Corona measures

Dear,

The Federal and Flemish government have taken several temporary measures to financially help independents and companies during the Coronavirus crisis.

Panis can assist its clients if necessary with the application of the financial support which is explained below.  Companies who are not client of Panis we suggest to contact their accountant.

1. Guaranteed income for company directors and independents

Every self-employed person who is executing professional activities in main profession, and who needs to surrender the business due to the Coronavirus crisis (e.g. when you have less clients), can apply for a guaranteed income for the months of March and April of 2020.

The allowance can also be applicable to helpers in main profession and assisting spouses.

If the business has to be partly or completely suspended by execution of the Federal measures, no minimum period of interruption is required for the application. This situation is applicable to shops which are accessible to the general public.

Otherwise, the allowance can be applied for in case the professional activities have to be suspended for at least 7 consecutive calendar days during March and/or April.

In the application, the date on which the activities were suspended must be communicated, as well as the estimated date on which the activities will be restarted. Also a well-defined reason for temporary discontinuation of the activities must be reported, based on one’s specific situation.

The guaranteed income amounts to 1.291,69 EUR (1.614,10 EUR with family charge) per month.

If you want Panis to apply for the guaranteed income for company directors and independents, we kindly request you to fill the document which was send by e-mail.  If you did not receive the e-mail, please contact us to receive the form. 

2. Extension, exemption or reduction for payment of social security contributions

Every independent in main profession and assisting spouse can apply for an extension or exemption for payment of the provisional social security contributions for the 1st and the 2nd quarter of 2020. In that case the social security contributions for the 1st quarter 2020 will have to be paid before 31 March 2021 and those of the 2nd quarter 2020 before 30 June 2021.

Besides an extension or exemption, an independent may also apply to reduce the provisional security contributions, if the professional income for the year 2020 will be lower than one of the following legal thresholds:

Legal thresholds for independent in main profession

Income limit Quarterly contribution
   
< 13.933,78 EUR 739,05 EUR
< 17.631,06 EUR 931,15 EUR
< 22.213,74 EUR 1.173,18 EUR
< 27.987,56 EUR 1.478,11 EUR
< 39.580,39 EUR 2.090,36 EUR
< 55.975,11 EUR 2.956,22 EUR

Legal thresholds for assisting spouses

Income limit Quarterly contribution
   
< 6.117,47 EUR 324,67 EUR

In case of a reduction or an exemption of social security contributions, one must substantially motivate and prove with evidence the reason for the application, taking into account the one’s specific situation. Moreover, an exemption of social security contributions for a certain quarter cannot be combined with the withdrawal of a salary during the same period.

If you want Panis to apply for an extension, exemption or reduction of social security contributions, we kindly request you to fill out the document which was send by e-mail.  If you did not receive the e-mail, please contact us to receive the form.

3. Extension for payments of taxes and social security contributions for employees

The Belgian government has taken additional measures for companies and independents to soften the financial consequences of the corona virus.

a) With respect to the payment of VAT and withholding taxes on salaries, the payment date is automatically extended with a period of 2 months without penalties and interests.

The extension applies to the following VAT declarations:

- payment for the VAT declaration of February 2020: payment date extended till 20 May 2020

- payment for the VAT declaration of March 2020: payment date extended till 20 June 2020

- payment for the VAT declaration of the 1st Quarter 2020: payment date extended till 20 June 2020

The extension applies to the following declarations for withholding taxes on salaries:

- payment for the declaration of February 2020: payment date extended till 13 May 2020

- payment for the declaration of March 2020: payment date extended till 15 June 2020

- payment for the declaration of the 1st Quarter 2020: payment date extended till 15 June 2020

Besides the aforesaid payment extensions which are automatically granted, a company or independent can apply in writing to request a payment plan, exemption for interests on arrears and/or cancellation of penalties for late payment.

b) Regarding the payment of personal taxes, company taxes, taxes for non-resident companies, taxes for non-resident persons and taxes for legal persons, the payment date is automatically extended with a period of 2 months without penalties and interests for tax bills with respect to tax assessment year 2019 which are issued as from 12 March 2020.

Besides the aforesaid payment extension which is automatically granted, a company or independent can apply in writing to request a payment plan, exemption for interests on arrears and/or cancellation of penalties for late payment.

c) With respect to the payment of social security contributions for employees, the payment date is extended till 15 December 2020.

- The payment date is automatically extended for companies or independents which are forced by the Federal rules to partly or completely suspend their business activities. Panis emphasizes that this situation applies to shops accessible to the general public.

- For other companies which will suffer from a drastic loss in economic activities during the 2nd quarter of 2020, the government will work out a set of instructions. Panis will keep you updated on this matter.

- The extension applies to all payments with respect to social security contributions for employees as from 20 March 2020 onwards.

If you want Panis to apply for a payment plan for VAT, taxes or social security contributions for employees, we kindly request you to fill out the document which was send to you by e-mail.  If you did not receive the e-mail, please contact us to receive the form. 

4. Hindrance or closure premium

Every independent or company which is forced by Federal guidelines to suspend the business activities partly or completely, can apply for a hindrance or closure premium.

Businesses that need to close completely, will receive a one-time premium of 4.000 EUR. Business that need to close during the weekend, will receive a one-time premium of 2.000 EUR.

If the Federal measures are extended after the 4th of April onwards, the business will receive a premium of 160 EUR per compulsory closing day which would be an opening day under normal circumstances.

For one location, the hindrance or closure premium will be allowed to maximum one enterprise number within the same NACE activity code.

Panis emphasizes that this measure is applicable to shops which are accessible to the general public.

If you want Panis to apply for the hindrance or closure premium, please fill out the document which was send by e-mail.  If you did not receive the e-mail, please contact us to receive the form. 

5. Extension for payments of home loans and business credit facilities

Financial institutions allow companies to extend the payments of their credit facilities till 30 September 2020 without charging extra expenses, if they did not have arrears in payment on the 1 February 2020, or if the arrears in payment were less than 30 days on 29 February 2020.

Also individuals with a mortgage loan can request to their bank an extension for payments of interest – and capital instalments till 30 September 2020, without extra expenses.

Companies and individuals must apply for an extension for payments from the bank, as it is not granted automatically. Borrowers need to prove that their inability to pay the loans and credit facilities on time is due to the Coronavirus crisis.

Panis emphasizes that you need to contact your bank personally for an extension of payment with respect to your credit facilities, both for your company and your private situation.