Considerations for hotels that need to temporarily close[SERBIAN]
The set of economic measures for mitigation of crises
Serbia adopts the support package to support its economy
Governments around the world, including the SEE region, have issued a series of economic and tax measures in order to minimize the impact of the pandemic on its citizens and economic. This overview outlines said measures, focusing on the main areas.
The Government of the Federation of Bosnia and Herzegovina pronounced the state of emergency caused by COVID-19 on 16 March 2020.
Central Bank / Financial measures
Federation of Bosnia and Herzegovina
Republic of Srpska
The International Monetary Fund (IMF) will put at disposal cca. EUR 165 mln to BiH. These are funds provided through a special line of credit that is approved in cases of emergency or under special circumstances. The credit will be approved in a speedy procedure, with the funds expected to become operational for BiH in May.
On 24 March 2020, the State of Emergency Act was promulgated in the State Gazette. The Act will come into force with retroactive effect as of 13 March 2020 except for some provisions which will come into force on the date of the promulgation.
On 26 March 2020, the state of emergency in the country was extended to 12 April 2020.
On 30 March 2020, the Council of Ministers has published a decree about the retention program (“the 60/40 measure”). By this measure, the state aims to support employers from specific sectors (retail trade, hotels, restaurants and bars, cinemas, tourist and tour operator activities, etc.) by covering 60% of the salaries of the employees and part of the employer`s insurance contributions. Some of the conditions for companies to be eligible to apply are:
Other companies eligible for government assistance will be able to apply by declaring a 20% drop in sales. March will be used as a reference month.
General rules applicable
Financial statements submission
Transparency report publication
Incentive of Croatian Employment Bureau
The conditions for the incentive are that the employer has a reduced volume of business activities due to the COVID-19 crisis.
Some taxes’ payments have been postponed 3 months from the original due date. Such deferred amounts may be paid in installments over up to 24 months. The deadline for filing financial statements for 2019 to FINA will be prolonged.
VAT on donations and imports
European structural and investment fund (ESIF) microloans for working capital
COVID-19 loans for working capital
On 18 March 2020, the Hungarian Government introduced amendments to tax and social security law as a response to the economic effects of the coronavirus outbreak.
Social security incentives
Modified social security rules shall be applied for the period of March-June 2020 to the following sectors:
The rules for social security contributions in the above sectors have been amended as follows:
Simplified lump-sum taxation amendments
Special rules will be applicable for sole proprietors who opted for simplified lump-sum taxation (known as ‘KATA’ in Hungarian). Based on the amendments such sole proprietors are not obliged to pay lump-sum tax in the March-June 2020 period.
Surtax on credit institutions and the retail sector
Allowance During The Labor Contract Suspension
Allowance for “technical unemployment” from public funds shall be borne from the unemployment insurance budget, in accordance with the ordinance, under the following conditions:
Measures implemented by Romanian Tax Authorities
Bonuses to the corporate income tax
5% for large taxpayers;
10% for medium and other taxpayers.
Legislation providing emergency measures has been enacted and is effective as of 29 March 2020. In addition, the National Assembly on 2 April 2020 passed legislation that is intended to mitigate the effects of the COVID-19 pandemic on citizens and the economy. The legislation has an effective date 11 April 2020.
Central Bank measures
Ministry of Economic Development and Technology
Slovenian Export and Development Bank
Ministry of Labour