{"id":65059,"date":"2020-03-30T16:02:26","date_gmt":"2020-03-30T14:02:26","guid":{"rendered":"https:\/\/blog.hellotax.com\/blog\/?p=65059"},"modified":"2021-02-01T14:22:47","modified_gmt":"2021-02-01T13:22:47","slug":"coronavirus-vat-guide","status":"publish","type":"post","link":"https:\/\/hellotax.com\/blog\/coronavirus-vat-guide\/","title":{"rendered":"Coronavirus Guide \u2013 VAT Changes in Europe"},"content":{"rendered":"\n<p>Due to the COVID-19 pandemic, countries all around the world change their tax systems, delay payments or returns, and try to ensure a smooth handling during the crisis. It also means that not everywhere it will be possible to keep current processes running like we are used to it. Of course, this will also have an impact on VAT in Europe.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" width=\"1024\" height=\"536\" src=\"https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2020\/03\/Corona-VAT-Update-1024x536.jpg\" alt=\"\" class=\"wp-image-65061\" srcset=\"https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2020\/03\/Corona-VAT-Update-1024x536.jpg 1024w, https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2020\/03\/Corona-VAT-Update-300x157.jpg 300w, https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2020\/03\/Corona-VAT-Update-768x402.jpg 768w, https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2020\/03\/Corona-VAT-Update.jpg 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p><strong>Last update:<\/strong> 25.05.2020<\/p>\n\n\n\n<hr class=\"wp-block-separator is-style-default\"\/>\n\n\n\n<p>Before we get started, maybe a few words of\nintroduction. We are in an exceptional situation with the COVID-19 pandemic,\nwhich is affecting ALL sectors &#8211; no matter if businesses or our daily life.<\/p>\n\n\n\n<p>Even if we as a remote company are lucky enough to\nbe able to maintain our operations as far as possible, there are many areas\nwhere this is not possible. For example, although tax offices throughout Europe\nare currently trying to provide quick help, the completion of monthly tasks may\nwell be delayed. At present, no penalties are to be expected for this, there is\nsimply no other way and we want to make sure you are aware of that.<\/p>\n\n\n\n<p>Amazon, for example, has also made some changes,\nand has, for example, controlled deliveries to fulfilment centres, switched off\nAmazon Merch in the US, but at the same time promised immediate help for\ncertain retailers.<\/p>\n\n\n\n<p>We will update this article on a daily basis,\nprovide as much assistance as possible and if you need some further\ninformation, please reach out to us or join our facebook groups to hopefully\nfind the help you are looking for as soon as possible! <\/p>\n\n\n<div class=\"cta-shortcode cta-shortcode-normal \"><div class=\"cta-image\"><figure><img decoding=\"async\" src=\"https:\/\/hellotax.com\/blog\/wp-content\/uploads\/2019\/10\/Samer.jpg\" alt=\"\"><\/figure><\/div><div class=\"cta-content\"><h3 class=\"font600\">Book a free consultation<\/h3><p>Our VAT experts are happy to help you. Book a free consultation today!<\/p>\n<div class=\"button-container\"><a href=\"https:\/\/hellotax.com\/contact-us?button=blog\" class=\"button button-secondary uppercase\">Free consultation<\/a><\/div><\/div><\/div>\n\n\n\n<p>Most important: Stay healthy and (if possible) stay at home! Now some hard facts, what changes in terms of VAT. <\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Table of Contents<\/h2>\n\n\n\n<p><\/p>\n\n\n\n<div class=\"wp-block-columns is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p><a href=\"#section1\" class=\"_ps2id\">\u2193 Austria<\/a><br \/>\n<a href=\"#section2\" class=\"_ps2id\">\u2193 Belgium<\/a><br \/>\n<a href=\"#section3\" class=\"_ps2id\">\u2193 Bulgaria<\/a><br \/>\n<a href=\"#section4\" class=\"_ps2id\">\u2193 Croatia<\/a><br \/>\n<a href=\"#section5\" class=\"_ps2id\">\u2193 Cyprus<\/a><br \/>\n<a href=\"#section6\" class=\"_ps2id\">\u2193 Czech Republic<\/a><br \/>\n<a href=\"#section7\" class=\"_ps2id\">\u2193 Denmark<\/a><br \/>\n<a href=\"#section8\" class=\"_ps2id\">\u2193 Estonia<\/a><br \/>\n<a href=\"#section9\" class=\"_ps2id\">\u2193 Finland<\/a><br \/>\n<a href=\"#section10\" class=\"_ps2id\">\u2193 France<\/a><\/p>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p><a href=\"#section11\" class=\"_ps2id\">\u2193 Germany<\/a><br \/>\n<a href=\"#section12\" class=\"_ps2id\">\u2193 Greece<\/a><br \/>\n<a href=\"#section13\" class=\"_ps2id\">\u2193 Hungary<\/a><br \/>\n<a href=\"#section14\" class=\"_ps2id\">\u2193 Ireland<\/a><br \/>\n<a href=\"#section15\" class=\"_ps2id\">\u2193 Italy<\/a><br \/>\n<a href=\"#section16\" class=\"_ps2id\">\u2193 Latvia<\/a><br \/>\n<a href=\"#section17\" class=\"_ps2id\">\u2193 Lithuania<\/a><br \/>\n<a href=\"#section18\" class=\"_ps2id\">\u2193 Luxembourg<\/a><br \/>\n<a href=\"#section19\" class=\"_ps2id\">\u2193 Malta<\/a><br \/>\n<a href=\"#section20\" class=\"_ps2id\">\u2193 Netherlands<\/a><\/p>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><p><a href=\"#section21\" class=\"_ps2id\">\u2193 Norway<\/a><br \/>\n<a href=\"#section22\" class=\"_ps2id\">\u2193 Poland<\/a><br \/>\n<a href=\"#section23\" class=\"_ps2id\">\u2193 Portugal<\/a><br \/>\n<a href=\"#section24\" class=\"_ps2id\">\u2193 Romania<\/a><br \/>\n<a href=\"#section25\" class=\"_ps2id\">\u2193 Slovakia<\/a><br \/>\n<a href=\"#section26\" class=\"_ps2id\">\u2193 Slovenia<\/a><br \/>\n<a href=\"#section27\" class=\"_ps2id\">\u2193 Spain<\/a><br \/>\n<a href=\"#section28\" class=\"_ps2id\">\u2193 Sweden<\/a><br \/>\n<a href=\"#section29\" class=\"_ps2id\">\u2193 Switzerland<\/a><br \/>\n<a href=\"#section30\" class=\"_ps2id\">\u2193 United Kingdom<\/a><\/p>\n<\/div>\n<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section1\">AUSTRIA<\/h2>\n\n\n\n<p>As a result of the corona\ncrisis, the Austrian authorities have introduced a number of changes in VAT law\nand in the handling of VAT returns and debts, in order to relieve companies and\nindividuals during the current crisis. The Austrian Ministry of Finance has\ninitiated the following changes: <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Businesses can\napply for the deferral of VAT and penalty payments<\/li><li>They can also\napply for tax deferral or payment by instalments<\/li><li>Deferral\ninterest and late payment penalties can be reduced or waived<\/li><li>Income and\ncorporate tax prepayments in 2020 will be reduced<\/li><li>Individual extensions\nof the monthly VAT returns can be granted by the tax office<\/li><li>Tax audits are\nsuspended<\/li><li>All deadlines\nfor appeals are moved to 1 May 2020<\/li><li>No stamp tax\nduties will be levied on any documents that are related to any measure in\nconnection with COVID-19 \u2013 no matter if directly or indirectly related<\/li><\/ul>\n\n\n\n<p>The BMF has also promised an unbureaucratic extension of the deadline\nfor submitting monthly VAT returns if taxpayers are affected.<\/p>\n\n\n\n<p>These changes must be requested by the taxpayer from the responsible authority and do not apply automatically. The competent bodies have been increased, both in terms of staffing and funding, to ensure faster processing. Furthermore, during the crisis, the bureaucratic burden is also to be reduced to a minimum.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section2\">BELGIUM<\/h2>\n\n\n\n<p>The Belgian tax authorities have introduced extensions\nfor periodic VAT returns, payment deadlines and the submission of EU sales\nlists.<\/p>\n\n\n\n<p><strong>VAT RETURNS<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deadline for the\n<strong>VAT Return for <\/strong>February 2020 is extended from the normal deadline (20\nMarch 2020) until <strong>6 April 2020<\/strong>.<\/li><li>Deadline for the\n<strong>VAT Return for March 2020<\/strong> is extended from the normal deadline (20 April\n2020) until <strong>7 May 2020<\/strong>.<\/li><li>Deadlines for\nthe <strong>VAT Return for the first quarter of 2020<\/strong> is extended from the normal\ndeadline (20 March 2020) until <strong>7 May 2020<\/strong> as well.