The government should discuss a pandemic law or budget adjustment

Updates: 15.02.2021 00:06

Prague – The government will discuss the draft pandemic law, which could reduce the need to use a state of emergency in the fight against covid-19, or the law on the compensatory bonus. The Cabinet should also discuss an amendment to the state budget for this year. At present, the budget does not take into account the effects of the tax package, which, among other things, abolished the super-gross wage and reduced taxation, nor with additional expenditure on compensation for entrepreneurs affected by the pandemic.

The cabinet is waiting for the fourth meeting in five days. On Friday and at the weekend, the ministers discussed the consequences of the Chamber of Deputies not agreeing to the extension of the state of emergency. The government announced it again on Sunday at the request of the governors. It will be valid until the end of February, the cabinet wants to use these 14 days to negotiate with the opposition on the future form of the fight against the epidemic. Pandemic law is one of the demands of opposition parties.

The new law on the compensation bonus should be effective retroactively from 1 February and increase the daily contribution from CZK 500 to CZK 1,000. At the same time, according to the office, it should no longer be linked to an emergency. The support will be aimed at companies and entrepreneurs, whose sales fell by 50 percent or more in the relevant period. According to the Ministry of Finance, the new support system, which is linked, among other things, to the continuation of the Antivirus program, should help businesses reach businesses faster and more. The Minister of Industry and Trade Karel Havlíček (for YES) stated on Sunday that the new support system will cost 20 to 25 billion crowns a month without guarantees.

The approved budget deficit for this year is 320 billion crowns, according to earlier estimates of the Ministry of Finance, the change in taxes should reduce revenues by 87.5 billion crowns. According to the Minister of Finance Alena Schillerová (for YES), it will also be necessary to reflect the costs of new compensation programs for entrepreneurs, which the government is preparing, in the new amount of the deficit. The Minister will propose to approve the budget change in a state of legislative emergency.

Source: České noviny – hlavní události by

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