Call for Help for SPs Who Closed Their Businesses

By , 27 Mar 2020, 09:30 AM Business
Call for Help for SPs Who Closed Their Businesses torange.biz CC-by-4.0

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STA, 26 March 2020 - The Chamber of Craft and Small Business (OZS) has warned that as many as 1,400 sole proprietors closed their business this month and proposes that these also be included in the measures planned by the government to alleviate the economic impact of the coronavirus epidemic if they opt to relaunch their business.

The OZS says that many of the sole proprietors have closed their firms in order to avoid paying social security contributions and taxes at a time when demand for their services and products has died down.

"We need to understand the distress of many sole proprietors who lost their income overnight... and because there was only talk of deferring the payment of contributions and taxes, many opted to close their businesses," the chamber said on Thursday.

Last week, the National Assembly passed changes allowing sole proprietors to defer the payment of social security contributions and taxes for April, May and June.

This week, the government announced additional measures for sole proprietors, including social security contribution and tax exemptions, and providing a monthly universal income of 70% of the minimum wage.

Details of this proposal are to be defined by the government on Friday.

The OZS warned today that unless sole proprietors who had closed their businesses be included in these measures, they would end up at the Employment Office and in need of welfare, becoming an additional burden for the state.

The OZS also proposes that the measures planned be effective as of 1 March, when the slump in orders had begun to show.

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