COVID-19: EMEIA Government Support Package - Ireland - 09 June 2020 - EY
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COVID-19: EMEIA Government Support Package — Ireland 09 June 2020
2 COVID-19: EMEIA EY Government Support Package
The Irish Government has announced a suite of emergency measures to provide financial
support to Irish workers and companies affected by COVID-19. The measures focus on
supporting employment, providing cash flow support to businesses, and increasing welfare
support.
The measures can be grouped into six main areas which are being delivered via three
distinct channels.
Areas being addressed: These aims are primarily being delivered
through:
1. Providing liquidity through financing schemes
► The tax system (covering tax deferrals,
2. Helping employers to protect jobs
employment support, acceleration of refunds)
3. Business support through removal of fixed
► Business loan and grant schemes;
costs and provision of grants
► The social welfare (Pandemic Illness Benefit and
4. Cash-flow support, including tax deferrals
Pandemic Unemployment Benefit)
5. Administration, including filing extensions
6. Social welfare
COVID-19: EMEIA EY Government Support Package – Ireland
3 Irish Government responses
Liquidity and financing Cash flow measures Administration
Strategic Banking Corporation of Sustaining Enterprise Fund For small and medium sized Extension of certain tax filing
Ireland (SBCI) COVID-19 Working enterprises (SMEs) no interest on deadlines
Repayable advance up to €800K.
Capital Scheme late payments for January/February
Annual administration fee of 4%. Suspension of surcharge for late
to May/June Value added tax (VAT)
Loans of €25K to €1.5m Maximum Aimed at firms with 10 or more filing of corporation tax returns
and February to June PAYE
interest rate 4% employees
(Employer’s) liabilities Suspension of debt enforcement
SBCI Future Growth Loan Scheme COVID 19 Credit Guarantee scheme
VAT repayments and Professional Extension of filing date for annual
Loans €100K to €3m. 8-10 year €10K to €1m loans. 80% Services Withholding Tax (PSWT) company returns
term. Maximum interest 4.5% Government guarantee refunds prioritised
Microfinance Ireland Business Pandemic Stabilisation Recovery Payment of excess R&D tax credits
loans Fund due to be paid to companies in
2020 will be accelerated
Increased from €25k to €50k. Anticipated €10m minimum
Interest reduced to 4.5% investment. Investment term > 3
years
Fixed costs and grants Employment support Welfare
Support for businesses impacted by Strategic Consultancy Grant for Temporary Wages Subsidy Scheme COVID-19 Pandemic Unemployment
COVID-19 through commercial rates SMEs Payment (available to 10 August
Enables employees, whose
waiver 2020)
Covid-19 Business Financial employers are affected by COVID-
Restart Fund: rebates/waivers of Planning Grant 19, to receive significant support Enhanced COVID-19 Illness Benefit
commercial rates payments from directly from their employer. This
Local Enterprise Business Continuity
2019 (€10K cap) scheme will continue until the end of
Vouchers (max €2,500)
August 2020
COVID-19 Products Scheme
Self employed
Entitled to social welfare COVID-19
Pandemic Unemployment Payment
or Enhanced COVID -19 Illness
Benefit
18 June 2020 COVID-19: EMEIA EY Government Support Package – Ireland
4 Strategic Banking Corporation of Ireland (SBCI)
COVID-19 Working Capital Scheme
€450m Strategic Banking Who is eligible? What does it cover? Practicalities
Corporation of Ireland Viable micro, small and medium Loans can be used for future Companies will need to consider if
(SCBI) COVID-19 Working sized enterprises (SMEs) and working capital requirements and they are eligible to participate and
Capital Scheme Small Mid-Cap enterprises that to fund innovation, change or how long it might take to be
Provide loans of between meet the eligibility criteria. adaptation of the business to approved to participate.
