Key proposals of the anti-crisis shield
The following proposals regarding the anti-crisis shield are currently under consideration:
- exemption from paying social security contributions for 3 months for all self-employed and micro-entrepreneurs (up to 9 employees) whose income dropped by more than 50 percent compared to February 2020
- financing of employees' salaries up to 40% of the average salary, for all companies that will keep their employment on the same level
- postponing the deadline for submission and settlement of annual PIT until the end of May or June 2020
- postponing the entry into force of the new VAT matrix and JPK_VAT file from 1 April to 1 July 2020
- postponing the deadline for the advance payment to PIT for March and April to 1 June 2020 (applies to employment contracts, contracts of mandate, contracts for specific tasks and income from proprietary rights)
- possibility of resigning from simplified PIT/CIT advances for the months from March to December 2020 by small taxpayers who have opted for this form of advance payment for 2020 and are suffering the negative consequences of pandemic - advances will be settled on the basis of income actually generated in 2020
- settlement of the loss incurred in 2020 on the revenue for 2019 (up to PLN 5 million) - for this purpose in 2021, when the loss for 2020 will be known, a correction of the statement for 2019 will have to be submitted (condition: losses due to coronavirus resulted in a decrease in revenue by at least 50% compared to the revenue generated in the preceding year)
- exemption from PIT of "downtime" benefits paid on the basis of a special act to individual entrepreneurs and persons performing work under contracts of mandate or for specific tasks
- extending the deadline for payment of tax on commercial property income for March-May 2020 to 20 July 2020 {both in PIT and CIT, provided that the revenue (all and not only from buildings) falls by at least 50% compared to the same month of the previous year}
- the possibility of exemption from real estate tax for certain groups of entrepreneurs whose liquidity has deteriorated - for this purpose, a resolution of the municipal council will be needed, indicating who would benefit from the preferences
- possibility to extend the payment deadlines of property tax instalments for April, May and June up to 30 September 2020
We would like to remind you that starting from 17 March 2020 entrepreneurs who are in financial difficulties due to the coronavirus pandemic may:
- apply for a 3-month deferral of the deadline for payment of social security contributions covering the period from February to April 2020 or apply for a distribution of the dues into instalments;
- apply for suspension or extension of the payment of dues under the instalment system - this applies to the execution of the agreement concluded with the Social Insurance Institution (ZUS), in which the deadline for payment of instalments or contributions was set in the period from March to May 2020
The above solutions do not release from the obligation to pay deferred social security contributions in the future and the condition for granting the aid is submitting an application to the Social Insurance Institution.
What’s more, it is possible to apply for deferment of monthly VAT payment and income tax advances; however in this case it is necessary to file a well justified motion with the tax office.
Support from Crowe experts:
We offer advisory and support in drafting and submitting applications to the tax authorities and ZUS. Contact our advisor: tax@crowe.pl
