The Federal Government has launched a new programme, "Bridging Aid II", to support businesses affected by the coronavirus crisis. This covers the period September to December 2020. Compared with "Bridging Aid I", the access conditions have been eased and the subsidy rates increased. Applications can be submitted immediately.
Application Conditions
- Turnover decline of at least 50% in two consecutive months in the period April to August 2020 compared with the respective months of the previous year OR - Average turnover decline of at least 30% in the months April to August 2020 compared with the same period in the previous year
Increased Subsidy Rates
- 90% of fixed costs where turnover has fallen by more than 70% (previously 80% of fixed costs) - 60% of fixed costs where turnover has fallen by between 50% and 70% (previously 50% of fixed costs) - 40% of fixed costs where turnover has fallen by more than 30% (previously 40% of fixed costs) - The personnel cost flat rate is increased from 10% to 20%
Further Improvements
- The caps of 9,000 € and 15,000 € previously applying to businesses with few employees but high fixed costs have been removed. - At the final accounting stage, additional payments are now possible in addition to reclaims.
Applications can, as before, only be submitted through registered tax advisers, auditors, and since 10 August 2020 also through solicitors.