€25,000 and €1.5m per SME is defined in Commission mitigate the impact of COVID-19. Applicants will be required to
eligible enterprise Regulation 2003/361/EC. Loans cannot be used to submit a business plan
Maximum interest rate of refinance undertakings in demonstrating the means by
A Small Mid-Cap is an enterprise which they intend to innovate,
4% that is not an SME but has fewer financial difficulties or to
refinance existing debt. change or adapt in response to
Loan terms ranging from 1 than 500 employees. new challenge.
year to 3 years Eligibility criteria provides that Loan approval is subject to the
Loans unsecured up to enterprise must satisfy the Covid- banks own credit policies and
€500,000 19 criterion and one of the How is it accessed? procedures.
innovation criteria set out in the
Optional interest-only An Eligibility Application Form Loans in this Scheme are subject
scheme rules. to the De Minimis state aid
repayments may be must be submitted (open for
available at the start of the COVID-19 criterion provides that submissions from 23 March threshold of €200,000 per
loans (for 3 months) business must be impacted by the 2020). Forms are available at undertaking received in the last
Covid-19 virus resulting in three year fiscal period. In
The loan amount and term www.scbi.gov.ie .
business turnover/profitability practical terms this will determine
is dependent on the loan Loan applications can be made to the maximum duration and size of
being negatively impacted by a
purpose financial providers once the the loan permissible.
minimum of 15%.
Eligibility Letter is received.
Applicants must have an For more information
eligibility letter from the SBCI. The Scheme operates from March
2020 to March 2021 or until the Peadar Andrews
This scheme is not open to scheme has been fully
business in the primary peadar.andrews@ie.ey.com
subscribed.
agriculture or aquaculture Tel: +353 1 221 2833
Last updated 9 June 2020 sectors.
COVID-19: EMEIA EY Government Support Package - Ireland
5 Strategic Banking Corporation of Ireland (SBCI)
Funding for Future Growth Loan Scheme
Who is eligible? What does it cover? Practicalities
Additional €500m Strategic
Banking Corporation of Viable micro, small and medium- Loans can be used for long term A Business Plan must be
Ireland (SCBI) COVID-19 sized enterprises (SMEs) and investment. submitted with applications for
Future Growth Loan Scheme small mid-cap enterprises that loans of €250,000 or more.
Applicants must choose
meet the eligibility criteria.
► Provide loans of between investment in one of following: Loan approval will be subject to
€100,000 and €3m per SME is defined in Commission machinery or equipment; R&D; the banks own credit policies and
eligible enterprise Regulation 2003/361/EC. business expansion; premises procedures and overall scheme
improvement; process limits.
► Maximum interest rate of A small mid-cap is an enterprise
innovation; and people and/or
4.5% (3.5% for loans of that is not an SME but has fewer Loans in this Scheme are subject
systems.
€250,000 or more) than 500 employees. to the De Minimis state aid
Excluded activities include, threshold of €200,000 per
► Loan terms ranging from 8
financing of: pure financial undertaking received in the last
year to 10 years.
transactions; pure real estate three year fiscal period. In
► Loans unsecured up to How is it accessed? practical terms this will
activity; specific export
€500,000. An Eligibility Application Form determine the maximum duration
operations; road freight transport
► Optional interest-only vehicles for hire and existing must be submitted Forms are and size of any loan permissible.
repayments may be loans. available at www.scbi.gov.ie.
available at the start of the Loan applications can be made to
A separate Future Loan Growth
loans. financial providers once the
Scheme is in place for SMEs
► The loan amount and term involved in agriculture. Eligibility Letter is received.
is dependent on the loan It is intended that the Scheme
purpose. will operate for 3 years or until
The Future Growth Scheme is fully subscribed.
EU-supported
For more information
Peadar Andrews
Last updated 9 June 2020 peadar.andrews@ie.ey.com
Tel: +353 1 221 2833
COVID-19: EMEIA EY Government Support Package - Ireland
6 Microfinance Ireland COVID-19
Business Loan
Business loans from €5,000 Who is eligible? What does it cover? Practicalities
to €50,000 for eligible Businesses with less than 10 Loans can be used for working No penalties for early repayment
micro-enterprises employees and up to €2m annual capital and required business or hidden fees.
Loan terms up to a turnover that are currently changes as a result of COVID-19.
Applications will require a COVID
maximum of 3 years trading. Balance sheet net worth
19 business plan, cashflow
of not more than €2m.
