The government has announced further measures to help small businesses mitigate the consequences of COVID-19.
The Normative Act for change in income tax states that businesses with a turnover of up to 14,000,000 ALL will not have to pay instalments of advance payments of profit tax for 2020. Businesses with a turnover of up to 5,000,000 ALL will benefit from a zero per cent profit tax.
Large businesses will still have to pay but will be able to postpone as far ahead as September 2021. Where previously they would pay profit tax instalments for the second and third quarter of 2020 in advance, the payments will now not be required until third quarter 2021.
These measures do not apply to taxpayers that conduct economic activities in the field of banking, telecommunications, pharmaceuticals, food products and fruit sales- businesses that have still operated during the pandemic.
Prepaid instalments have also been postponed for those who conduct activities in tourism, call centres, and factories.