<\/li><\/ul>\n\n\n\n<p><strong>EC SALES LIST<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deadline for EC\nSales List for February 2020 is extended from the normal deadline (20 March\n2020) until 6 April 2020.<\/li><li>Deadline for the\nreport for March 2020 is extended from the normal deadline (20 April 2020)\nuntil 7 May 2020.<\/li><li>Deadline for the\nreport for the first quarter is extended from the normal deadline (20 April\n2020) until 7 May 2020.<\/li><\/ul>\n\n\n\n<p><strong>VAT PAYMENT<\/strong><\/p>\n\n\n\n<p>In Belgium there will be an automatic deferral\nof payment of 2 months for VAT without having to pay fines or interest applies.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deadline for payment of the monthly VAT Return (February 2020) is extended from the normal deadline (20 March 2020) until 20 May 2020.<\/li><li>Deadline for payment of the monthly VAT Return (March 2020) from the normal deadline (20 April 2020) until 20 June 2020.<\/li><li>Deadline for payment of the VAT returns of the first quarter (JAN-MAR 2020) is extended from the normal deadline (20 April 2020) until 20 June 2020.<\/li><li> VAT \u201cquick\u201d refund mechanism (29 March 2020) applies for all VAT taxpayers filing monthly VAT return<\/li><\/ul>\n\n\n\n<p>Further, there is a\nlate-payment penalty relief for tax duties which arose before 12 March 2020 and\na VAT payment plan which provides relief from imposition of penalties. <\/p>\n\n\n\n<p><strong>TAX RELIEF<\/strong><\/p>\n\n\n\n<p>filing deadline for corporate income tax and tax on non-legal entities is delayed to 30 April 2020<\/p>\n\n\n\n<p>payments for taxes on wages and salaries are also postponed<\/p>\n\n\n\n<p> Remit payments of tax liabilities arising as of 12 March 2020 deadline is extended for 2 months, with no interest for late payment <\/p>\n\n\n\n<p>Taxpayers can also apply for instalment payments of the debts relating to VAT. Further, business can apply for a payment plan if needed. This measure shall help businesses which are struggling to pay their VAT debts by introducing additional payment periods and mean an exemption from default interest and\/or fines for late payment.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section3\">BULGARIA<\/h2>\n\n\n\n<p>The Bulgarian government has adapted the filing deadlines for various reports:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deadline for filing annual corporate income tax return and for the payment is delayed until 30 June 2020<\/li><li>Deadline for filing annual individual (personal) income tax returns and for the payment is extended until 30 Juni 2020<\/li><li>Deadline for filing annual individual income tax return for individual taxpayers remains unchanged: 30 April 2020<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section4\">CROATIA<\/h2>\n\n\n\n<p>In Croatia, new tax\nmeasures were introduced to support businesses and private individuals during\nthe crisis.<\/p>\n\n\n\n<p>The tax\nrelief measures allowing for the deferral of tax payments allow for a\npostponement of three months from the original due date, and a further\nextension for an additional three months is possible in some cases as well. <\/p>\n\n\n\n<p>This means eligible tax payments generally are not due until 20 June 2020.<\/p>\n\n\n\n<p>Further measures include:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Grants provided to emplyers in order to support job preservation will be exempt from paying contributions on supported net salaries&nbsp;<\/li><li>Deferral of the requirement to remit VAT until invoices are settled<\/li><li>Taxpayers with business activities that are banned, disabled or significantly impeded can be fully or partially exempted from paying their tax obligations due in April, May, and June 2020<\/li><li>Further details for postponement of reporting and payment deadlines for all taxes will follow soon<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section5\">CYPRUS<\/h2>\n\n\n\n<p>The Cypriot government has withdrawn the proposed\nreduction of the standard VAT rate from 19% to 17% for two months from 1 April\n2020 to 31 May 2020. <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Cyprus implemented postponement on penalties for VAT payments. <\/li><li>There will be no penalties or overdue interest on the February, March and April returns<\/li><li>The government has issued a decree providing ta relief: deadline for income tax returns for companies and self-employed taxpayers is extended until 1 June 2020.<\/li><li>VAT payment is delayed until 10 November 2020<\/li><\/ul>\n\n\n\n<p><strong>NOTE<\/strong>: All Returns must still be filed in time!<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section6\">CZECH REPUBLIC<\/h2>\n\n\n\n<p>The Czech government\nannounced a waiver of sanction for late submission of VAT returns and sanction\nfor non-submission of control statements in all cases when the taxpayer cannot\nfulfil his\/her duties due to the coronavirus. <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Businesses can request to delay their tax payments<\/li><li>The requirement to submit VAT returns prior to any\naudits will be dropped<\/li><li>Refunds of VAT credit will be processed quickly<\/li><li>Introduction of \u201c<a href=\"https:\/\/home.kpmg\/us\/en\/home\/insights\/2020\/03\/tnf-czech-republic-tax-relief-loss-carryback-measure.html\" target=\"_blank\" rel=\"noopener\">loss\ncarry-back<\/a>\u201d concept which basically means tax losses are applied to earlier\nyear.<\/li><\/ul>\n\n\n\n<p>The Czech Ministry of Finance\nhas further decided to introduce general waivers concerning:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Income tax\nprepayments which are due on 15 June 2020<\/li><li>Late filing of\nreal estate acquisition tax return<\/li><li>Late filing of\nVAT returns<\/li><\/ul>\n\n\n\n<p>An amendment to the income tax law has been proposed in order to introduce an option to allow taxpayers to use tax losses retroactively for up to two years, or prospectively for up to six years!<\/p>\n\n\n\n<p><strong>NOTE<\/strong>: The deadline for submission of VAT reports &amp; payments is unchanged. Make sure to request a later submission if necessary.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section7\">DENMARK<\/h2>\n\n\n\n<p>The Danish\nparliament approves tax relief for Danish companies in response to coronavirus\n(COVID-19) and other measures as follows:<\/p>\n\n\n\n<p>Monthly\nVAT payment deadlines postponed by 30 days (for March, April and May 2020)<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deadline payment March 2020: <strong>25 April 2020<\/strong><\/li><li>Deadline payment April 2020:&nbsp; <strong>26 May\n2020<\/strong><\/li><li>Deadline payment May 2020:<strong> 25 June 2020<\/strong><\/li><li>Deadline payment June 2020: <strong>27 July 2020<\/strong><\/li><\/ul>\n\n\n\n<p>For\nbusinesses submitting their VAT returns on a quarterly basis, VAT payment and\nreporting deadlines for the first and second quarters of 2020 will be merged,\nthe new deadline for submission will be the 1 September 2020.<\/p>\n\n\n\n<p>The semi-annual VAT payment and reporting deadlines for the first and the second half of 2020 are also merged; the new reporting and payment deadline is <strong>1 March 2021<\/strong>.<\/p>\n\n\n\n<p>On 20 April 2020, the Danish government agreed on new tax measure to provide the liquidity of companies in times of the crisis:<\/p>\n\n\n\n<p><strong>Measure 1: Company tax account (<em>Skattekontoen<\/em>)<\/strong><\/p>\n\n\n\n<p>The limit for tax account balance of companies was increased from DKK 200,000 to DKK 10 million.<\/p>\n\n\n\n<p>Companies with excess liquidity can indicate an unlimited amount on the company tax account to avoid negative interest while easing the pressure on the public finances. <\/p>\n\n\n\n<p><strong>Measure 2: Tax credi<\/strong>t for Research and Development (R&amp;D)<\/p>\n\n\n\n<p>Loss-making companies can receive a tax credit for their research and development costs. <\/p>\n\n\n\n<p>The payment of this tax credit is now advanced to June 2020 instead of November 2020. Usually these tax credits have to be paid in November when the final tax for the companies has been assessed. This was now advanced to June.