6 months interest free and forecasts, bank statements and,
repayment moratorium with Applies to sole traders, a Central Credit Register Report.
the loan then repayable partnerships and limited
For loans in excess of €25,000
over the remaining 30 companies who are not in a
an aged list of trade debtors,
months position to avail of bank finance.
trade creditors and preferential
Interest rate of 4.5% if Business must be experiencing a creditors will be required.
submitted through Local negative COVID-19 impact on
Enterprise Office or 5.5% their business (at least 15% How is it accessed?
for direct Microfinance reduction in actual or projected Access is via a Local Enterprise
Ireland applications turnover or profit). Office of via registration at
Capital expenditure may be Open to all micro-enterprises www.microfinanceireland.ie
funded over 5 years. including those in retail and
tourism sectors.
For more information
Peadar Andrews
peadar.andrews@ie.ey.com
Tel: +353 1 221 2833
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland
7
Sustaining Enterprise Fund
€180m Sustaining Who is eligible? What does it cover? Practicalities
Enterprise Fund- available This fund is to sustain companies Support will be available to assist The required Business
through Enterprise Ireland that have suffered a 15% companies access the necessary Sustainment Plan should set out,
for viable but vulnerable reduction in actual or projected liquidity and funding to sustain if implemented, how the business
companies that need to turnover and/or profit or have their businesses in the short to can be stabilized and return to
restructure or transform significant cost increases as a medium term. viability.
their businesses result of COVID-19.
It will support the The plan must identify the extent
Scheme will operate as an The scheme is open to eligible implementation of a Business of immediate liquidity needs and
additional support to the companies that Sustainment Plan which must be how the support will remedy the
Strategic Banking provided that outlines the company’s immediate problems.
Corporation of Ireland ► Employ 10 or more full-time
employees eventual stabilisation of the
(SBCI) COVID-19 schemes State Aid sector exclusions need
business and return to viability.
and supports available from ► Are operating in the to be noted. This scheme is not
banks and other financial manufacturing and open to companies that were in
providers internationally traded services financial difficulty within the
sectors meaning of General Block
Scheme is EU State Aid How is it accessed?
exemption Regulations on 31
approved. ► For SMEs, have applied for Eligible companies will need to December 2019.
It provides for: funding from a financial provide a Business Sustainment
institution, including where Plan.
► repayable advance of up appropriate under the SCBI
to €800,000 Evidence of application for
COVID-19 schemes
funding through SCBI or financial
► 3 year grace period For large companies – have
► institutions is required. For more information
► Repayable at end of year applied for funding with
Evidence of the need for Covid-19 Peadar Andrews
5 on achievement of appropriate financial
support funding and of a drop of
project objectives institutions. peadar.andrews@ie.ey.com
at least 15% or more in income or
► an annual 4% Companies active in the primary projected income. Tel: +353 1 221 2833
administration fee agricultural, fishery and
Access is via Enterprise Ireland.
aquaculture sectors cannot apply.
Last
- updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland
8
Sustaining Enterprise Fund for Small Enterprise
- €25k to €50K short term Who is eligible? What does it cover? Practicalities
working capital injection Manufacturing and Provide financial support Project plan required.
internationally traded service (against detailed costs and
Companies that were in financial
companies. cashflows) to eligible companies
- Repayable advances difficulty on 31 December 2019
for a 3-month period to support
Suffered/projected to suffer 15% or after 31 December 2019 for
business continuity.
or more reduction in actual or reasons not related to COVID-19
- Minimum 10 full time projected turnover or profit as a Sustain business so that are not eligible.
employees on payroll on result of the COVID-19. companies can return to viability
29 February 2020 and contribute to the recovery of
Companies have engaged with
the Irish economy.
their financial institution on their
- Annual turnover in most financing needs to sustain the
recent financial business through the short and
statements not exceeding medium term.
