July 22, 2020 | Tax

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Fiscal Measures to Support Micro and SMEs

22/07/2020 - TAX MEASURES TO SUPPORT MICRO AND SMES

It is expected the publication in "Diário da República" of various fiscal measures of support for micro, small and medium-sized companies, which enter into force on the day following their publication and remain in force until the end of the year in which the exceptional and temporary response measures to the SARS-CoV-2 epidemic and to the COVID-19 disease cease.

The measurements are the following:

a) Temporary suspension of payment on behalf of IRC

Entities classified as cooperatives or as micro or SMEs, may be waived from payments on account, additional payment on account, special payment on account.

However, entities covered by this waiver that wish to make the PPC may make this payment, under the terms and within the deadlines defined by law, taking into account the change resulting from the order of the Secretary of State for Tax Affairs, which led to the postponement of several deadlines. The most recent measures relating to this matter are contained in the Economic and Social Stabilization Program (PEES).

b) Early refund of unused special payments on account

Cooperatives, micro and SMEs, may request, in 2020, the full reimbursement of the part of the PEC that was not deducted by the year 2019, with exemption from complying with the period of 90 days defined in the IRC Code.

c) Maximum period for the reimbursement of VAT, IRC and IRS

When the amount of withholding tax, payments on account or VAT settlements is greater than the tax due, the refund is made within 15 days after delivery of the respective declaration by the taxable person, regarding VAT, IRC and IRS.

The Government will now have to regulate these rules, which come into force on the day following their publication and remain in force until the end of the year when the exceptional and temporary response measures to the SARS-CoV-2 epidemic and the COVID-19 disease cease .