<\/p>\n\n\n\n<p><strong>Measure 3: Interest-free VAT and payroll tax \u201cloans\u201d to certain companies<\/strong><\/p>\n\n\n\n<p>Companies liable for VAT with an annual revenue of less than DKK 5 million that paid VAT for the second half of 2019 at 2 March 2020 and VAT-liable companies with an annual revenue between DKK 5 million and DKK 50 million that paid for Q4 2019 at 2 March 2020 may be refunded their VAT payment as an interest-free loan. <\/p>\n\n\n\n<p>Further, VAT-exempted entities subject to payroll tax under the so-called \u201cmethod 4\u201d (e.g., passenger transport companies, dentists, and doctors) that paid payroll tax for Q1 2020 no later than 15 April 2020 may have the amount of tax returned to them as a \u201cloan,\u201d plus a quarterly share constituting \u00bc of the taxable profit for 2019. The loan must be repaid on or before 1 April 2021. <\/p>\n\n\n\n<p>Companies may request the loan from 4 May until 15 June 2020. In total, the interest-free loans may amount to DKK 35 billion. <\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section8\">ESTONIA<\/h2>\n\n\n\n<p>The VAT payment duties for taxpayers in Estonia will be delayed until 1 May 2020.&nbsp; Returns still have to be submitted in time while VAT assessments are suspended.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section9\">FINLAND<\/h2>\n\n\n\n<p>Finnish Tax\nAuthorities have introduced a variety of actions to support businesses during\nthe COVID-19 epidemic.<\/p>\n\n\n\n<p>Since 15\nMarch 2020, tax authorities will waive VAT payment penalties and the penalties\nwon\u2019t be collected. Further, companies can apply for payment holidays. <\/p>\n\n\n\n<p><strong>NOTE<\/strong>: that Returns must still be filed at\nthe same date as before.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>In\ncase of payment difficulties, it is possible to apply for payment arrangements.\n<\/li><li>The\nscope of e-invoicing will be extended to B2B transactions in Finland from April\n2020.<\/li><\/ul>\n\n\n\n<p>From 1 April 2020, private companies will have the legal right to demand electronic invoices from their suppliers in a format that meets European and Finnish standards.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section10\">FRANCE<\/h2>\n\n\n\n<p>The tax measures in France\ncover the following areas:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Businesses can apply for a suspension of their tax payments due in March 2020<\/li><li>Tax rebates can be granted for companies which struggle with difficult situations due to the COVID-10 crisis<\/li><li>Deferral of direct tax payments for companies<\/li><li>Postponement of social security payments<\/li><li>Postponement of payment of instalments of direct taxes for companies of three months (without any penalties) &#8211; this does not include VAT, assimilated taxes or withholdings of individual income taxes of employees<\/li><li>Faster refund of VAT credit repayments for requests filed electronically<\/li><li>There is an automatic extension to the 30-day deadline to answer information requests made by the tax authorities.&nbsp;<\/li><li> Companies may postpone all direct tax payments due for the months of April, May, and June 2020.<\/li><li>The rules have been expanded concerning the \u201ccommitment to responsibility\u201d of large groups (in general, rules limiting dividend distributions in 2020).<\/li><li>The deadlines for filing corporate income tax returns for 2019 are delayed to 30 June 2020.<\/li><li>The deadline for electing for the consolidated tax regime has been delayed generally until 30 June 2020.<\/li><li>The filing deadline for final returns for the CVAE (business contribution on added value) filed on form #1329 DEF has been extended, for some until 30 June 2020.<\/li><li>The deadline to submit election letter for the corporate income tax regime has been extended. <\/li><\/ul>\n\n\n\n<p><strong>NOTE<\/strong>: VAT returns still need to be filed as usual!<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section11\">GERMANY<\/h2>\n\n\n\n<p><strong>Update<\/strong>: The German government has agreed on reducing the standard VAT rate from 19% to 16% and the reduced VAT rate from 7% to 5%. This reduction will be effective from 1 July 2020 and last until 31 December 2020.<\/p>\n\n\n\n<p>The German tax authorities announced that they would offer businesses the possibility to apply for delayed tax payments. The new deadline will be 31 December 2020. <\/p>\n\n\n\n<p>If you want to get such a delay as well, you will need\nto proof the necessity of it. Basic evidence on how the crisis affects your\nbusiness is enough. Other measures are:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Deferral of VAT payments<\/li><li>Deferral of personal and corporate incomes tax<\/li><li>Reimbursement of special advance payments for the permanent extension<\/li><li>Financial aid for companies in financial difficulties<\/li><li>Extension of submissions deadlines<\/li><li>Tax exemption of special payments to employees of up to \u20ac1,500<\/li><li>Postponement of of the deadline of wage tax returns<\/li><\/ul>\n\n\n\n<p>Further, tax prepayments shall be reduced whenever it becomes clear that the income in the current year will be lower than in the previous year.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section12\">GREECE<\/h2>\n\n\n\n<p>The Greek government introduced the following measures\nto support business during the corona crisis, more measures are expected to be\nannounced soon.&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Suspension of the payment of VAT amounts due by the end of March by 4 months.<\/li><li>Postponement of the collection of VAT debts for companies affected by the coronavirus<\/li><li>A 25% reduction of assessed liabilities on installments of tax payments that are due between 30 March 2020 and 30 April 2020 &#8211; VAT and withholding taxes are not eligible for this reduction)<\/li><li>Extension of the deadline for payment of VAT<\/li><li>Extension of the deadline or suspension of the payment of certified debts to the tax authorities and of instalments of tax debts<\/li><li>Businesses affected by the corona virus can postpone their VAT payments which are due up to 30 April 2020 until 31 August 2020<\/li><li>Extension of the deadline or suspension of the payment of certified debts related to social security contributions and of instalments of social security contribution debts<\/li><li>Certain freelancers, self-employed contractors will be eligible for compensation payment of \u20ac800&nbsp;while the tax payments due in March will be extended for 4 months<\/li><li>Reduction of the VAT rate from 24% to 6% for certain products which help to protect against corona (e.g. masks, gloves, etc.)<\/li><li>Automatic suspension of certain tax and social security liabilities<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section13\">HUNGARY<\/h2>\n\n\n\n<p>Measures of the Hungarian government: <strong><\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Payment moratorium for loans, credit and financial leasing agreements<\/li><li>Rental agreements in the fields of tourism, hospitality, entertainment, gambling, cinema, performing arts, event organisation and sports services may not be terminated before 30 June 2020.<\/li><li>Small taxpayers providing passenger transport services (e.g. taxis) are exempt from their tax liability for the months of March, April, May and June 2020.<\/li><li>The change of the XSD scheme to be uploaded to the online billing system is postponed.<\/li><li> The update of the Hungarian live invoice reporting scheme is postponed from 1 April to 1 July<\/li><li> New surtaxes apply and will be levied on credit institutions and the retail sector <\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>The update of the Hungarian live invoice reporting scheme is postponed from 1 April to 1 July<\/strong><\/li><\/ul>\n\n\n\n<p><strong>April 29<\/strong>: A decree includes relief with regard to certain financial reporting obligations and also concerning certain tax requirements in response to the coronavirus.