Update on COVID-19 subsidies
The following contribution provides an overview of planned changes to existing COVID-19 state aid, as well as an overview of new COVID-19 subsidies as of 4 February 2021.
According to a proposed ministerial decision of 20 January 2021, the cut-off date for the initial measure, which indicates the beginning of the investment, could be extended from 28 February 2021 to 31 May 2021.
Furthermore, the calculation period of the investment, which indicates the completion of the investment, could be extended from 28 February 2022 to 28 February 2023 for applications with an investment volume of up to EUR 20m. For those applications which have an investment volume greater than EUR 20m, the calculation period of the investment could be extended from 28 February 2024 to 28 February 2025.
Under the proposals, the settlement deadline will be extended from 3 months to 6 months.
Please note that the ministerial decision is still under review and has not yet entered into force.
You will find further information on the following site: https://www.aws.at/corona-hilfen-des-bundes/aws-investitionspraemie/
Fixed costs subsidy 800k and compensation for losses
On 28 January 2021, the European Commission gave the green light to extending the existing state aid framework. Accordingly, the current ceiling for the fixed costs subsidy of up to EUR 800,000 will be increased from EUR 800,000 to EUR 1.8m per company. Likewise, the framework for compensation for losses will be increased from the current EUR 3m to EUR 10m per company.
In addition, the “Temporary Framework” has been prolonged from 30 June 2021 to 31 December 2021.
Please note that the increase of the state aid limits by the EU Commission still needs to be transposed into Austrian law, which has not yet taken place.
You will find further information on the following site: https://ec.europa.eu/commission/presscorner/detail/en/ip_21_261
Revenue shortfall bonus
On 17 January 2021, the Austrian Federal Government announced the revenue shortfall bonus as a new subsidy instrument for companies that have been directly and indirectly affected by the COVID-19 crisis. All companies with a revenue shortfall greater than 40% in comparison to the equivalent monthly revenues in 2019 are eligible to apply for the revenue shortfall bonus. This means that companies can receive the revenue shortfall bonus even if they were not eligible for the lockdown revenue compensation for November and December 2020 due to the lack of significant direct or indirect impact. The revenue shortfall bonus amounts to 30% of the revenue shortfall, up to a maximum of EUR 60,000 per month. The amount will be divided, with 50% allocated to the revenue shortfall bonus itself, and 50% to the fixed costs subsidy 8k as an advance payment.
Applications must be submitted via FinanzOnline and can be submitted from the 16th of the following month (i.e. from 16 February 2021 for the month January 2021).
Please note that there are currently no guidelines available on the revenue shortfall bonus.
You can find further information on the following site: https://www.bmf.gv.at/public/top-themen/ausfallsbonus.html
Revenue compensation for indirectly affected companies
According to the information currently available to us, additional revenue compensation for indirectly affected companies is planned, but no further details have yet been provided.
Authors: Daniela Stastny, Alexandra Velic