COVID-19 Countermeasures in Albania

General rules applicable:

• When all workers are employed in a company, they will work provided that they should be in such a way that prevents them from grouping, i.e. the employer will provide for social distancing. In this relation, employers can introduce the so-called "Flexible working hours" or working hours with variable limits.
• The employer shall not grant access to the office to a sick or a quarantined employee.
• The employer issues an authorization to each employee (if deemed appropriate) in order for him to move in the city without having any troubles with police officers. Also permission from the police for the vehicles is required.

“Fiscal Package no. 1”

Beneficiaries of the financial assistance amounting to ALL 26,000 are:

• Employees in entities with annual turnover under ALL 14 million, that have closed the activity as a result of the orders of the Minister for Health and Social Protection.

“Fiscal Package no. 2”

Beneficiaries of the financial assistance amounting to ALL 40,000. Provision of financial assistance for current employees and dismissed employees, as follows:

• Employees in entities with annual turnover over ALL 14 million, that have closed the activity as a result of the orders of the Minister for Health and Social Protection;
• Former employees in entities who have been permitted to carry forward their activity, who have been dismissed during the period from the entry into force of the orders of the Minister for Health and Social Protection until 10.04.2020 and have been declared as dismissed through the submission of the E-sig-27/a within 10.04.2020;
• Employees in entities that carry forward their activity as accommodation facilities;

Employees in entities with annual turnover up to ALL 14 million, that have been permitted to carry forward their economic activity and have been working in the date of entrance into force of the abovementioned orders, except for:

• Individuals that benefit the financial assistance as former employees, based on point 2) of the list of beneficiaries above;
• Employees of the following entities that are permitted to carry forward their activity:

• Trade of food products, fruits and vegetables as well as pharmacy; as well as
• Advocate, notary, specialist physician, pharmacist, nurse, veterinarian, architect, engineer, physician-laboratory technician, designer, economist, agronomist, registered accounting expert, certified accountant and property appraiser

A common criteria for all the beneficiaries listed above is to have been employed and to be listed on the payrolls of the respective entities at least until the date of entry into force of the orders of the Ministry of Health and Social Protection.

Are exempt from benefiting the financial assistance based on this Decision:

• Employed individuals, who during 2019 have generated gross income from salary over ALL 2 million;
• Individuals that are employed in more than one entity, if at least one of the activities where the individual is employed is listed in point 4).b).ii. above;
• Employees in businesses with annual turnover up to ALL 14 million, that have closed their activity due to the orders of the Ministry of Health and Social Protection, that benefit financial assistance to the amount of ALL 26,000 (part of the also knows as Fiscal Package no. 1);
• Employees of state institutions as well as employees in entities with state capital;
• Employees of non-for-profit organizations.

The Prime Minister of the Republic of Albania and the Governor of the Bank of Albania have ordered the postponement of the repayment term of the loan installments to the business entities and individuals until 31.05.2020. This measure applies to all borrowers who have experienced difficulties during this period as a result of COVID-19.

All lessees natural / legal persons with incomes up to ALL 14 million per year, who have a notarial lease contract for the development of their economic activity, signed prior to the declaration of the state of the epidemic, whether it is permitted or prohibited activity as a result of the situation caused by Covid-19, will not pay the rent for two months, April and May 2020.

Extension of tax returns

• Settlement of payable Corporate Income Tax based on the annual CIT return, after deduction of CIT pre-payments and credit of foreign tax. This is applicable to taxpayers subject to corporate income tax with an annual turnover < ALL 14 million. Deadline is extended from 31-Mar to anytime between 1st of July up to 31st of December 2020.
• Prepayment of quarterly corporate income tax installments for year 2020. This is applicable to taxpayers subject to corporate income tax with an annual turnover < ALL 14 million. Deadline is extended from 30 March, 30 June, 30 September, 30 December to anytime within 31 Dec 2020.
• The submission deadlines for VAT and withholding tax remains unchanged.

Financial statements filing and signature

• Submission of the annual financial statements and the statutory audit report (where obligatory) in the e-tax system, applicable to all taxpayers subject to corporate income tax. Deadline is extended from 31-Mar to 31 Jul 2020.

Extension of deadline for submission of Financial Statements

• The deadline for submission of the Financial Statements of financial year 2019, together with its annexes, is extended to 31 July 2020. This provision generally applies to all entities, without exemption, that are subject to income tax and/or prepare Financial Statements in accordance to law no. 25/2018 “On Accounting and Financial Statements”.

Extension on deadlines for payment of income tax and income tax instalments for taxpayers reporting annual turnover up to ALL 14 million.

• Corporate income tax calculated on the basis of 2019 annual income tax return, is payable to the tax authorities account within the second half of 2020; instead of 31 March 2020, applicable prior to this change.
• The deadlines for the payment of corporate income tax installments of fiscal year 2020 is 31 December 2020.
• The deadline for submission of the Financial Statements of financial year 2019, together with its annexes, is extended to 31 July 2020. This provision generally applies to all entities, without exemption, that are subject to income tax and/or prepare Financial Statements in accordance to law no. 25/2018 “On Accounting and Financial Statements”.

Other restrictions

• All citizens wishing to go outside their house for different reasons like shopping for groceries, medical reasons, etc. should request permission from the Government. These permissions is granted for 3 hours. This carried out through a phone message or by applying online.
• All citizens, equipped with aforementioned permission, are allowed to be outside their homes during 05:00 -17:30 hours from Monday-Friday. Movements are not allowed in the weekend (Friday 17:30 – Monday 05:00 hours.)
• In case a citizen is found moving without proper authorization, he is fined
• Visits to parks, playgrounds and sports grounds are prohibited
• All educational institutions - schools, kindergartens and universities remain closed. The training is conducted remotely for students
• Mass events in cinemas, theaters, concerts, museums, conferences, SPA centers and gyms are prohibited

Closing of bars, restaurants, fast food, coffee shops and other facilities that provide customer services in the entire country, until the end of the epidemic caused by COVID-19. The exception to the rule set out above shall be only for home delivery, which must be carried out in accordance with approved hygiene rules.

The following remain open under strict compliance with the sanitary and hygiene requirements:

• Banks and insurance offices institutions
• Grocery stores and pharmacies
• Shops outside trade centers
• Restaurants only with deliveries
• Gas stations

Cancellation of administrative measures taken

All administrative measures and fines imposed by the relevant state authorities, for violating the rules or legal and sub-legal acts issued within the measures taken to prevent and combat infection caused by COVID-19, starting from the moment of ascertainment of this disease in the territory of the Republic of Albania until 17.4.2020. (is going to be extended until 23 June 2020)