€5m Companies with more than 10
employees and an annual How is it accessed?
turnover in their most recent
- Sustain business so that Project plan is required.
financial statements not
companies can return to exceeding €1.5 million can apply Evidence of reduction of at least
viability and contribute to for up to €25,000 in funding. 15% or more in turnover or profit
the recovery of the Irish as a result of COVID-19 .
economy Companies with more than 10
employees and an annual Access is via Enterprise Ireland
turnover in their most recent For more information
businessresponse@enterprise-
financial statements greater than ireland.com Peadar Andrews
€1.5 million, but less than €5
peadar.andrews@ie.ey.com
million can apply for funding up
to €50,000. Tel: +353 1 221 2833
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland
9
COVID-19 Credit Guarantee Scheme (CGS) (full
details not yet available)
Additional €2 billion fund Who is eligible? What does it cover? Practicalities
Loans from €10,000 up to Clarification is awaited as to This scheme is an extension of Criteria banks will use in
€1 million eligibility, but it anticipated that it the existing Credit Guarantee assessing eligibility is not yet
will be available to all SME Scheme. available.
Loan period of up to 7 years
sectors, excluding primary Clarification is required as to While the scheme is described as
Potential 3 to 6 month agriculture, horticulture and what the funds under this having a low interest rate, it
interest only payment fisheries but including food and scheme can be used for. appears the interest rate charged
period (at bank’s discretion) drink sectors.
on loans will be the relevant
Low interest rate bank’s standard SME lending rate
80% Government guarantee The scheme is primarily targeted with an additional premium for
on lending at companies that are unable to the arrangement collected
access credit due to inadequate throughout the life of the facility
collateral or higher credit risk. (currently 0.5%). The fee is not
- insurance against inability to
repay the facility provided.
How is it accessed?
Legislation is required to
implement this scheme which will
not be possible until the
formation of a new Government.
Expected to provide loans until
the end of 2020. For more information
The CGS is operated via Peadar Andrews
participating lenders and the
peadar.andrews@ie.ey.com
Government plays no role in the
application process. Tel: +353 1 221 2833
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland
10
Pandemic Stabilisation and Recovery Fund (PSRF)
€2 billion stabilisation fund Who is eligible? What does it cover? Practicalities
PSRF will be invested on a Large and medium enterprises PSRF may invest across the Demonstrating commercial
commercial basis seeking employing more than 250 capital structure, investing in a viability of business before
an appropriate risk-adjusted employees or with annual range of instruments from equity COVID-19 and ability to return to
return turnover in excess of €50m. to debt and hybrid instruments. viability.
This will enable businesses to
Enable businesses to access Ireland Strategic Investment Fund Impact of COVID-19 will be
access the capital they need in
the capital they need in the (ISIF) may exceptionally consider assessed on a case by case basis.
the most appropriate form that
most appropriate form investing in enterprises not Equity valuation challenges may
best suits their individual
within this criteria if of lead to preferred equity or
€10 million anticipated circumstances.
substantial scale and of convertible loan mechanisms.
minimum investment
significant national or regional
Timescale for approval and
Investments likely to be for importance.
investment of funds.
greater than 3 years
Enterprises must demonstrate
that business commercially viable
before COVID-19 and ability to
return to viability.
- How is it accessed?
All sectors will be considered
subject to ISIF's Responsible Engage with ISIF.
Investment Policies. ISIF has outlined on its website
The business does not currently the initial information it will
need to align with ISIF's existing require. www.ISIF.ie .
Priority Themes of Regional For more information
No timeline for deployment of
Development, Housing, PSRF. Peadar Andrews
Indigenous Businesses, Climate
peadar.andrews@ie.ey.com
Change, Brexit.
Tel: +353 1 221 2833
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland11 Employment support: Temporary Wage Subsidy
Scheme
The Temporary Wage Who is eligible? What does it cover? Practicalities
Subsidy Scheme (TWSS) is It applies to employees on the Refund payment Revenue guidance continuing
available to employers from payroll on 29 February and for to evolve as issues emerge with
all sectors whose Transitional phase to 4 May: max
whom a payroll submission has practical challenges and
businesses are being €410 per week where Average
already been made to Revenue in administration of the scheme.
adversely impacted by Net Weekly Pay (ANWP) (based
the period from 1 February 2020 Revenue are working with
COVID-19 on Jan/Feb payroll) is less than or
to 15 March 2020. payroll software providers to
equal to €586, or max of €350
TWSS is open to employers address issues.