<\/p>\n\n\n\n<p>a)  The deadline for the preparation, deposit, publication and submission of annual reports by certain entities is extended to 30 September 2020.<\/p>\n\n\n\n<p>b) Taxes for which calculations are based upon data from an annual report, the deadline to submit and settle the tax obligations is now 30 September 2020.<\/p>\n\n\n\n<p>c) The tax rate of the social tax will be reduced (from 17.5% to 15.5%) as of 1 July 2020.<\/p>\n\n\n\n<p>d) The threshold amounts for the taxation of fringe benefits will be changed.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section14\">IRELAND<\/h2>\n\n\n\n<p>On 13 March 2020, the Irish Revenue announced that\nsmall and medium-sized businesses experiencing cash flow difficulties would not\nhave interest applied on late VAT payments, for the current VAT return period\nof January and February 2020. Please click&nbsp;<a href=\"https:\/\/www.revenue.ie\/en\/corporate\/press-office\/press-releases\/2020\/pr-130320-revenue-announce-measures-to-assist-smes-experiencing-cashflow-difficulties-arising-from-covid-19.aspx\" target=\"_blank\" rel=\"noopener\">here<\/a>&nbsp;for the full Irish Revenue press release.<\/p>\n\n\n\n<p><strong>Small and medium-sized\nenterprises (SMEs)* <\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Tax returns:\nCompanies experiencing temporary liquidity problems should continue to file tax\nreturns on time.<\/li><li>Interest: The\napplication of interest on arrears is suspended for VAT in January\/February and\nfor employers&#8217; liabilities in February and March.<\/li><li>Debts: All\nenforcement activities are suspended until further notice.<\/li><li>Tax release: The\ncurrent tax release status will remain in place for all companies in the coming\nmonths.<\/li><\/ul>\n\n\n\n<p><strong>Larger companies (non-SMEs)<\/strong><\/p>\n\n\n\n<p>Enterprises other than SMEs\nthat are experiencing temporary liquidity or trading difficulties should\ncontact the General Assembly Office at [(01) 7383663] or contact the relevant\ntax office in the Large Enterprise Department or in the Small Business\nDepartment directly.<\/p>\n\n\n\n<p>The Irish government announced on 24 March 2020 measure to give wage and other financial support to Irish companies and workers. <a href=\"https:\/\/home.kpmg\/us\/en\/home\/insights\/2020\/03\/tnf-ireland-wage-and-financial-support-responding-to-coronavirus.html\" target=\"_blank\" rel=\"noopener\">Here<\/a> you can find more about it.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section15\">ITALY<\/h2>\n\n\n\n<p><strong>NOTE<\/strong>: On 22 March, the Italian government has\nsuspended all industrial and commercial activities (the only exceptions are system\nrelevant areas) from 23 March und 3 April 2020.<\/p>\n\n\n\n<p>On 13 March 2020, the Italian\nMinistry of Finance announced:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Small businesses\n(annual turnover of less than \u20ac2million) are allowed to postpone their VAT\npayments until 31 May 2020 if they are resident taxpayers<\/li><li>All filings will\nbe postponed to 30 June (incl. annual VAT return 2019)<\/li><li>Businesses can\napply for a five-month payment plan<\/li><\/ul>\n\n\n\n<p>The deadlines for tax obligations between 8 March 2020 and 31 May 2020 for taxpayers with a domicile, registered office or operations centers in Italy are postponed to 30 June 2020:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Annual VAT Return 2019 (original deadline: 30 April 2020; new deadline: 30 June 2020)<\/li><li>First quarter of 2020 TR form for quarterly refund claim (original deadline:  30 April 2020; new deadline: 30 June 2020)<\/li><li>First quarter of 2020 quarterly communication of VAT settlements (original deadline:  1 June 2020; new deadline: 30 June 2020)<\/li><li>First quarter of 2020 communication of cross-border transactions (original deadline: 30 April 2020; new deadline: 30 June 2020)<\/li><\/ul>\n\n\n\n<p>Important for non-resident businesses:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Intrastat declarations for February, March and April \u2013\ndeadline: 30 June 2020<\/li><li>Annual VAT return \u2013 usual deadline<\/li><li>VAT declaration February, March, April \u2013 usual\ndeadline<\/li><li>VAT payment February, March, April \u2013 usual deadline<\/li><\/ul>\n\n\n\n<p><strong>19 May 2020 Relaunch Decree<\/strong><\/p>\n\n\n\n<p>This Decree must be converted into law within 60 days. It includes several tax and vat relief measures, like:<\/p>\n\n\n\n<p>a) VAT rates (both standard, 22%, and reduced, 10%) will be decreased as of 1 January 2021<\/p>\n\n\n\n<p>b) Introduction of &#8220;super-reduced&#8221; VAT rate of 5% for medical goods and other items which are required to fight the corona virus<\/p>\n\n\n\n<p>c) Extension of certrain deadline for tax and social security payment<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section16\">LATVIA<\/h2>\n\n\n\n<p>The Latvian\ngovernment has so far implemented the following changes to provide liquidity\nand tax relief during the crisis.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Taxpayers affected by the crisis can apply for an extension of the tax payment deadline. To do so, an application, which will be reviewed by an official body, must be submitted within two months of the due payment deadline or the date of entry into force of the law.<\/li><li>Current and overdue tax payments can be delayed for up to three years &#8211; instalment payments are also possible without triggering late-payment penalties (Application required)<\/li><li> Support for \u201cemployee downtime\u201d from the government<\/li><li>Companies can apply for a deferral of the tax until 30 June 2020.<\/li><li>VAT credits on submitted declarations will be refunded within 30 days and not at the end of the year, in order to increase the liquidity of those concerned as quickly as possible.<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section17\">LITHUANIA<\/h2>\n\n\n\n<p>The\nmeasures for the Lithuanian government so far can be divided into 2\nsub-categories: the corporate tax and the individual tax. <\/p>\n\n\n\n<p><strong>Corporate tax relief<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>deadline for\nfiling advance corporate income tax returns and making payments of tax is\ndeferred until 30 March 2020<\/li><li>Postponement of current\nand overdue tax payments, for up to three years, or the ability to make\ninstalment payments when the delay is related to COVID-19 without triggering\nlate-payment penalties<\/li><li>taxpayers are being allowed the ability to revise\ntheir advance corporate income tax calculation methods<\/li><li>Postponement of real estate tax payments to be allowed by municipalities<\/li><li>Submissions of financial statements (annual report and consolidated annual\nreport) may be made later than the legal deadline (three or four months,\nrespectively)<\/li><\/ul>\n\n\n\n<p><strong>Individual (personal)\ntax relief<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>deadline for\nsubmitting their annual income tax returns and for remitting payments of tax is\nextended until 1 July 2020 (instead of 4 May 2020).<\/li><li>the electronic\nversion of the new tax return form GPM311 will not be released now until at\nleast April 2020.<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section18\">LUXEMBOURG<\/h2>\n\n\n\n<p>Companies and self-employed\nindividuals in Luxembourg that are facing liquidity issues due to the corona\ncrisis can request financial help. Further, eligible taxpayers can file a\nrequest for:<\/p>\n\n\n\n<p>&nbsp;(1) cancellation of the first and second\nquarterly advance payments for both (corporate) income tax and municipal\nbusiness tax for 2020; and <\/p>\n\n\n\n<p>(2) a four-month extension to the\ndeadline for the payment of (corporate) income, municipal business and net\nwealth taxes due after 29 February 2020, without any penalty for late payment.\nThe tax authorities will automatically approve all eligible requests.