme, which amounts to EUR 33 employed individuals' insurable earnings for the first quarter of tax relief of 50% of the rent reduction million, allows companies facing difficulties due 2020 which were due by 10 May 2020. The new deadline for the amount, where the rent reduction is not less to the COVID-19 pandemic to delay the payment payment of the related amounts is 10 July 2020. than 30% and no more than 50% of the of VAT due by 10 April, 10 May and 10 June 2020. monthly rent. For the implementation of the Under the scheme, no interest or penalties are Minister of Finance Extends Deadline for Submission of Tax Returns above amendment, the Tax Department imposed on those companies that will pay the issued a circular on 3 June 2020, providing due VAT by 10 November 2020.The scheme will Extension of deadline for the submission of income tax returns for clarifications as to the requirements for the be accessible to companies of all sizes and all the year 2018 for corporations and for self-employed persons filing provision of the tax credit.The circular sectors, except the sectors which continued to audited accounts. The new deadline for the submission of the stipulates that the tax credit is equal to 50% operate during the lockdown in Cyprus. The aim returns is 30 June 2020 at 23:59 (extended from 31 March of the rental income and is granted only for of the scheme is to ease the liquidity constraints 2020).The measures are included in Decree on the Certification and the tax year 2020, provided the following faced by those companies that are most severely Collection of Taxes of 2020 (KDP 220/2020), issued on 22 May 2020. three conditions are met: affected by the economic impact of the COVID-19 pandemic, thus helping them continue their As part of the emergency tax measures in response to the COVID- activities. The Commission found that the Cypriot 19 pandemic, the Minister of Finance extended the deadline for the scheme is in line with the conditions set out in electronic submission of the personal income tax returns for the – the monthly rent decrease should not be the Temporary Framework. In particular, the year 2019 for employees, pensioners and self-employed persons less than 30% and more than 50% of the rent support is granted before 31 December 2020, and with a turnover below EUR 70,000 who do not have the obligation amount and relate to a maximum period of 3 the end date of the deferral is 10 November to file audited accounts. The new deadline for the electronic months, regardless of which months. In case 2020, thus before the end date of 31 December submission of the 2019 personal income tax return for employees the actual rent decrease exceeds 50%, the 2022 defined in the Temporary Framework. The and pensioners is extended from 31 July 2020 to 30 October 2020. tax credit will be limited to 50% of the rent Commission concluded that the Cypriot measure The extension also applies to the payment of the related personal amount. The rent decrease must be depicted is necessary, appropriate and proportionate to income tax due under the self-assessment method. Additionally, in a written agreement between the tenant remedy a serious disturbance in the economy of the deadline for the submission of the tax returns for self-employed and the property owner; a Member State, in line with Article 107(3)(c) of persons with a turnover below EUR 70,000 who do not have the the Treaty on the Functioning of the European obligation to file audited accounts is extended from 30 September – the property owner and the tenant must Union and the conditions set out in the 2020 to 30 October 2020. The extension also covers the payment of not be affiliated persons as provided in Temporary Framework. the related income tax due under the self-assessment method that article 33 of the Income Tax Law; and was also payable on 30 September 2020.The measures are included Cyprus Publishes Amendments to VAT Law in a decree issued by the Minister of Finance on 5 June 2020. – the tax credit only applies to payable
income tax and not to any other payable tax, According to recent reports, Cyprus published Cyprus Extends Deadline for Settlement Program for Outstanding such as defence contribution or National amendments to the VAT Law in the Official Tax Debts Health System contributions. Gazette on 20 August 2020. The main amendments are summarized as follows: According to recent reports, Cyprus published a law on 17 July 2020 o A new definition of "legal person" for that provides extensions in relation to the program for settling Cyprus Tax Department Issues Implementing VAT purposes is provided to align it outstanding tax debts. The program, first introduced in 2017, Directive on Tax Residency and Permanent with the definition for income tax applies for outstanding tax debts up to 31 December 2015. Establishment in the Context of the COVID-19 purposes, including that a "legal Previously extended to 14 August 2020, the deadline for the Crisis person" includes a company, submission of applications for relief from interest and penalties on Cyprus Tax Administration partnership, association, or club outstanding tax debts for tax years up to 2015 is extended to 14 issued Implementing Directive No. regardless of whether it is established January 2021. In addition, the deadline for submitting returns for 04/2020 of 27 October 2020 on in accordance with the provisions of tax years up to 2015 is extended to 30 November 2020. application of provisions for tax residency any law or regulation; Specific relief is also provided in relation to the COVID-19 and permanent establishment in the context o A new Article 11E is introduced to pandemic. This includes that installment payments under the of the COVID-19 crisis. In particular, the provide that where persons registered program that are not paid during the period 1 March 2020 to 30 Implementing Directive No. 04/2020