The scheme includes eligible per week where ANWP is greater
who retain staff on the employees on fulltime, part‐time than €586 and less than or equal In transition phase employers
payroll during COVID-19 and short‐time work to €960. received €410 for each
Provided the employer arrangements employee claimed for. In cases
Operational phase from 4 May:
meets the conditions and, where this exceeded
Employer must: tiered system applies with
subject to the levels of pay entitlement employer obliged
be experiencing significant tapering (based on Jan/Feb
to the employees, the ► to retain and refund excess.
negative economic disruption payroll). Max payment €410.
employer may be eligible for Applying limits correctly to
the scheme for some, or all due to Covid-19; From 16 April employees with pre
avoid clawback triggers.
of its employees ► be able to demonstrate, to the weekly COVID-19 salary >€960,
satisfaction of Revenue, a but now < €960 TWSS may apply
The Government has
announced that the scheme minimum of a 25% decline in
will run until the end of turnover;
August 2020 Application
► be unable to pay normal wages
and normal outgoings fully; Application for the scheme is
and based on self-assessment
principles, a qualifying employer For more information
► retain their employees on the
declares that it is significantly Michael Rooney (Personal
payroll
impacted by the crisis. Advisory Services)
Employers register for the michael.rooney@ie.ey.com
Last updated 9 June 2020 scheme with Revenue.
Tel: +353 1 221 2857
COVID-19: EMEIA EY Government Support Package - Ireland12 Other employment issues
Ireland is easing COVID-19 E-working Practical considerations For more information
restrictions in a phased Consider if employees working A ‘formal agreement’ will be Michael Rooney (Personal
plan. Working from home, from home as a result of COVID- required to be in place. Advisory Services)
where possible is still 19 measures will qualify as
recommended. Terms and conditions of michael.rooney@ie.ey.com
eworkers, enabling employees to employment should be reviewed.
claim certain expenses and Tel: +353 1 221 2857
allowances and to avail of
equipment required without the
application of benefit-in-kind
provisions.
Benefit-in-kind provisions Practical considerations For more information
COVID-19 impacts on the A review should be carried out to Michael Rooney (Personal
application of benefit-in-kind assess benefits in place. Advisory Services)
provisions, including employer michael.rooney@ie.ey.com
provided vehicles, employer
provided accommodation and the Tel: +353 1 221 2857
small benefit exemption.
Share Option Schemes
Consider if this is an opportune
time to consider share option
schemes while share valuations
might be temporarily low.
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland13 Cash flow support: Government tax measures
Deferral of PAYE/VAT Tax payments Practical considerations For more information
payments possible without For SMEs no interest on late For this purpose an SME is a Michael Rooney (Personal
imposition of interest payments for January/February to business with turnover < €3 million Advisory Services)
Contact with Revenue May/June VAT and February to and who is not dealt with by michael.rooney@ie.ey.com
should be made via June PAYE (Employer’s) liabilities. Revenue’s Large Cases Division or
Medium Enterprises Division. Tel: +353 1 221 2857
Revenue.ie and accessing VAT and Payroll tax debts, due
Revenue’s Online Service from 1 March 2020 to date when Business other than SMEs must
(ROS) / My Enquiries / My sectoral restrictions are lifted, will engage directly with Revenue on Deirdre Hogan (Indirect Taxes)
Account be parked for 12-month period. No debt management.
interest will accrue in that period. deirdre.hogan@ie.ey.com
Taxpayers should continue to file Tel: +353 1 221 2433
their tax returns even if payment
of the resulting liabilities, in whole
or in part, is not possible.
Prioritizing of refunds/repayments Practical considerations For more information
Acceleration of Professional Services Requests to expedite R&D Peadar Andrews
Withholding Tax (PSWT) and VAT instalments must be made through
peadar.andrews@ie.ey.com
refunds. Revenue My Enquiries.
Tel: +353 1 221 2833
Early payment of 2020 instalments of
excess R&D tax credits.
Repayments will not be impacted by Ian Collins (R&D Tax Services)
the absence of iXBRL accounts ian.collins@ie.ey.com
(where applicable) for accounting
periods ending on or after March +353 1 221 2638
2019.
Last updated 9 June 2020
All debt enforcement activity is
suspended until further notice.
