On 7 July 2021, the National Assembly has adopted the new Act on Intervention Measures to Assist the Economy and Tourism Sector (ZIUPGT). The act has entered into force on 14 July 2021. The major changes are summarized below.

Validity of Identity Card

A citizen of the Republic of Slovenia possessing an identity card whose validity expired on or after 29 March 2020 may still use it until 31 December 2021 as a valid document, provided that he has not changed any personal data displayed on the card during that time and if the photograph on the identity card still shows his true image. However, crossing the state border with an expired identity card will not be possible.

Subsidy of Part-time work

ZIUPGT sets three conditions that need to be met for an employer to be qualified for the reimbursement for part-time pay:

1. an employer has to be a legal or natural person who was entered in the Slovenian Business Register before 31 December 2020 and employs workers based on a full-time employment contract, or a natural person who performs an agricultural activity and was entered in the Register of Agricultural Holdings no later than 31 December 2020;
2. employer’s estimate needs to state that he isn’t able to provide at least 10 % of his employees with at least 90 % of work;
3. the employer has been restricted or prevented from performing his business activity by government regulation. 

Financing of Annual leave

The beneficiary of aid to finance for 2021 is a legal or natural person who has been entered in the Slovenian Business Register until 31 May 2021 and who meets the following conditions:

1. the person had to be registered for carrying out its main activity or ancillary activity on a farm;
2. the person was obstructed in performing its/his main activity due to the impacts of the COVID-19 pandemic;
3. the person has at least one employee who is registered in a mandatory pension and disability insurance scheme;
4. the persons shouldn’t be in collision with point 18 of Article 2 of Commission Regulation (EU) No 651/2014, declaring certain types of aid compatible with the internal market.

Value Added Tax exemption

ZIUPGT provides a temporary VAT exemption in the period from 1 May 2021 to 13 December 2021, with the right to deduct input VAT on supplies of protective and medical equipment, including the intra-EU acquisition of goods, intended for distribution to those affected by the epidemic, exposed to or dealing with it.

ZIUPGT stipulates that one of the following supply conditions need to be met, for a taxpayer to be eligible for the exemption:

1. the goods may be supplied to a state body or organization, local authority, other body governed by public law or another organization which is considered a charitable organization according to regulations;
2. the goods may be supplied on behalf of these bodies and organizations;
3. the goods may be acquired by another person from another EU Member State on behalf of those bodies and organizations;
4. the goods need to be intended either for free distribution to persons affected by the pandemic, exposed/dealing with the outbreak or for free use for persons affected by or dealing with the outbreak, provided that the goods remain the property of the authorities and organizations referred to in the previous paragraph;
5. supplier is obliged to submit a special report if he decides to claim the exemption.

Law Firm Senica is available for assistance with any questions you may have concerning the intervention measures.