<\/p>\n\n\n\n<p>Plus, the deadline for filing\ncorporate and individual (personal) income tax returns is postponed to 30 June\n2020.<\/p>\n\n\n\n<p><strong>NOTE<\/strong>: The Government Council of Luxembourg has approved a law which would forbids the deductibility of interest and royalties paid or due to related entities located in a country listed on the EU \u201cblacklist.\u201d <\/p>\n\n\n\n<p><strong>UPDATE<\/strong>: On 12 May 2020, the Luxembourgian tax authorities announced the end of the tolerance period for the late submission of VAT returns (so for the returns of January and February 2020). Therefore, all missing VAT returns should be filed as soon as possible to avoid penalties.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section19\">MALTA<\/h2>\n\n\n\n<p>The Maltese government, in addition to other measures, is offering a tax\nmoratorium in response to the corona crisis.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Postponement of VAT payments which fall due in March\nand April 2020<\/li><li>Employers\nand self-employed people are being granted a two-month extension<em>&nbsp;<\/em>on the payments of any provisional tax, VAT and\nnational insurance contribution<\/li><\/ul>\n\n\n\n<p><strong>NOTE<\/strong>: Deadlines for filing remain unchanged!<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section20\">NETHERLANDS<\/h2>\n\n\n\n<p>The Minister of Social Affairs and Employment on 31 March 2020 announced the conditions for a compensation program available for employers that expect and ultimately experience a decline in turnover of 20% or more as a result of the coronavirus (COVID-19) pandemic &#8211; the so-caleld NOW program.<\/p>\n\n\n\n<p>This program includes compensation for a decline in turnover and amounts to 90% of the eligible payroll costs.<\/p>\n\n\n\n<p>Further, the final subsidy amount will be reduced if:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The actual payroll during the period March through May 2020 is lower than three times the payroll for the first payroll tax period of 2020 (usually January 2020), and\/or<\/li><li>An employer submits, after 17 March 2020, one or more applications to make one or more employees redundant for economic reasons.<\/li><\/ul>\n\n\n\n<p><strong>Other measures:<\/strong><\/p>\n\n\n\n<p>Companies which face financial difficulties in times of the coronavirus will be eligible for a deferral of tax payments. The respective taxpayers need to submit a written request for the deferral of tax payments. As soon as the business has filed the request, the Dutch tax authorities will hold off on collecting corporate income tax, payroll tax, value added tax (VAT), and individual (personal) income tax. <\/p>\n\n\n\n<p>The tax collection deferral\nwill apply for a period of three months. Deferrals longer than 3 months are\npossible but will be checked more in details to evaluate if this is still due\nto the COVID-19 crisis.<\/p>\n\n\n\n<p>Further, since last Monday,\nthe interest for all tax debts is reduced 4% to 0.01%. Recovery interest is\nnormally due if an assessment is not paid on time. This reduction will be valid\nfrom 1 June 2020, only the effective date for income tax is one month later,\nnamely 1 July 2020.<\/p>\n\n\n\n<p>Also, the Dutch Customs authorities have postponed the requirement for an entity to be established in the EU in order to act as exporter for customs purposes.<\/p>\n\n\n\n<p><strong>April 28: Six new tax measures were announced to provide relief to businesses:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Reduction of the \u201cnormative salary\u201d standard in the event of a decline in turnover<\/li><li>Easing the \u201chours criterion\u201d for self-employed people which requires entrepreneurs to spend at least 1,225 hours per year on their business in order to qualify for a deduction<\/li><li>The work-related costs rules under which employers can provide certain untaxed reimbursements for employees<\/li><li>\u201cCorona tax reserve\u201d for corporate income tax purposes<\/li><li>Postponing the effective date of measures concerning excessive lending by a taxpayer\u2019s own company<\/li><li>Mortgage payment holiday for taxpayers who notify (or notified) their lenders between March 12 and June 30, 2020, and agree to a mortgage payment holiday of a maximum of six months<\/li><\/ul>\n\n\n\n<p><strong>April 29: <\/strong><\/p>\n\n\n\n<p><strong>Deferral of payment for tax debts<\/strong><\/p>\n\n\n\n<p>Special deferral of tax payments can be granted to businesses that are temporarily facing liquidity problems due to COVID-19:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Deferral shorter than three months:<\/strong>&nbsp;It was approved that companies could, upon request, obtain a three-month deferral for almost all types of tax payments.<\/li><li><strong>Deferral longer than three months:<\/strong>&nbsp;Requests for deferral of payment of more than three months may be granted for requests submitted in writing and are subject to certain conditions. <\/li><li><strong>Other approvals:<\/strong>&nbsp;The policy statement also points out that authorisations for other types of deferral do not preclude the granting of a specific deferral.<\/li><\/ul>\n\n\n\n<p><strong>Payment default penalties<\/strong><\/p>\n\n\n\n<p>Businesses that are granted a special deferral of payment under the policy statement are not to be assessed with a default penalty from 12 March 2020 to the date when the granted tax payment deferral ends.&nbsp;<\/p>\n\n\n\n<p><strong>Tax collection<\/strong><\/p>\n\n\n\n<p>The statement of principles deals with the effects of the exemption on various tax collection arrangements (including the seizure of the taxpayer&#8217;s property) and with the liability of corporate directors when the legal person is granted a deferral of payments for its inability to pay.<\/p>\n\n\n\n<p>6 May:<\/p>\n\n\n\n<p>New measures and statements were introduced which replace and update prior statements of corona tax relief measures:<\/p>\n\n\n\n<p>a) Corona tax reserve for corporate income taxpayers for all losses due to the COVID-19 pandemic. This means that the expected loss for this year can be used to arrive at a lower assessment for 2019.<\/p>\n\n\n\n<p> b) Director-major shareholders do have to receive at least a normative salary. This salary can be lower if the turnover is lower due to the crisis.<\/p>\n\n\n\n<p>c)  Employers are allowed to use the fixed exemption in the work-related costs rules in order to give employees untaxed reimbursements and provisions. <\/p>\n\n\n\n<p>d) Energy tax, surtaxand VAT for supplies of natural gas and electricity from April 2020 to June 2020 is payable until October 2020 (when the additional invoice is issued).<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section21\">NORWAY<\/h2>\n\n\n\n<p>The Norwegian government has introduced various measures for a smooth\nhandling of taxes, returns and payments during the COVID-10 crisis.<\/p>\n\n\n\n<p>Parliament adopted two state-supported credit and guarantee schemes\ntotalling NOK 100 billion (~ USD 10 billion) to ensure liquidity for Norwegian\ncompanies.&nbsp; <\/p>\n\n\n\n<p>In order to\nbe able to guarantee liquidity to a large extent, extensive measures have\nalready been taken, especially in the areas of direct and indirect tax: <\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Under\ncertain conditions, companies that are in a loss position in 2020 may carry\nback the losses of that year against the taxable profits of the two previous\nyears. Compensation for corporate losses of up to NOK 30 million in 2020 is\npermitted.<\/li><li>Individual\nentrepreneurs, traders and certain other entrepreneurs who would have to pay\nthe first instalment of the tax advance payment for 2020 on 15 March 2020 have\nbeen granted an extension until 1 May 2020.<\/li><li>Owners\nof companies that are in a loss situation in 2020 may postpone payment of the\nnet wealth tax in relation to the value of the companies&#8217; assets. <\/li><li>The\nreduced VAT rate was lowered from 12% to 8% from 1 April to 31 October 2020.<\/li><li>Payment\nof the social security contribution originally due on 15 May 2020 is postponed\nuntil 15 August 2020.