November 2020 - It has been four months since the launch of rental subsidies in Slovakia. The Ministry of Economy of the Slovak Republic has to date registered approximately 25,000 applications and has paid out a total of EUR 25 million.
Below we provide an overview of the changes and updates to the application process. General information on government rental subsidies can be found in the article that we published at the time of their introduction.
1 DEADLINE FOR SUBMISSION OF AN APPLICATION
1.1 The deadline for submitting applications for rent subsidies is 30 November 2020. This deadline applies to the period of the first wave of the corona crisis.
1.2 The Ministry of Economy of the Slovak Republic is preparing to launch another call for applications for rent subsidies for the period of the second wave of the corona crisis. Applications will be available to file until May 2021.
2 UNDERTAKING IN DIFFICULTY
2.1 The Minimum Aid Scheme - Rent subsidies - de minimis was adopted in August 2020, extending the range of applicants entitled to a rent subsidy.
2.2 As of 24 August 2020, so-called undertakings in difficulty may also apply for a rent subsidy, regardless of the size of the undertaking.
2.3 Whether or not an undertaking is in difficulty is determined in particular from the financial statements. The basic rules for determining whether an undertaking is in difficulty:
- a company in liquidation, restructuring or bankruptcy = an undertaking in difficulty;
- a company has existed for less than three years = not an undertaking in difficulty (exceptions are companies in liquidation, restructuring or bankruptcy);
- a company has existed for more than three years = the financial situation is examined (e.g., for small and medium-sized undertakings, if their equity is less than half of their registered capital, it is an undertaking in difficulty).
3 PERIOD OF DIFFICULT USE
3.1 The Ministry of Economy of the Slovak Republic published a list of measures under which individual establishments were closed or restricted by a ban on public presence. It also published a tool that makes it easier for applicants to calculate the specific period of difficult use depending on the type of operation (restaurant, hairdresser, etc.).
3.2 More information is available at this link (in Slovak only).
4 REPRESENTATION BY ATTORNEY
4.1 As of 24 August 2020 it is possible to submit and sign the application through an authorised person (on behalf of the landlord and tenant).
4.2 The authorised person must have permission to access and have at his disposal the electronic mailbox of the person on whose behalf he will sign the application. If signing for a legal person, the authorised person must have access to the electronic mailbox of a member of the statutory body of the legal person.
5 FOREIGN EXECUTIVES / PROXIES
5.1 In order for an application to be signed by a member of the statutory body / proxy who is a foreign national, it is necessary to have his / her own electronic mailbox set up and have the relevant login means.
5.2 The relevant login means include:
- Residence evidence
- Alternative authenticator
- Accepted login means issued in an EU country (accepted countries include, e.g. Germany, Italy, the Czech Republic).
5.3 Access to the landlord's electronic mailbox (legal person) for submission of an application:
5.3.1 Slovak executives have automatic access to the electronic mailbox of their respective legal entity.
5.3.2 Foreign executives do not have automatic access, so they must first set up their own electronic mailbox.
5.3.3 Proxies also do not have automatic access, thus they must first set up their own electronic mailbox and request access to the legal person's electronic mailbox.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.