The extended crisis shield - support for more entrepreneurs and greater job protection - was signed by the President. Changes in relation to the original shape of the disc concern, among others, parking benefits and exemptions from ZUS contributions. What will entrepreneurs expect? What will change? Explain.
Expanding the crisis shield is a number of changes that will protect an even larger group of entrepreneurs and more jobs. They concern, among others, the parking benefit and exemption from ZUS contributions. What will change?
Parking benefit. Long-term support
The extended crisis shield provides for the possibility of re-granting a parking benefit – no more than three times. Importantly, the Council of Ministers will be able to decide on further payments by regulation.
As in the case of a parking car, the time limit for registration in ZUS is changed – from 1 February to 1 April 2020 Entrepreneurs who started after 1 February, Although they are in a very difficult situation, they could not benefit from the exemption. Shield 2.0 It changes.
A parking benefit is intended for all non-agricultural economic activities, both self-employed and employing workers and persons working under civil law contracts, if they fulfil certain conditions. The re-allocation of the parking benefit may take place no earlier than the month following the month of payment for the time being. first the benefit. The condition is to show in a statement that the material situation has not improved.
Companies operating recently will not be without help
So far, the parking benefit could be used by entrepreneurs who started their business before 1 February 2020 The same period was applicable when the date of conclusion of the civil law contract was set. Shield 2.0 amends this period to 1 April 2020
What does that come from?
Significant deterioration of business conditions for entrepreneurs, as well as for payers or contracting entities concluding civil law contracts, has occurred In the second mid-March and in April, after the announcement of the state of emergency epidemic and the introduction of security rules consisting, inter alia, in the restriction or closure of service and commercial activities.
The deterioration of the operating conditions and implementation of civil law contracts has particularly affected the new start-ups. Now they will also be able to count on support.
No more income limit for entrepreneurs
The Act also abolishes the condition that entrepreneurs achieve income below 300% average monthly remuneration from the previous quarter (currently this is the amount 15,595.74 PLN).
Why the change? Many entrepreneurs achieve revenue above this amount at the same time with very high revenue costs. Very often these are fixed costs independent of revenues and turnover that have been significantly reduced in connection with coronavirus epidemics.
This applies particularly to industries with low margins such as trade and small services. They have a very different situation than those performing civil law contracts for which the cost of obtaining income is fixed, and in the case of work contracts favourable at the level 50% revenue obtained.
Therefore, the income ceiling for civil law contracts would remain unchanged, i.e. below 300% an average monthly salary.
A waiver from contributions. Not only will microfirms benefit
The anti-crisis shield in its original shape assumed, among other things, the release of microfirms, which per day 29 February this year hired to 9 persons, from contributions from the Social Security Office for the period 3 months (March–May). These are both contributions due for the entrepreneur and for his employees. Equally, individuals with a single business activity – paying contributions only for their own insurance – can benefit from the possibility of exemption from the obligation to pay contributions.
Act of 16 April 2020 extends the range of entities exempt from contributions. In practice, this means that entrepreneurs employing 10 to 49 persons subject to social insurance will be exempt from contributions of 50% the total amount of unpaid contributions shown in the statement of account for the month in question.
In addition, all social cooperative contributors – regardless of the number of employees – will be exempted from contributions. The number of persons covered by social insurance which limits the possibility of benefiting from an exemption from the contribution will not include youth workers.
Exemption also for new companies
As in the case of a parking car, the time limit for registration in ZUS is changed – from 1 February to 1 April 2020 Entrepreneurs who started after 1 February, Although they are in a very difficult situation, they could not benefit from the exemption. Shield 2.0 It changes.
At the same time, the right of exemption for contributors who have already submitted applications under the current conditions and new arrangements have been introduced to determine the number of insured payers who have started to operate after 1 February, but before 1 April 2020 For payers who started between 1 February a 29 February, would be a time limit 31 March, and for start-ups between 1 March a 31 March is the time limit 30 April 2020
The March contribution paid? There's an answer.
At the same time, for contributors to contributions who were exempted (reporting to the insurance of other persons), the possibility was introduced to exempt the premium for March despite its payment. The payers, not knowing the details of new solutions, often paid at the expense of savings first an exemption premium. It's a good solution.
The solution that has been applied for a long time by entrepreneurs – in the event of financial problems – is also a relief in the payment of contributions (thanks to the crisis shield – without a prolongation fee), a postponement of the payment period or a distribution of social security contributions.
The proposed aid concerns all contributors, including paid social security contributions for the entrepreneur and persons working for him. Shield 2.0 introduces further exemption from interest payments on contributions due for the period after the date 31 December 2019
All other details about the law contained in the Crisis Shield can be found in our Guide: www.russellbedford.pl/services/anti-crisis guide