<\/li><li>Payment\nof the second instalment of the advance tax payment for companies, originally\ndue on 15 April 2020, is postponed to 1 September 2020.<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section22\">POLAND<\/h2>\n\n\n\n<p>The Polish government has recently adopted a package of measures to help individuals and businesses dealing with administrative and financial problems during the corona crisis. The government has taken the following measures in this regard:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Facilitation of social security payments in the form\nof deferrals and assistance with outstanding payments.<\/li><li>State funding of payments of social security\ncontributions for three months for <\/li><\/ul>\n\n\n\n<p>a) micro-enterprises registered before 29 February 2020 and employing up to\nnine employees (contributions for all employees)<\/p>\n\n\n\n<p>b) self-employed people and contractors, if they were employed before 1\nFebruary 2020 and their monthly income from business activities in February\n2020 did not exceed 300% of the expected average gross monthly salary in 2020<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>payment of guaranteed monthly contributions (not taxable and not subject to social insurance) by the Polish Social Insurance Administration to self-employed people and employees with a mandate contract (at 80% of the minimum wage)<\/li><li>The filing of the income tax return (PIT) has been postponed from 30 April to 30 May.<\/li><li>The deadlines for filing CIT-8 declarations by taxpaying companies and the payment of the corporate income tax amount due for 2019 have been extended to 31 May 2020 for all taxpayers.<\/li><li>For taxpayers who have only tax-free income or whose income consists of income from public interest works (at least 80%), the deadline for submitting the return has been extended to 31 July 2020.<\/li><\/ul>\n\n\n\n<p>c) For taxpayers that realized only tax-exempt income or whose revenue consisted of revenue from work for public benefit (at least 80%), the deadline for submitting tax returns is extended until 31 July 2020. <\/p>\n\n\n\n<p>The package containing those support measures was already introduced, it is reffered to as the &#8220;financial shield&#8221;.<\/p>\n\n\n\n<p><strong>UPDATE<\/strong>: Poland &#8216;s measures for economic support for small and medium-sized enterprises (SMEs) and micro-businesses were lately approved by the European Commission. Everyone can benefit from it who has a decline in turnover of at least 25% compared to the month before (any month after 1 February 2020)or to the corresponding month in the previous year. The amount of the economic subsidy depends on the turnover in 2019 and the extent of the decline in sales.<\/p>\n\n\n\n<p>This subsidy is granted as an interest-free loan and the upper limit is PLN 3.5 million (ca. \u20ac77,000) per company. It is meant to be used for covering current operating costs and it may be used for early repayment of loans.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section23\">PORTUGAL<\/h2>\n\n\n\n<p>The Portuguese government has introduced a various of (tax) measure to handle the COVID-19 crisis as good as possible. There are various tax relief measure already in place:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Relief on corporate income tax, individual income tax, VAT + social ocntributions<\/li><li>Monthly filing of a stampt duty tax return delayed to 1 January 2021<\/li><li>A VAT exemption applies with regard to \u201cfree of charge\u201d supplies of goods made to the government, to private social institutions, and to non-governmental non-profit organizations. <\/li><li>Businesses which have to fulfil tax duties in Portugal can make their payments in instalments and deadlines for declarations, returns, etc. can also be made later.<\/li><\/ul>\n\n\n\n<ul class=\"wp-block-list\"><li>Filing the corporate income tax return (Modelo 22) for 2019 can be submitted until 31 July 2020, the \u201cnormal\u201d deadline would be 31 May. No penalties need to be feared.<\/li><\/ul>\n\n\n\n<p>The special payment on account of the corporate income tax to be made in March can be made until 30 June 2020. No penalties need to be feared as well.<br> The first payment on account and the first additional payment on account to be made in July, can be made until 31 August 2020. Again, no penalties<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Withholding taxes payments as well as monthly and quarterly VAT payments can be made in instalments, if <\/li><\/ul>\n\n\n\n<ol class=\"wp-block-list\"><li>Companies\/self-employed workers had a turnover below \u20ac 10 Million in 2018. They will apply automatically for this kind of payment. This also includes businesses or self-employed workers who have started their activity since 1 January 2019.<\/li><li>Companies\/independent workers with a turnover higher than that will need to apply for this payment in instalments and this is only possible if the decline in sales is in average at least 20% of 3 months compared to the same months of the previous year.<\/li><\/ol>\n\n\n\n<p>In both cases, and not only for withholding taxes but also for VAT\npayments, there are 2 different options regarding the payment in instalments:<\/p>\n\n\n\n<p><strong>Option 1<\/strong>: 3 monthly instalments without interest<\/p>\n\n\n\n<p><strong>Option 2<\/strong>: 6 monthly instalments, with interest on arrears only\nin the last 3 months<\/p>\n\n\n\n<p>In short, companies affected by\nCovid19 can stagger their VAT payments over 3 months (without interest) or 6\nmonths (with interest for the additional 3 months).<\/p>\n\n\n\n<p>This measure automatically applies to companies whose turnover in 2018 was less than 10 million euros. Businesses with a higher turnover must apply for the payment in instalments and prove that their turnover in the first quarter was 20% lower than in 2019.<\/p>\n\n\n\n<p><strong>UPDATE:<\/strong> <\/p>\n\n\n\n<p>Since May, taxpayers are allowed to postpone the filing of the <strong>annual simplified business information return (IES\/DA)<\/strong> to <strong>7 August 2020<\/strong> and the filing of the tax file and <strong>transfer pricing documentation<\/strong> to <strong>August 2020<\/strong>.<\/p>\n\n\n\n<p><strong>VAT measures:<\/strong><\/p>\n\n\n\n<p>a) New submission and payment deadlines for monthly and quarterly VAT Returns:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>The <strong>monthly VAT Return for March 2020<\/strong> has to be submitted by 18 May 2020 and the according <strong>VAT payment<\/strong> is required by 25 May 2020.<\/li><li>The <strong>monthly VAT Return for April 2020<\/strong> has to be submitted by 18 June 2020 and the according <strong>VAT payment <\/strong>is required by 25 June 2020.<\/li><li>The <strong>quartlery VAT return for January to March 2020<\/strong> has to be submitted by 22 May 2020 and the according <strong>VAT payment <\/strong>is required by 25 May 2020.<\/li><\/ul>\n\n\n\n<p>b) The monthly VAT returns and the quarterly one can be calculated based on information available from the electronic invoicing system (e-factura). <\/p>\n\n\n\n<p>Subsequent adjustments can be filed with the substitution VAT return (this won&#8217;t lead penalties) by certain eligible taxpayers. This is only valid if these adjustments are made by August 2020. Eligible are taxpayers with a turnover of up to \u20ac 10 million in 2019 or with no turnover at all as the business started\/restared the business activity after 1 Janaury 2020.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section24\">ROMANIA<\/h2>\n\n\n\n<p>As a result of the COVID-19 pandemic, the Romanian authorities have\ndeclared the state of emergency on 16 March 2020 and have delayed the deadlines\nfor certain tax duties&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>All VAT and tax audits postponed<\/li><li>The deadline for the VAT return for February is\npostponed from 25 March to 25 April 2020.<\/li><li>There are deferrals for the payment deadline of local\ntaxes from 31 March to 30 June 2020.