Slovakia Outlines Tax and Loan Measures to Combat Coronavirus

The Slovak government said Monday that companies can expect three more months for filing their 2019 corporate income tax returns, sanction-free loan payment deferrals, and improved access to low-interest loans as part of a new coronavirus-action plan.

Companies can also expect to carry forward losses for more than four tax years and a partial waiver of employers’ social security and health contributions for employees idled due to production interruptions or stoppages.

“We must not allow the economy to stop working,” Economy Minister Peter Ziga said in a Bratislava press conference.

A day earlier, Volkswagen Slovakia, one of the country’s largest employers, said it would suspend production to protect its employees against the spread of the respiratory disease, Covid-19.

The action plan has yet to be formalized through government decision and may in part require parliamentary approval.