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Information for employers and employees

COUNT IT TAX informs: important innovations for employers and employees

  • Corona short-time work phase 3

  • Compensation for earnings in quarantine

  • Adjustment of notice periods for blue-collar workers postponed!

  • Profit allowance

1. Corona short-time work phase 3 from October 1st, 2020

A retroactive initial application for short-time working projects from November 1st, 2020 will be possible until the expected end of the lockdown (December 6th, 2020). Those entrepreneurs who submitted an application for short-time working with a Working time of at least 30% have applied for, can subsequently submit a change request with a higher loss of working hours until the end of the approved short-time working period! If the working time is less than 30%, Appendix 2 of the social partner agreement must be attached.

In those companies that are subject to an entry ban in accordance with Covid-19 Protective Measures Ordinance are affected, the working hours for the duration of the official closure can also be up to 0% be reduced if the average working time falls below the minimum working time of 30% or 10% of normal working time over the entire short-time working period. The reduction of the working time to up to 0% of the normal working time is also possible retrospectively.

A reason for short-time work must also be provided by companies affected by the official closure. However, in order to enable these companies to submit applications faster and less bureaucratic, there is no need to have the application confirmed by an auditor, tax advisor or accountant.

All WKO information compactly summarized as a download.

2. Compensation for earnings in quarantine

Companies are entitled to compensation for earnings if people are quarantined by the BH because they are infected with the Covid-19 virus or suspected of being contagious. The prerequisite for this is that the authority has a so-called Separation notice has issued. Compensation can then be requested from the relevant BH within three months of the quarantine being lifted.

However, between 2 possible cases differentiated:

One employee was separated

The entrepreneur must pay the isolated employee his wages in accordance with the Continued Remuneration Act even during the isolation. The employer acquires a right to remuneration of the wages paid during the separation. This entitlement also includes the employer's share in statutory social insurance.

The businessman was segregated

The calculation of the loss of earnings of a quarantined self-employed person is via theExcel tool of the Ministry of Health. The completed Excel document must be attached to the application. The correctness of the calculation must be confirmed by a tax advisor, auditor or accountant. It is recommended to have the Excel tool filled out by them too!

It is important that the in connection with the application the costs incurred by the tax advisor, auditor or accountant can be claimed in the tool up to a maximum amount of EUR 1,000!

3. Postponement of the alignment of the notice periods for blue-collar and white-collar workers

The planned alignment of the notice periods for workers, which would actually have come into force on 01.01.2021, has been postponed by the National Council. As a result of the alignment, the notice periods and dates of the workers would have been aligned with those of the salaried employees. This adjustment has now been carried out by half a year 1.07.2021 postponed. Due to the postponement, the extended notice periods for workers only apply to termination of employment relationships that were issued after June 30, 2021.

4. Use the Gwinn tax allowance in good time before the end of the year!

When determining the income from a business activity, natural persons and shareholders of co-entrepreneurs (e.g. OG or KG) can use a Profit allowance take advantage of tax reduction.

The amount of the exemption depends on the amount of the profit. A basic allowance of 13% of the profit (max. EUR 3,900) is available for prizes up to EUR 30,000. It is not necessary to make an investment. Even in the case of several companies of one taxpayer, the basic tax credit is available once per assessment year. If the profit exceeds EUR 30,000, an investment-related profit allowance can be claimed in addition to the basic tax allowance. The prerequisite is that fixed assets or certain securities are acquired in the same calendar year in the same amount as the investment-related profit allowance.

The following investments can be made to reduce taxes

  • physical, wear-and-tear assets with a normal useful life of at least 3 years

  • Securities that meet the requirements for cover for pension provisions (federal bonds, bank bonds, industrial bonds, residential bonds, bonds with warrants and exchangeable bonds, certain investment and real estate funds as well as guarantee certificates)

Assertion of the profit allowance

The basic allowance is entered in the tax return, but is generally awarded automatically if the entry is forgotten. The investment-related profit allowance must also be shown in the tax return for the respective year. The physical assets are to be entered in the annex directory. Securities for which a profit allowance is claimed are included in a separate list that must be submitted to the tax office on request.

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