Dear clients and business partners,

In connection with today’s meeting of the Government of the Czech Republic, we would like to inform you about the most important decisions concerning new measures and intended legislative changes in connection with the spread of COVID-19.

  • provision of a contribution of CZK 15.000 per month (this amount will not be further taxed) for SELF EMPLOYED PERSONS whose business premises were closed or prevented from doing business in connection with the measures to prevent the spread of COVID-19. This provision will be paid by the tax authorities until the end of the restrictions. Conditions will be further specified on Monday, 30th March 2020;
  • remission of social security and health insurance contributions for SELF EMPLOYED PERSONS has been approved up to the minimum advance payments for 6 months;
  • nursing allowance for parents of children under 13 years in an amount of 424, – CZK per day, up to a maximum of 13,144, – CZK per month, for the period during which children cannot attend schools has been approved; it will be possible to apply for the allowance through the tax authorities, both electronically and personally, while only one parent can apply for the allowance;
  • possibility of applying for interest-free loans (COVID-II) for small businesses as of Monday 30 March 2020, with no minimum amount;
  • loosening of the regime for hotels and boarding houses lying in the fact that these accommodation facilities can accommodate all persons who will require accommodation for the purpose of work, business or other business activity and also foreigners for the purpose of work and foreigners who are in the Czech Republic until the time they leave the Czech Republic;
  • preparation of a draft amendment to the Consumer Credit Act, the purpose of which is to relieve small business owners, in particular the possibility of postponing instalments, non-repayment of loans, etc.;
  • negotiations about a bank package with the directors of banks operating throughout the Czech Republic, which should consist in postponing instalments for at least 3 months, reducing or forgiving interest on loans to small business owners whose business is restricted by the Government’s measures in connection with COVID-19;
  • preparation of a draft amendment to the Insolvency Act, which should include the possibility of applying for an extension of debt relief, interruption, suspension or waiver of certain time limits, etc.;
  • preparation of a program to support companies in the agricultural sector by postponing instalments and assisting small and medium-sized enterprises in agriculture, economy, forestry, etc.;
  • setting up an online platform, where companies can offer their products or ask for help from other companies;
  • introduction of a new measure for retailers to provide disposable gloves or other means to their customers in order to avoid direct hand contact with the goods;
  • change in the regime of cross-border workers who are health professionals, social workers or members of the Integrated Rescue System (IRS) has been approved, to these workers the regime of cross-border workers does NOT apply.

In case of any further questions or need for more information, don´t hesitate to contact us any time.

Kind regards