Union: The government should restore Antivirus, subsidies for uncovered costs and reduce VAT

Updates: 15.11.2021 11:59

Prague – According to the Confederation of Trade and Tourism of the Czech Republic (SOCR), business representatives are negotiating with the government on compensation in connection with the tightening of anti-epidemic measures. They consider the renewal of the Antivirus employment support program, subsidies for uncovered costs and the reduction of value added tax (VAT) in gastronomy and tourism to five percent to be ideal. The next reimbursement meeting will take place on Tuesday. When asked by ČTK, the president of SOCR and vice-president of the Chamber of Commerce Tomáš Prouza stated this.

Due to the growing number of confirmed cases of coronavirus, the government plans to tighten existing regulations. Among other things, it should decide today on the abolition of recognition of antigenic tests. People who are not vaccinated or have not undergone covid-19 in the last six months will only be able to prove themselves by entering a PCR test when entering restaurants, cultural or sports facilities. He will pay 814 crowns for it in most laboratories. The test is valid for 72 hours from collection, and laboratories have 48 hours to evaluate it.

The trade unions have long called on the cabinet to present assistance to entrepreneurs, along with other restrictions. According to Prouza, the most meaningful and fastest solution is the renewal of Antivirus for gastronomy and tourism. He noted that the cabinet had previously agreed on the same support in the case of companies in the automotive industry, which is paralyzed by a lack of chips.

Furthermore, according to Prouza, the government should reintroduce the COVID 2021 and COVID Uncovered Costs programs. According to him, entrepreneurs whose turnover fell by 30 percent compared to the same period in 2019 should be able to apply for subsidies. In the past, the condition for entry for these aids was a decrease in turnover for the relevant period by at least 50 percent. In COVID 2021, entrepreneurs were entitled to a contribution of CZK 500 per employee and day of limitation; in COVID Uncovered Costs, they received assistance of up to 60 percent of uncovered costs.

According to Prouza, the cabinet should reduce VAT in gastronomy and tourism to five percent by the end of 2023 to support demand. It now pays a 10% VAT rate for catering and accommodation services, and 15 percent for food. In the case of travel services, VAT is 21 percent.

According to Prouza, in the current situation, where the number of patients is growing rapidly, caution is necessary. Otherwise, according to him, the hospital will be flooded again and you could expect a closure, which is the worst option for entrepreneurs, he said. According to him, there is a need to enforce existing measures more strongly, to promote vaccination and to behave responsibly. According to the findings of ČTK, some people in internet discussions, on the other hand, encourage entrepreneurs, mostly restaurateurs, to resist the measures. For example, the government regulation has been boycotting for a long time, such as the Chcípl PES initiative, which later turned into the political movement Open the Czechia to Normal Life.

Source: České noviny – hlavní události by www.ceskenoviny.cz.

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