After the “Refreshments” come the “Supports”: more money, but will it be enough?
The decree of economic aid to the economy affected by covid-19 is delayed, although with a certain delay because a profound rewriting was needed to erase the major distortions left by the draft of the Conte government. We had a nice transition from Conte's “ Ristori ” to Draghi's “ Sostegni ”, a first lexical change.
Let's see the essential points:
Self-employed workers : to be eligible for support, it is necessary to demonstrate a decrease in turnover in 2020 equal to or greater than 30% compared to 2019 (in the previous compensation it was 33%). The aid will range from one thousand euros for individuals to 2 thousand up to 150 thousand euros for companies and will also cover startups. A sort of staggering of reimbursements is envisaged over 5 bands:
- 60% of the loss for VAT numbers (therefore companies and professionals) who have invoiced within 100 thousand euros,
- 50% for turnover between 100 thousand and 400 thousand euros,
- 40% for turnover between 400 thousand euros and one million euros,
- 30% between one million and 5 million euros
- 20% between 5 and 10 million euros.
The contributions of the old Relaunch decree instead provided for percentages of 20, 15, and 10% on revenue and compensation bands of up to one million euros, so we can say that there has been greater generosity in the current government.
Tax. Supports are foreseen for VAT numbers for a sum equal to 11.5 billion euros. The commitment is to have the transfers credited from 11 April and complete the process by 30 April. We will proceed with a self-certification to be presented within 60 days of the opening of the channel.The Minister of the Economy Daniele Franco, presenting the provision to the majority forces, specified that there will be the option of receiving support as a monetary amount or as a tax credit on the amounts to be paid.
Contributive White Year. The self-employed will obtain confirmation of the contributory white year for which 1.5 billion euros are allocated. So no fixed quotas for the self-employed without income.
Therefore, the Sostegni decree provides for the refinancing of the forms of redundancy fund used so far which will allow their extension, in a staggered manner, until October, and therefore also the refinancing of forms of social support such as NASPI and the so-called "Fragile workers ".
What can we say about what is contained in this draft law decree: it is certainly a big step forward compared to the old "Refreshments", with much more consistent figures, but which certainly do not compensate for the losses of the companies and will hardly be able to compensate for the costs fixed. A help, true, but we must think of a subsequent decree that favors the real restart and, perhaps, the birth of new activities. Why not think of a "No Tax Area" for self-employed workers up to a certain level with a lower contribution in exchange for a slight increase in the retirement age, all on a voluntary basis?
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The article After the "Refreshments" come the "Supports": more money, but will it be enough? comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/dopo-i-ristori-arrivano-i-sostegni-piu-soldi-ma-saranno-sufficiente/ on Fri, 19 Mar 2021 10:24:54 +0000.