<\/li><\/ul>\n\n\n\n<p>The following measures will end 30 days from the end of the state of\nemergency.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>All tax obligations with a due date after 21 March 2020 and which are not\/have not been paid are not considered unpaid and consequently there won&#8217;t be any delay interest or other penalties.<\/li><li>All tax-related procedures in connection with garnishments are suspended.<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section25\">SLOVAKIA<\/h2>\n\n\n\n<p>In Slovakia, some measures are not yet in force, but the following changes\nfor a smooth handling of taxes during the corona crisis are already valid:<\/p>\n\n\n\n<p>Companies and private individuals will get an\nautomatic tax payment deadline extension of up to three months.<\/p>\n\n\n\n<p>Postponement of the deadline for VAT payments.<\/p>\n\n\n\n<p>Late payment of taxes won\u2019t lead to penalties or interests.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section26\">SLOVENIA<\/h2>\n\n\n\n<p>Starting 29 March 2020,\nseveral tax measures were introduced in Slovenia in response to the coronavirus.<\/p>\n\n\n\n<p>These measures include:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Postponement of deadline for the submission of tax returns for self-employed\nentrepreneurs, corporate income tax returns and annual reports to 31 May 2020.<\/li><li>Postponement of deadline for issuing tax calculations for\nindividual taxpayers for 2019 until 30 June 2020. Individuals who will not\nreceive their tax calculation for individual (personal) income tax for 2019 by\n15 July 2020 will be granted a postponement for filing their annual tax returns\nuntil 31 August 2020<\/li><li>Postponement of the payment of tax liabilities (for up to 24\nmonths) or the possibility to pay in instalments (same time period)<\/li><\/ul>\n\n\n\n<p>A second tax measures package was introduced by the\nSlovenian government to reduce the impact of the COVID-19 pandemic.<\/p>\n\n\n\n<p>As of 1 May 2020, the following measures came into force:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Additional relief for donations made by corporate and individual taxpayers<\/li><li>A temporary VAT exemption on supplies and the acquisition of protective and medical equipment<\/li><li>Individual income tax relief for income earned outside Slovenia<\/li><li><\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section27\">SPAIN<\/h2>\n\n\n\n<p>The Spanish government has introduced various measures to keep the country\nrunning and to support businesses. Despite guaranteeing the provision of\nessential services like water, gas, electricity, telecommunication, etc., there\nare various measure to support businesses and private taxpayers in times of the\ncrises.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Securing liquidity for companies and the self-employed people, primarily through bank financing which are secured by the government.<\/li><li>Extension unemployment protection and granting exemptions from social security contributions.<\/li><li>Economic compensation for self-employed persons who have stopped their business activities as a result of the crisis or who face a drastic drop in income.<\/li><li>Adapting the corporate regulations for Spanish companies, mainly in terms of managing bodies, preparation and approval of annual accounts and audits.<\/li><li>Possibility to opt for a deferral of \u201csmall\u201d past-due tax debts in respect of state-level taxes<\/li><li>Support for small and medium-sized enterprises with regard to research and development (R&amp;D) and financing the transition to home office.<\/li><\/ul>\n\n\n\n<p>A decree-law was published in the official gazette on 1 April 2020 and almost all the measures included will remain effective until one month after the end of the state of emergency.<br>It contains a new set of economic and social measures:<\/p>\n\n\n\n<p>The content can be divided into the following 3 principles:<\/p>\n\n\n\n<ol class=\"wp-block-list\"><li>Comprehensive packages of measures which support workers, consumers, families and the most vulnerable groups<\/li><li>Initiatives to support production and employment<\/li><li>Flexibility measures for certain activities and administrative processes<\/li><\/ol>\n\n\n\n<p><strong>April 30:<\/strong><\/p>\n\n\n\n<p>The so-called Royal\nDecree-Law, published on 22 April 2020, includes new supplementary economic and\ntax measures in times of COVID-19.<\/p>\n\n\n\n<p>It contains a deferral of rental payments or industrial premises when the lessors are major property owners or public companies.<\/p>\n\n\n\n<p>There is also mechanism for installment payments\nregarding corporate income tax and reduced VAT rates for medical supplies, electronic\nbooks, magazines, and newspapers.<\/p>\n\n\n\n<p>Workers\nwhose employment contracts have been terminated as from 9 March 2020 and\nworkers who resigned since 1 March 2020 and were relying on a job offer which\nwas then withdrawn are now also getting unemployment benefits <\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section28\">SWEDEN <\/h2>\n\n\n\n<p>With the Swedish government announcing a package of measure worth more than\n300 billion SEK (about $ 31 billion), various tax measures were introduced to\nsupport the local economy. However, in terms of social distancing, Sweden goes\nits own way with almost no restrictions or regulations in public spaces. <\/p>\n\n\n\n<p>Now back to the taxes and other deferrals and measures:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Companies\nmay delay VAT and other tax payments<\/li><li>Employer\u2019s\nsocial security contributions can be postponed<\/li><li>Preliminary\ntaxes on salary can be postponed<\/li><li>Quarterly\/monthly\nVAT return payments can be postponed<\/li><\/ul>\n\n\n\n<p>The\nextension applies for businesses for three months of tax payments, but it can\nbe extended to up to 12 months. Either way, it is necessary to apply for this\npostponement at the tax authorities.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Interest (currently at a rate of 1.25% per annum) and a fee of 0.3% per month would be levied on the deferred amount of tax during the extension period.<\/li><li>Companies which already have high tax debts cannot apply for the extension<\/li><li>These regulations shall be in effect on 7 April 2020 and are meant to be applied retroactively from 1 January 2020. Therefore, tax payments from January to March 2020 can be refunded. If you are affected, get in touch with the Swedish tax authorities!<\/li><\/ul>\n\n\n\n<p><strong>Small Update<\/strong>: The Swedish Ministry of Finance announced a consultation for a proposed withholding tax on dividends in late April.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section29\">SWITZERLAND<\/h2>\n\n\n\n<p>The Swiss\ntax authorities introduced the following tax and VAT measures to absorb some of\nthe economic impacts of the COVID-19 crisis.<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>New deadlines for tax returns 2019. The income tax return deadline has been postponed from 31 March 2020 to various other dates \u2013 depending on the canton. <\/li><li>The deadline for filing the 2019 tax return for individuals is extended to 30 June 2020<\/li><li>The deadline for filing the 2019 tax return for legal entities is extended to 30 September 2020<\/li><li>Filing deadline for tax returns of individual taxpayers is postponed to 31 May 2020 <\/li><li>Individual and corporate taxpayers who cannot pay their tax payments as a result of the corona virus can apply for deferring payments or payments in instalment. It is necessary to apply at the municipal tax administration.<\/li><li>Companies and individuals who expect a loss of income can request an adjustment of their provisional tax bill for cantonal and municipal taxes.<\/li><li>The default interest rates for VAT, custom duties, federal income tax and special excise duties are reduced to 0% until the rest of the year. This is already in force.