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs for VAT acquire the following types of June 2020 will not be taken into account in relation to the rule that addresses the impact of travel restrictions high-value goods for business relief will be lost if more than 5 consecutive installments are due to COVID-19 and provides that OECD purposes, they must apply the reverse delayed. Payments missed during this period are to be distributed guidance on the issue will be followed in charge: among remaining installments from 1 July 2020. determining whether tax residency is o mobile phones; acquired, or a permanent establishment is o integrated circuit established in Cyprus. The travel restriction mechanisms, such as Cyprus Enhances VAT Payment Extension for COVID-19 with period for Cyprus was 21 March to 9 June microprocessors and central Installment Option 2020. processing units, prior to their integration into end- A Newly voted Law 147(I)/2020, amended the VAT payment user products; and extension provided in response to COVID-19 so that payments may o game consoles, computer be performed in six installments. Following the new rule, payments tablets, and laptops; may be performed in six consecutive monthly installments by the o With respect to the reverse charge for 10th day of each month from November 2020 to April 2021 through high-value goods above, it is provided Cyprus tax portal. If payments are performed in a way not that the purchase of such goods by complying with the regulation, interest as well as 10% surcharge persons not registered for VAT will will be imposed. count towards determining if the registration threshold for VAT purposes is met; Cyprus Provides Further Extension for Submission of Individual o Rules regarding VAT refunds are Income Tax Returns and Payment for 2019 amended, including: o refunds will be suspended, The Cyprus Tax Department has announced a further extension of without interest, where the deadline for the submission of the individual income tax return income tax returns have not for the 2019 tax year and the payment of any tax due. Previously been submitted by the time a extended to 30 November 2020, the deadline is now extended to VAT refund claim is 15 December 2020. submitted; and o the time limit for submitting refund claims is set to 6 years from the end of the relevant tax period, unless the Tax Cyprus Allows Firms Longer To Pay VAT Due In Feb, March Commissioner approves an exception; Cyprus's Department of Taxation has announced businesses will be o Certain administrative rules are allowed more time to make their monthly value-added tax amended including: payments for the periods ending December 31, 2020, and January o the penalty for failing to 31, 2021. Tax for these two periods would normally be payable by timely submit a VAT return is February 10, 2021, and March 10, 2021, respectively. However, the increased from EUR 51 to EUR Tax Department allows businesses to instead pay in three equal 100, and a penalty of EUR 200 monthly instalments. For tax due for both periods, the first per return is introduced for installment may be paid by April 10, 2021, the second on May 10, cases where reverse charge 2021, and third on June 10, 2021. rules are not correctly applied, subject to a penalty cap of EUR 4,000; o the deadline for lodging an objection to an assessment of other decision or acts of the Tax Commissioner is formally set at 60 days; and o new rules are introduced regarding registration and deregistration of non- established persons carrying out taxable activities in Cyprus, which are persons that do not have a business establishment or any other fixed establishment in Cyprus
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs related to the activities being carried out; and o It is provided that the part of international passenger transport that takes place in Cyprus is zero-rated for VAT purposes. The amendments generally apply from 20 August 2020, although the new reverse charge rules for high-value goods are effective from 1 October 2020 and the new penalties for incorrectly applying reverse charge rules are effective from 1 July 2021.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Extension of increased payments and allowances Extensions for certain tax-related deadlines as a relief measure relating to the current pandemic Ministry of Finance extended until August 15 the increased payments for old-age, disability, income support, and alimony allowances. The period between 22 March 2020 and 31 May 2020 will not be Reporting and payment deadlines for VAT for counted as calendar days when determining the tax-related January and February 2020 are extended, as deadlines and certain terms detailed under certain sections of the follows: various Israeli tax laws. Among other things, the Regulations provide extensions to deadlines included in the tax laws referred to i. For dealers reporting VAT on a bi-monthly below. basis, the reporting and payment deadline has – In the Income Tax Ordinance, the deadlines: been extended to 27 April 2020; and – for the ITA's answer to a taxpayer's request for an APA; – for the allocation of ESOP held by a trustee; ii. For dealers reporting VAT on a monthly basis, – for submission of notification of certain tax-exempt the reporting and payment deadline has been reorganizations; extended to 26 March 2020. – for collection of tax debts; – for auditing tax returns (both in income tax and withholding tax); and
– for appeals to the ITA's income tax and withholding tax assessments and decisions. Israel Purchase Taxes Abolished PERMANENTLY – In the Value Added Tax Law, the deadlines: – for auditing and revising of VAT reporting; – for appeals to the ITA's VAT assessments and decisions; – for collection of VAT debts; and The Israeli government decided to permanently – for imposing a sanction by the ITA with respect of prohibiting abolish purchase taxes on a series of products to issuance of tax invoices. help Israelis cope financially and minimize the – In the Real Estate Taxation Law (Appreciation and Acquisition), economic impact of the COVID-19 pandemic. The the deadlines: purchase taxes and customs on certain products – for the issuance of certain written decisions by the ITA; had already been cancelled temporarily back in – for the submission of certain notifications that need to be 2017. However, the government decided on 7 submitted to the ITA; June 2020 to retain such temporary cancellation – for auditing and revising transaction values; and and make it permanent. – for appeals to the ITA's assessments and decisions.
