Anti-crisis shield 2.0 – update on the guidebooks

April 23, 2020

On April 18, 2020 the anti-crisis shield 2.0 entered into force, i.e. the Act on specific support instruments in connection with the spread of the SARS-CoV-2 virus (Journal of Laws of 2020, item 695).

Changes in terms of HR

The most important updates to the previous version of the shield, the version 2.0. introduced, were:

1. Downtime benefits

• It is possible to benefit from it more than once (but up to three times),
• It is possible to benefit from it more than once based on a statement of an authorized person,
• It is possible to benefit from it more than once, but not earlier than in the month following the month when the previous downtime benefit has been paid out.

The condition for granting the next downtime benefit will be demonstrating that the financial situation of the entrepreneur or the person working under the civil law contract has not improved.

2. Exemptions from ZUS contributions

• Update – applies to companies employing from 10 to 49 people
• Update – additionally included payers who are social cooperatives

In addition to companies employing between 1 and 9 employees, the shield 2.0 extends this exemption to companies employing between 10 and 49 employees.

Entitled to the exemption from paying ZUS contributions:

• before February 1, 2020 will be entities that as at February 29, 2020 registered the required number of insured persons for ZUS,
• in the period from 1st February to 29th February will be entities that as at March 31, 2020 registered the required number of insured persons for ZUS,
• in the period from 1st March to 31st March will be entities that as at April 30, 2020 registered the required number of insured persons for ZUS.

Moreover, in the case of self-employed persons and payers employing from 1 to 49 persons, the exemption for March will also be available if the contribution for that month has already been paid.

3. Waiving interest for delayed payments of ZUS contributions in the period from January 2020

This solution will be intended for payers of ZUS contributions who have difficulties in timely paying contributions due to COVID-19. They will be able to benefit from waiving interest for delayed payments of cotributions for the period from January 2020. This relief will apply to all payers – the size of the enterprise is irrelevant.

Withdrawal from charging interest will be possible if:

• contributions have already been paid, but after the statutory payment deadline, and as a result, interest has been charged; ;
• contributions have not yet been paid and their payment deadline has already expired.

Changes in terms of taxes

Updated was only parts related to loans.

1. One-time loan for costs of running business

The group of people entitled to receive support was expanded and every entrepreneur, not only employing employees, will be able to take advantage of a one-time loan. The loan with interest can be redeemed (at the request of a micro-entrepreneur) only if the micro-entrepreneur maintains business for 3 months from the date of granting the loan. The statement on maintaining the business for 3 months must appear in the loan application. The loan does not constitute income within the meaning of CIT and PIT regulations.

2. Co-financing of the costs of running the business by the starost

An entrepreneur may apply for co-financing of part of the costs of business. He is obliged to run a business for the period for which the subsidy has been granted, but not longer than 3 months from the month when the application was submitted.

3. Modification of loan agreements – First Business Program – start-up support

In connection with the outbreak of the coronavirus, you can submit an application to change the terms of your loan agreement. It must be submitted to a financial intermediary with whom it was concluded. Conditions that may change are:

• suspension of repayment of principal and interest installments – however, not longer than for 6 months. The suspension results in extending the loan repayment period.
• extension of the repayment period not longer than by 12 months, or
• reducing the interest rate of a loan to 0% per annum, however the rate will be in force not longer than for 12 months,
• extension of the grace period by no more than 6 months – only if no repayment of principal and interest installments has begun.

An entrepreneur can also submit an application to the financial intermediary for permission to:

• suspension of business activity before the expiry of 12 months – the period is counted from the first month in which the loan was used to start a business activity, or
• failure to maintain employment in a created workplace before the end of the 36-month period – the period is counted from the first month in which the employee was employed for the mentioned position.

The application may be submitted for no longer than 6 months. No negative consequences are then incurred (Article 61o (1), (1a), (2) or (3) of the Act of 20 April 2004 on employment promotion and labor market institutions). The reason and the period of suspension or vacancy of created position should be included in the application. An entrepreneur may apply to a financial intermediary for permission to terminate a business or to liquidate a job position within 36 months.

Click on the pictures to download our updated gudiebooks on the anti-crisis shield in Poland in terms of HR or taxes (UPDATES ARE IN RED):

Sources: ZUS.pl, gov.pl, PIT.pl

Authors: Jolanta Rustecki (HR), Ewa Kulesza (taxes)

Tags coronavirus anti-shield 2.0 loans, coronavirus help for employers in Poland