The Government of the Republic of North Macedonia at today’s 41st session decided to submit proposal to the President of the Republic of North Macedonia with a report on the activities undertaken so far by the state institutions, which argues that in order to successfully deal with the coronavirus in the country, a state of emergency is necessary.
At today’s session the Government reviewed and adopted the Information of the Development Bank of the Republic of North Macedonia for the second package of approved applications from the processed applications of companies which meet the requirements and criteria for interest-free loans from the Public Call from the first package of economic measures.
According to this information, another 118 companies with 1116 employees have been approved to use interest-free loans in the total amount of 936.602 euros.
In the first and second group a total of 254 loan applications have been approved in the total amount of 2,2 million euros, for companies with 2853 employees. By structure, of the total of approved loan applications, micro companies up to 10 employees participate with 69%, small companies with up to 50 employees participate with 28% and medium sized companies with up to 250 employees, participate with 4%.
The delivery of Information with processed loan applications that meet the requirements to the Government will be carried out regularly, on a weekly basis, until the funds from the credit line Covid 1 are fully exhausted. So far, the Development Bank of North Macedonia has received more than 1050 loan applications in the amount of 7,5 million euros.
By the end of the week, at the latest, the Development Bank will contact all companies whose loan applications were approved at today’s government session for the realization of the loan agreements.
At this session the Government adopted a Decree with a force of law for payment of honorarium to persons engaged in the state administrative bodies (legislative, executive and judicial) regulatory bodies, agencies, state commissions, legal entities fully or dominantly owned by the state, the local self-government units, and the City of Skopje and the legal entities established by the self-government units and the City of Skopje.
This Decree with a force of law regulates the amount and method of payment of the honorarium based on a concluded temporary service contract to persons engaged in these institutions, by which it is determined that these persons shall be payed full honorarium for the duration of the state of emergency as well as after the termination of the state of emergency, until 31 December 2020, if the person is not registered as an employed person in the Employment Agency of the Republic of North Macedonia on the day this Decree with force of law enters into force.
If the persons covered by this Decree with force of law are registered as employed persons in the Employment Agency of the Republic of North Macedonia on the day this Decree enters into force, they will be paid 50% of the honorarium determined in the temporary service contract, but maximum to the amount of 30.000 denars.
This Decree with force of law does not refer to the persons who have concluded temporary service contract with the state administrative bodies, regulatory bodies, agencies, state commissions, legal entities fully owned by the state, local self-government units, and the City of Skopje and legal entities established by the local self-government units and the City of Skopje for implementation of projects funded or co-funded with loans and funds from foreign creditors, international donors and financiers.
Today, the Government adopted the Decree with force of law amending the Decree with force of law for application of the Law on Value Added Tax during the state of emergency which stipulates exemption from VAT for turnover of goods and services that have been given to budget users as a donation and turnover of goods and services performed towards budget users realized with donated funds.
The turnover that is exempt from VAT with this Decree is aimed at simplifying and facilitating the process of donations realized towards budget units.
In order to further stimulate potential donations to budget users, the turnover realized towards recipients of donations – budget users, is exempt from VAT with the right to deduction from a previous tax provided that the donor has confirmation for received donation by the recipient of the donation.
The turnover of goods and services realized from donated funds is exempt from VAT if the recipient of the donation – budget user submits statement that the turnover has been realized with donated funds.
The taxpayers will also be entitled to deduction if the requirements prescribed in the Law on Value Added Tax are met.
The performer of the trade, that is to say, the donor of the donation from this draft Decree is obliged to keep record of the turnover of goods and services towards budget user – recipient of the donation.
At the proposal of the Ministry of Agriculture, Forestry and Water Economy, at this session the Government adopted the Decree amending the Decree with legal force for the application of the Law on agricultural land during the state of emergency by which, in order to overcome the economic difficulties of the leaseholders, which will occur as a result of the state of emergency due to the epidemic, the deadline for payment of the annual rent for 2019 is extended until 31 October 31, 2020, and unilateral termination of agreements for lease of agricultural land in state ownership will not be performed due to unpaid annual rent until 31 October, 2020.
According to the Decree with force of law adopted today for application of the Law on Vehicles during the state of emergency, the deadline for extension of the authorizations of the legal entities for installing devices for conversion to liquefied petroleum gas and compressed natural gas is postponed and extended for 60 days from the day of the expiration of the state of emergency.
With this Decree, the importance of the decision on the authorization of the technical service for the works performed by the legal entities authorized by the decision of the Ministry of Economy, on the proposal for authorization for technical service by the approval body, and based on the issued Certificate of accreditation from the competence assessment body, whose validity period has expired or will expire during the state of emergency, shall be extended for the duration of the state of emergency.