Further deadlines are extended in other Israeli tax laws, such as: – the Customs Ordinance; The abolition of purchase taxes and customs – the Customs Regulations (calculating the value of goods imported duties will apply to, inter alia, mobile telephones, for self-use), 2006;
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs clothing and footwear, baby products, electronic – the Indirect Taxes Law (overpayment and underpayment of tax), entertainment equipment (television, screens, 1968; loudspeakers, etc.), home appliances, toys and – the Capital Investment Encouragement Law, 1959; games and cosmetics and perfumes. The – the Capital Investment Encouragement Provisions (indications for applicable rates before the cancellation were as innovation promoter enterprise), 2019; follows: – the Industry Encouragement (Taxes) Law, 1969; – the Purchase Tax Law (Goods and Services), 1952; Mobile phones 15% – the Fuel Excise Duty Law, 1958; and – the Property Tax and Compensation Fund Law and regulations. Clothing and textile 6% Extending the validity of withholding tax certificates Entertainment electronics 15-30% Withholding tax certificates set to expire on 31 March 2020 have Home appliances 6-12% been extended to 30 April 2020. Taxpayers that do not have withholding tax certificates may apply to the tax assessor through the public inquiries system or, in the case of representatives related Toys and games 12% to the ITA's online portal (SHA'AM), through the offices inquiries system. Baby products 12%
Extending the validity of tax coordination certificates dated 2019 Cosmetics 12% A blanket extension is granted for tax coordination certificates that expired at the end of 2019 until the date of salary payments for May 2020 and no later than 13 June 2020.Taxpayers that must conduct VAT Exemptions for Business Aid Grant recipients a new tax coordination or update an existing one may do so through the application for tax coordination on the ITA website or Ministry of Economy and Industry proposed that by application to the assessor's office for tax coordination through Business Aid Grant recipients be exempted from the public inquiries system. VAT under Regulation 3 of the VAT Regulations. The proposed amendment would be retroactive Postponing the first quarter online reporting deadline for financial from May 12, 2020 and remain in force until service providers December 31, 2021. The deadline for financial service providers for submitting online reports for the first quarter of 2020 has been extended until 10 May 2020. Israel Considering VAT Rate Cut in Response to COVID-19 Extending 2018 tax return filing deadline
The head of Israel's National Economic Council The deadline for filing 2018 tax returns, for which representatives has reportedly recommended a temporary VAT were granted an extension until 31 March 2020, will be rate cut from 17% to 12%. The temporary rate cut automatically extended until 30 April 2020. is meant to support businesses and boost consumer spending in light of the negative Postponed deadlines for submitting 2019 tax returns impacts of the COVID-19 pandemic. – The deadline for submitting 2019 tax returns for individuals not required to submit an online return has been extended until 30 June 2020 – The deadline for submitting 2019 tax returns for individuals required to submit an online return has been extended until 30 July 2020 – The deadline for submitting 2019 tax returns for corporations has been extended until 30 July 2020
Extension of deadline for filing annual reports and tax return requests
Ministry of Finance extended the possibility of filing annual reports and tax return requests online (instead of in-person) until July 31, 2020.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
Israel Provides Extension to 31 October for Annual Return Submission
The Israeli Tax Authority (ITA) issued a release on 30 September 2020 regarding an extension of the deadline for submitting annual tax returns in light of the continuing COVID-19 crisis. The release includes that the deadline is extended to 31 October 2020 for the submission of returns through online systems.
