Zagreb - The Government's April package of measures to bail out the economy affected by the corona crisis received strong support in the parliament on Tuesday.
The measures define amendments to several laws and increase the amount of job keeping support scheme by raising the amount of compensation of workers' salaries from HRK 3,250 to 4,000. The state itself is also covering contributions on that amount which comes to about HRK 1,460 for each employee. As a result, the measure accounts for a total of HRK 5,460 for each employee.
All the sets of measures introduced by the government for April and May in addition to those already implemented in March, amount to HRK 8.5 billion and they refer to employers who will not lay off their workers.
Parliament agreed with several of the Government's measures related to public contributions, particularly income and profit tax and contributions on wages.
The latest package also defines that all businesses including those with an annual revenue of more than HRK 7.5 million, are eligible to pay VAT only when an issued invoice is paid. Until now that was only possible for small enterprises.
With amendments to budget legislation the Government will be able to take a loan of HRK 26.8 billion, as already envisaged for this year.
High level of agreement on Government's measures
The tax and accounting laws were amended by unanimous vote in the parliament while the budget bill was adopted with a majority vote.
A package of laws to support the tourism sector was adopted with a high level of concurrence.
Parliament also adopted a package of four laws related to extending the deadline to renew Identification cards, driver licences, and passports, and so own in an effort to limit the number of citizens coming to counters at police stations and to encourage them to stay home.
Vehicle registrations and technical checks will continue as normal.
Parliament also adopted amendments to the Agriculture Law including some provisions that will apply retroactively.