COVID-19: Support for businesses and citizens to be expanded

Mar 10, 2021 Benn-Ibler Rechtsanwälte

The "loss of earnings bonus" (Ausfallsbonus) (Regulation on the Loss of Earnings Bonus (Verordnung Ausfallsbonus), BGBl. II No. 74/2021), the turnover compensation (Umsatzersatz) for indirectly affected persons (Regulation on the Lockdown Compensation for Turnover II (Verordnung Lockdown-Umsatzersatz II), BGBl. II No. 71/2021) and the higher aid framework were introduced mid-February 2021. Numerous bills are in the planning stage, such as the extension of tax deferrals and short-time work. In the 85th session of the National Council, which took place on 24.02.2021, these and other important support and assistance measures were adopted.

According to the Federal Ministry of Finance (Bundesministerium für Finanzen, BMF), the “loss of earnings bonus” is available for "any company that suffers at least a 40 percent loss of turnover in one of the calendar months in the period from November 2020 to June 2021 [...]." Companies that were not closed during the lockdown or that are not eligible to apply for Lockdown Turnover Replacement II (Lockdown-Umsatzersatz II) can thus also claim this assistance. Provided all the conditions are met, this can also be obtained if the company has already received other aid. In addition to the possibility of applying for the default bonus, companies can also apply for the Lockdown Sales Replacement II, which is aimed at companies that did not have to close due to the lockdowns in November and December, but were nevertheless indirectly significantly affected by the lockdowns (in the sense of the guidelines set out in the Lockdown Sales Replacement II Regulation).

Planned measures include the increase of unemployment assistance, the extension of tax deferrals and short-time work as well as the tax component of the “home office package” (Homeoffice-Paket). Special tax regulations that would expire at the end of March are to be extended until the end of June 2021. This concerns, for example, the tax exemption of ethanol for the production of disinfectants, the granting of the commuter allowance and the tax-free handling of allowances and bonuses despite home office, quarantine or short-time work. Fee exemptions and special regulations in connection with official acts under tax law or fiscal penal law are to continue to apply.

Agenda of the 85th NR session, Parliamentary correspondence, website BMF (24.02.2021)