Israeli Parliament Approves Double Depreciation Rates
On 9 November 2020, the Finance Committee of the Israeli Knesset (parliament) approved regulations providing a temporary depreciation relief to support companies in light of the COVID-19 pandemic. This includes that straight-line depreciation rates for assets purchased from 1 September 2020 and 30 June 2021 may be doubled.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs Deferral of payment Exemption of stamp duty for contracts on special loans Update - Japan Tax Plans for 2021-22 Deferral of payment for up to 1 year when the gross income of a taxpayer has been significantly decreased (by about 20% or more in comparison The Japanese government's tax plans for 2021-22 include relief with a corresponding period in the previous year) for a certain period (1 month or longer) measures to offset the negative impact of the COVID-19 pandemic, on and after 1 February 2020 Stamp duty will be exempted for contractual including further offset relief for carried forward losses that would due to COVID-19, and the taxpayer is faced with difficulty to pay taxes or social security documents on preferential loans by financial allow 100% offset for five years instead of the standard 50%. contributions at once. These measures will be applied to national taxes, local taxes and institutions to business entities affected by social security contributions the payment due date of which comes between 1 February COVID-19 2020 and 31 January 2021. They will also be applied retrospectively when a payment due date has come before these measures take effect.
Net operating loss carry-back (NOL)
Currently refund via the carry-back of net operating loss (NOL) is available for small and medium-sized enterprises (SMEs) the registered capital of which is JPY 100 million or less. The NOL carry-back regime will be expanded to include middle-level enterprises the registered capital of which is between JPY 100 million and JPY 1 billion. These measures will be applied to NOL incurred in business years ending between 1 February 2020 and 31 January 2022.
SMEs' capital investment for telework
Equipment for telework (telecommuting) will be added to capital investment subject to special depreciation or tax credit under the tax regime to strengthen the business management of SMEs.
Change of choice to become business entity subject to consumption tax
Japan If the gross income of a business entity has been significantly decreased (by approximately 50% or more in comparison with a corresponding period in the previous year) for a certain period (1 month or longer), the business entity will be allowed to change its choice to be subject to consumption tax even after a taxable period has begun.
Reduction of local real estate property tax and city planning tax
With respect to the 2021 tax amounts of local real estate property tax and city planning tax on depreciable assets and buildings for businesses owned by SMEs, when the turnover of an SME has been decreased by 30% to 50% for a 3-month period between February 2020 and October 2020 in comparison with the corresponding period in the previous year, the tax base will be halved. If the turnover has been decreased by 50% or more, the tax base will be nullified.
Local property tax for productivity enhancement
In order to support the capital investment of SMEs, buildings and structures for businesses are added to the scope of depreciable assets, subject to special reduced tax rates for the realization of productivity enhancement. The period when the special measures are applicable will also be extended for 2 years to 31 March 2023.
Japan Tax Plans for 2021-22 Include Loss Carryforward Relief
The Japanese government is finalizing plans for tax measures for 2021-22 including relief measures to offset the negative impact of the COVID-19 pandemic. For companies, one of the main measures provides further loss relief. Under the latest plans, companies would be allowed to carry forward net operating losses and offset up to 100% of taxable income for up to five years, instead of the standard 50% offset limit. Where outstanding losses remain, the standard 50% offset limit would apply for the following five years. The current rules
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs provide that losses may be carried forward for up to 10 years, subject to a 50% of taxable income offset limit per year.