<\/li><li>Companies and self-employed individuals can apply for a postponement of the payment of their social security contributions. This is free of interest and it&#8217;s also possible to reduce the recurring on-account payments for these social security contributions.<\/li><li>VAT and customs payment holidays until the end of 2020 are also possible under certain conditions.<\/li><li>No tax bills and tax assessments will be sent out until 30 April 2020.<\/li><li>The deadline for applications for tariff corrections for source taxes is delayed to 30 June 2020<\/li><\/ul>\n\n\n\n<hr class=\"wp-block-separator has-text-color has-background is-style-default\" style=\"background-color:#1591d3;color:#1591d3\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"section30\">UNITED KINGDOM <\/h2>\n\n\n\n<p>The tax relief includes deferral of certain value added tax (VAT) and income tax payments. HMRC  has allowed businesses affected by the Corona virus to defer payment of other taxes under \u201ctime to pay arrangements.\u201d<\/p>\n\n\n\n<p>The UK Government has taken the following measures to best maintain the\neconomy and support affected businesses and individuals during the crisis:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>a Coronavirus Job Retention Scheme<\/li><li>deferring VAT and Income Tax payments<\/li><li>a Self-employment Income Support Scheme<\/li><li>a Statutory Sick Pay relief package for small and\nmedium sized businesses (SMEs)<\/li><li>a 12-month business rates holiday for all retail,\nhospitality, leisure and nursery businesses in England<\/li><li>small business grant funding of \u00a310,000 for all\nbusiness in receipt of small business rate relief or rural rate relief<\/li><li>grant funding of \u00a325,000 for retail, hospitality and\nleisure businesses with property with a rateable value between \u00a315,000 and\n\u00a351,000<\/li><li>the Coronavirus Business Interruption Loan Scheme\noffering loans of up to \u00a35 million for&nbsp;SMEs&nbsp;through the British\nBusiness Bank<\/li><li>a new lending facility from the Bank of England to help\nsupport liquidity among larger firms, helping them bridge coronavirus\ndisruption to their cash flows through loans<\/li><li>the HMRC Time To Pay Scheme<\/li><\/ul>\n\n\n\n<p>UK VAT-registered businesses with a VAT payment due between 20 March 2020 and 30 June 2020 can<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Defer the payment until a later date, or<\/li><li>Pay the VAT as normal<\/li><\/ul>\n\n\n\n<p>Taxpayers with income tax payments due on 31 July 2020 may defer these payments until 31 January 2021. The  HMRC will not automatically impose penalties or interest for late payments.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.gov.uk\/government\/publications\/guidance-to-employers-and-businesses-about-covid-19\/covid-19-support-for-businesses\" target=\"_blank\" rel=\"noopener\">Here<\/a> you find further information about those measures and where to apply.<\/p>\n\n\n<div class=\"cta-shortcode cta-shortcode-embed\"><div class=\"cta-content\"><h3 class=\"font600\">Join our VAT community<\/h3><p>Discuss about VAT on Facebook with our <strong>+1500 members<\/strong> VAT community.<\/p>\n<\/div><div class=\"cta-embed-code\"><style>\r\n\t#_form_10_ ._form-thank-you { position:relative; left:0; right:0; text-align:center; font-size:18px; }\r\n<\/style>\r\n<form method=\"POST\" action=\"https:\/\/fbahero77513.activehosted.com\/proc.php\" id=\"_form_10_\" class=\"_form _form_10 _inline-form  _dark\" novalidate>\r\n  <input type=\"hidden\" name=\"u\" value=\"10\" \/>\r\n  <input type=\"hidden\" name=\"f\" value=\"10\" \/>\r\n  <input type=\"hidden\" name=\"s\" \/>\r\n  <input type=\"hidden\" name=\"c\" value=\"0\" \/>\r\n  <input type=\"hidden\" name=\"m\" value=\"0\" \/>\r\n  <input type=\"hidden\" name=\"act\" value=\"sub\" \/>\r\n  <input type=\"hidden\" name=\"v\" value=\"2\" \/>\r\n  <div class=\"_form-content\">\r\n    <div class=\"_form_element _x02957572 _full_width \" >\r\n      <label class=\"_form-label\">\r\n      <\/label>\r\n      <div class=\"_field-wrapper\">\r\n        <input type=\"text\" name=\"email\" placeholder=\"Enter your email\" required\/>\r\n      <\/div>\r\n    <\/div>\r\n    <div style=\"padding-top:10px;\" class=\"_button-wrapper _full_width\">\r\n      <button id=\"_form_10_submit\" class=\"_submit button button-secondary\" type=\"submit\">\r\n        Get your invitation\r\n      <\/button>\r\n    <\/div>\r\n    <div class=\"_clear-element\">\r\n    <\/div>\r\n  <\/div>\r\n  <div class=\"_form-thank-you\" style=\"display:none;\">\r\n  <\/div>\r\n<\/form><script type=\"text\/javascript\">\r\nwindow.cfields = [];\r\nwindow._show_thank_you = function(id, message, trackcmp_url) {\r\n  var form = document.getElementById('_form_' + id + '_'), thank_you = form.querySelector('._form-thank-you');\r\n  form.querySelector('._form-content').style.display = 'none';\r\n  thank_you.innerHTML = message;\r\n  thank_you.style.display = 'block';\r\n  if (typeof(trackcmp_url) != 'undefined' && trackcmp_url) {\r\n    \/\/ Site tracking URL to use after inline form submission.\r\n    _load_script(trackcmp_url);\r\n  }\r\n  if (typeof window._form_callback !== 'undefined') window._form_callback(id);\r\n};\r\nwindow._show_error = function(id, message, html) {\r\n  var form = document.getElementById('_form_' + id + '_'), err = document.createElement('div'), button = form.querySelector('button'), old_error = form.querySelector('._form_error');\r\n  if (old_error) old_error.parentNode.removeChild(old_error);\r\n  err.innerHTML = message;\r\n  err.className = '_error-inner _form_error _no_arrow';\r\n  var wrapper = document.createElement('div');\r\n  wrapper.className = '_form-inner';\r\n  wrapper.appendChild(err);\r\n  button.parentNode.insertBefore(wrapper, button);\r\n  document.querySelector('[id^=\"_form\"][id$=\"_submit\"]').disabled = false;\r\n  if (html) {\r\n    var div = document.createElement('div');\r\n    div.className = '_error-html';\r\n    div.innerHTML = html;\r\n    err.appendChild(div);\r\n  }\r\n};\r\nwindow._load_script = function(url, callback) {\r\n    var head = document.querySelector('head'), script = document.createElement('script'), r = false;\r\n    script.type = 'text\/javascript';\r\n    script.charset = 'utf-8';\r\n    script.src = url;\r\n    if (callback) {\r\n      script.onload = script.onreadystatechange = function() {\r\n      if (!r && (!this.readyState || this.readyState == 'complete')) {\r\n        r = true;\r\n        callback();\r\n        }\r\n      };\r\n    }\r\n    head.appendChild(script);\r\n};\r\n(function() {\r\n  if (window.location.search.search(\"excludeform\") !== -1) return false;\r\n  var getCookie = function(name) {\r\n    var match = document.cookie.match(new RegExp('(^|; )' + name + '=([^;]+)'));\r\n    return match ? 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It also means that not everywhere it will be possible to keep current processes running like we are used to it. Of course, this will also have [&hellip;]<\/p>\n","protected":false},"author":21,"featured_media":65061,"parent":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_lmt_disableupdate":"yes","_lmt_disable":"","_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[5593],"tags":[],"class_list":{"0":"post-65059","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-vat-compliance","8":"entry"},"acf":[],"modified_by":"Niki Stanev","_links":{"self":[{"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/posts\/65059","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/users\/21"}],"replies":[{"embeddable":true,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/comments?post=65059"}],"version-history":[{"count":0,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/posts\/65059\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/media\/65061"}],"wp:attachment":[{"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/media?parent=65059"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/categories?post=65059"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hellotax.com\/blog\/wp-json\/wp\/v2\/tags?post=65059"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}