Greece Extends Covid-hit Business Aid to Cover Operating Costs

The Greek finance and labor ministries announced this week the extension by six months of a special subsidy that covers operating costs granted to businesses impacted by Covid-19 restrictions.

Under the program, state aid in the form of tax or insurance contribution credit expired on December 31, 2021. The extension allows businesses to benefit from the support through to June 30, 2022.

The two ministries revised a previous decision in this direction. The backing includes tax payment and insurance contribution deductions as well as the option to dismiss employees, which only applies to enterprises faced with extreme conditions such as tourism businesses on Northern Evia, which were also impacted by the devastating fires there last summer.

More specifically, businesses based or operating in the municipalities of Mantoudi – Limni – Agia Anna and Istiaia – Edipsos of Evia, which were affected by the August 2021 fires are not obliged to retain staff or to present further supporting documents, the finance ministry said.

“The government and the relevant ministries continue to provide hands-on support to businesses that have been adversely affected by the coronavirus crisis, but also to those affected by the recent fires, by modifying existing regimes where necessary with the aim of providing the best possible support of the economy,” the finance ministry said.