Tax Exemption for Anti-epidemic Fund Tax payment deadline extended Abolition of Doubled Ad Valorem Stamp Duty on The Inland Revenue Department has announced the implementation of profits tax and non-residential property transactions Tax payment deadlines for salaries tax, personal assessment and salaries tax exemption for Antiepidemic Fund provided to businesses or individuals from profits tax for the year of assessment 2018/19, which are between the year of assessment 2019/2020. This move will enable businesses and individuals to fully As a result of the economic downturn and April and June 2020, are automatically extended by 3 months. If benefit from the financial assistance under the Anti-epidemic Fund. The beneficiaries shall uncertainties surrounding the COVID-19 taxpayers have already settled the first payment, the deadline for be exempted from the payment of profits tax and salaries tax in respect of the assistance pandemic, prices and transactions for non- the second payment is automatically extended by 3 months from unless the sums are paid for general business activities and are not paid in a matching residential properties have eased noticeably for the date specified in the tax return. arrangement. a period of time, signαlling a slackening of market demand. The Government considers that Hong Kong Provides Installment Payment Relief for Taxpayers with Financial Difficulties in now is the appropriate time to abolish DSD as a Hong Kong Provides Additional Extension for Profits Tax Return Settling Tax Bills demand-side management measure. The Filing abolition of DSD could facilitate selling of non- The Hong Kong Inland Revenue Department has announced that taxpayers who encounter residential property by businesses that are The Hong Kong Inland Revenue Department (IRD) has published financial difficulties in settling their tax bills on time may apply for payment of tax by encountering financial predicament or liquidity a Circular Letter to Tax Representatives on an extension of the installments, without surcharge, in respect of tax demand notes issued for the year of needs because of the economic downturn, deadline for filing Profits Tax returns. This includes that the IRD has assessment 2019/20. Guidance on the payment relief includes the following regarding who mitigating the impact of the pandemic on Hong decided to extend the due dates for filing Profits Tax returns for can apply: Kong’s economy and business activities. 2019/20 with Accounting Date Code 'D' and Code 'M' from 15 --- September 2020 and 16 November 2020 to 30 September 2020 and Relief Measure: Conditional waiver of surcharges for instalment settlement of demand 30 November 2020, respectively. Code 'D' is for accounting dates notes for the Year of Assessment 2019/20 falling within 1 December to 31 December 2019 and Code 'M' is for Who can apply accounting dates falling within 1 January to 31 March 2020. Taxpayers who encounter financial difficulties in settling their tax bills on time may apply This is the second extension for Code 'D' returns, which was to the Inland Revenue Department (IRD) for payment of tax by instalments before the due previously extended from 17 August 2020 to 15 September 2020. It Hong Kong date of the tax demand notes. is the first extension for Code 'M' returns. The Inland Revenue Ordinance provides that a surcharge not exceeding 5% on the amount of tax outstanding after the due date may be imposed and a further surcharge not exceeding 10% may also be imposed on the amount remaining unpaid (including tax and 5% surcharge already imposed) after 6 months from the due date. To assist taxpayers (including individuals and companies) in making tax payments for the year of assessment 2019/20, for instalment plans approved by the IRD allowing taxpayers in financial difficulties for settlement of Salaries Tax, Profits Tax and Personal Assessment demand notes issued between August 2020 and August 2021 for the Year of Assessment 2019/20, provided that the instalment plans are duly adhered to, no surcharge will be imposed for a maximum period of one year counting from the respective due dates of the demand notes. If the tax demanded under the first instalment of the demand note has been settled on or before the due date and instalment plan is only granted for settlement of the tax demanded under the second instalment, the one-year period will count from the due date for the second instalment. If payments are not made according to the approved instalment plan, the instalment arrangement will be cancelled and a surcharge not exceeding 5% on the amount then outstanding will be imposed. Further surcharge not exceeding 10% may also be imposed on the amount of tax and 5% surcharge remaining unpaid 6 months after the date of imposition of the 5% surcharge. The above relief measure is not applicable to taxpayers who have to settle their tax liabilities before departing Hong Kong and taxpayers paying property tax.
FINANCIAL RELIEF MEASURES BY COUNTRIES AFFECTED FROM COVID-19 Source: International Bureau of Fiscal Documentation (IBFD), Orbitax Database & COVID-19 Financial Response Tracker by the Yale Program on Financial Stability (YPFS)- Data as on 26/04/2021 Direct Taxation - Social Security Contributions - VAT - Indirect Taxation - Country Tax Procedure - Deadlines - Tax Payments Various Tax Measures Allowances Customs
Hong Kong Announces Tax Relief In 2021-22 Budget
Hong Kong will grant taxpayers a waiver of up to HKD 10,000 (USD 1,290) of profits tax, salaries tax, and tax under personal assessment, the territory announced in its 2021-22 Budget. The Budget announces a one-off 100-percent reduction of profits tax, salaries tax, and tax under personal assessment for the year of assessment 2020-21, subject to a ceiling of HKD 10,000 per case. The tax reduction is not applicable to property tax, however, individuals with rental income, if eligible for personal assessment, may be able to enjoy such reduction under personal assessment.