2021-01-20 VMI Posted by subsidy, according to which GPM compensation is awarded to an independent company (According to Republic of Lithuania Small and Medium Business Development Law having neither affiliated nor partner companies), when it meets one of the following conditions:
- the company's average monthly turnover from 2020 November 1 d. until 2021 on January 31, compared to the same period in 2019-2020. decreased at least 30 percent (if the main activity of the company was limited after in 2020 on November 30, this is the average monthly turnover compared since 2020. December 1 until in 2021 January 31 compared to the same period in 2019-2020);
- if the company was established from 2019 November 1 until 2020 on November 30, and from 2019 November 1 until 2020 January 31 did not receive income, and its main economic activity is included in those restricted and indirectly restricted during the quarantine list of economic activities.
How will the amount of the subsidy be calculated?
The subsidy is calculated based on the amount of GPM assigned to class A paid and/or credited by the company for 2019:
- 25 percent from the paid and/or credited GPM, if the amount of GPM paid by the applicant for 2019 was more than EUR 2,000.
- 500 EUR subsidy if the GPM paid and/or credited by the applicant for 2019 is EUR 2,000 or less.
- 500 EUR subsidy, from 2019 November 1 until November 30, 2020 established companies, which in the period of 2019 November - 2020 did not receive income in January.
Consultations on subsidy issues are provided by VMI specialists by short phone 1882 (press "2").
In order to receive a subsidy, a company must meet all of them In the description stated criteria:
- sh. m. January 1 and on the first day of the month of application submission, if the application was submitted after 2021. in January, the company had at least 1 employee;
- the company meets the minimum criteria of a reliable taxpayer on the date of the application and the date of compiling the lists of eligible applicants;
- company until 2020 January 31 for 2019 has paid and/or credited at least part of the GPM assigned to class A to the municipal and state budgets;
- the company is not reorganized, participating in reorganization, restructuring, participating in separation, bankrupt, bankrupt, liquidated, liquidated due to bankruptcy, liquidated, merged crossing the borders of one state, participating in a merger crossing one state;
- the company has submitted financial statements for 2019. JV "Registru centras";
- the company is registered in Lithuania or the company is a legal person or organization not registered in the Republic of Lithuania, but its permanent office is registered in the Register of Taxpayers;
It should be noted that self-employed companies that have submitted an application will also be assessed by the Lithuanian Business Support Agency (LVPA) and the Competition Service (KT) in order to make sure that the state aid paid to one company does not exceed the permitted aid amounts set by the European Commission regulation and to check whether the company has not been considered a company in difficulty as well as whether the company is very small or small.
After receiving a positive response from LVPA and KT, and after calculating the potential subsidy amount owned by the company independently, VMI will submit the summarized information to the Ministry of Economy and Innovation. After the latter makes a positive decision on granting the subsidy, the subsidy funds allocated to the company will be transferred by the National Center for General Functions.
An independent company that meets all the established criteria will receive the subsidy within 18-38 days from the submission of the application. The tax administrator has the right to ask the company to provide additional data necessary to assess the validity of the application within 5 working days from the submission of the application.
What is an independent company - according to Republic of Lithuania Small and Medium Business Development Law that have neither associated nor partner companies - details:
- Micro, small and medium enterprises concept:
Number of employees Financial data meets at least one of the following conditions:
- Basic concepts:
a) Small and medium business entity - a very small company, a small company or a medium-sized company that meets the conditions specified in point 1, or an entrepreneur that meets the conditions specified in point b) of this paragraph.
b) Businessman - a natural person who engages in economic and commercial activities (e.g. a farmer) in accordance with the procedure established by law, including those engaged in holding a business license.
c) Related companies - companies linked by any of the following links:
1) one company has the majority of participant votes (more than 50 percent of shares) in another company;
2) one company has the right to appoint and remove the majority of members of the management or supervisory body or administrative officers of another company;
3) the company has the ability to exert a decisive influence on another company due to the contracts concluded with this company or due to the provisions of the founding documents of this company;
4) a company that controls the majority of the votes of the participants of this company due to contracts concluded with the participants of another company;
5) business relationships specified in points 1-4 of this part formed as a result of the activities of the same natural person or natural persons acting together, if these companies are engaged in the same activity or part of the same activity in the same relevant market or related markets.
d) Partner companies - companies that are not classified as related companies and which directly or indirectly (through one or more related companies) have from 25 to 50 percent. other company's shares, shares or other parts of the capital representing participation in the company's capital, or directly or indirectly (according to a voting agreement, agreement on the transfer of voting rights, power of attorney, etc.) holding from 25 to 50 percent. votes of all the participants of another company.
e) Independent company - a company that is not classified as a partner or related company. - When calculating the indicators defined in point 1, not only the indicators of the company declaring the status of SME entity are evaluated, but also the relevant indicators of related companies and partner companies.
- A company declaring the status of an SME entity may be a partner company, a related company, or a partner and related company due to existing links between several companies. If there are no connections between several companies provided for in the SME Development Law of the Republic of Lithuania, the company declaring the status of an SME entity is an independent company.
- When determining the status of the declarant and adding up the relevant indicators, the indicators of the partner company are added to the indicators of the company declaring the status of the SME entity in proportion to the number of votes of the participants (for example, if the declarant has 30% of the votes in another company, a coefficient of 0.3 is applied when adding up the indicators).
- The respective indicators of the related company are added without reducing the number of available votes (for example, if a company declaring the status of an SME entity has 70% of the votes in another company, when adding the indicators, the indicators of both companies are added together).
- A company is not classified as an SME entity if more than 25 percent of the company's shares, shares or other capital parts representing participation in the company's capital, or more than 25 percent of the votes of the company's participants, directly or indirectly (according to a voting agreement, agreement on the transfer of voting rights, authorization, etc.) is held by the state and/or the municipality (with the exception of the exceptions provided for in the SME Development Law of the Republic of Lithuania).
- In box 8 "Period for which the Declaration is submitted" of the declaration of the status of the SME entity, enter the relevant year for which the declaration is submitted. The entered year must correspond to the year for which the data is entered in the declaration on the basis of approved annual financial statements, consolidated annual statements or other financial documents.
- In box 9 of the declaration of the status of the SME entity, "Average annual number of registered employees" is calculated according to the description of the procedure for calculating the average annual number of registered employees of SME entities.
- The declaring entrepreneur (e.g. farmer) fills in box 10 of the SME entity status declaration in the same way as the declaring company.
- For newly established companies whose annual financial statements or other financial documents have not yet been approved, compliance with the conditions set for the status of an SME entity is determined based on the listed number of employees, the value of the assets indicated in the balance sheet, the company's income from the day of establishment and according to the data of the planned financial year.
*Extracted from the basic rules and guidelines for declaring the status of an SME entity.