COVID-19: EMEIA EY Government Support Package - Ireland14 Cash flow support: Cash tax management
The Government’s Tax payments Practical considerations For more information
announcements are not the Review tax payments to assess if Some tax deductions are given on Peadar Andrews
only ways to manage cash in line with liabilities and claim a ‘payments’ basis such as
tax. There are other tax peadar.andrews@ie.ey.com
repayments or adjust payments if employer pension contributions
related measures, which are required. and interest and royalties relieved Tel: +353 1 221 2833
not specific to COVID-19, to as a ‘charge’ on income. Consider
manage liquidity. Consider debt management
the timing of payments in light of
options available with Revenue.
any revised expected outcomes
for the year.
Capital allowances Practical considerations For more information
Carry out a review of capital Ian Collins
allowances to ensure claims are ian.collins@ie.ey.com
made.
+353 1 221 2638
VAT Practical considerations For more information
Identify and release trapped Deirdre Hogan (Indirect Taxes)
indirect taxes and consider the deirdre.hogan@ie.ey.com
indirect tax implications of supply
chain disruption. Tel: +353 1 221 2433
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland15 Fixed costs: Business rates and property
considerations
Waiver of rates Business rates Practical considerations For more information
For a period of 3 months Commercial rates are being Liaise with Local Authority. Cian O’Donovan (Real Estate)
from 27 March 2020 waived for a three month period cian.odonovan@ie.ey.com
residential rent increases beginning on 27 March for
and termination of businesses that have been forced Tel: +353 1 479 4084
tenancies are prohibited to close due to public health
requirements.
Restart Grant Practical considerations
Restart Grant
Restart Fund for micro and small Applicants must be in the Local
The Restart Grant is a
enterprises. The fund will operate Authorities Commercial Rates
contribution towards the
through a grant equivalent to the Payment System.
cost of re-opening or
rates bill of the business in 2019.
keeping a business Non-financially independent
operational and This is subject to a minimum €2K branches of larger companies, non-
reconnecting with and maximum €10K grant. commercial organisations and
employees and customers businesses not operating from
Turnover less than €5m and
rateable premises are ineligible.
employ 1 to 50 people.
The closing date for receipt of
Projected 25%+ loss in turnover applications by local authorities is
to end-June 2020. 31 August 2020.
Business must commit to remain
open or to re-open if closed.
Commercial tenancies Practical considerations For more information
COVID-19 legislation introduced Lessees will need to negotiate Cian O’Donovan (Real Estate
in relation to tenancies does not with landlords as regards rent Tax)
cover commercial tenants. payment deferrals/holidays. cian.odonovan@ie.ey.com
Last updated 9 June 2020
Tel: +353 1 479 4084
COVID-19: EMEIA EY Government Support Package - Ireland16 Grants and sector-specific measures
Grants are cash-payments COVID-19 Business Financial Practical considerations For more information
for organizations Planning Grant Applications open to all Peadar Andrews
Existing grants continue as A grant of up to €5,000, to help Enterprise Ireland clients and peadar.andrews@ie.ey.com
usual and there are new companies develop financial companies employing 10 or more
grants for COVID-19 related plans, including to support in the manufacturing and Tel: +353 1 221 2833
activities external finance. internationally traded services
sector. Online application.
A separate Credit Guarantee
Scheme for COVID-19 also
exists
Business Continuity Voucher Practical considerations For more information
Businesses which are seeking Applications open to businesses Peadar Andrews
support to assist with business across every sector that employ peadar.andrews@ie.ey.com
continuity and preparedness up to 50 people.
connected to the COVID-19 Tel: +353 1 221 2833
outbreak, may be provided with a
voucher of up to €2,500 for
training or advisory services
support.
Trading Online Voucher Practical considerations For more information
Voucher of up to €2,500 for Applications made via Local Peadar Andrews
small businesses with up to 10 Enterprise Office.
peadar.andrews@ie.ey.com
employees seeking to help the
business trade online. Tel: +353 1 221 2833
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland17 Grants and sector-specific measures (continued)
Grants are cash-payments COVID-19 Online Retail Scheme Practical considerations For more information
for organizations. Applications were open to Irish- Peadar Andrews
Administered by Enterprise
Existing grants continue as Ireland this offers grants between owned retailers employing over 10 peadar.andrews@ie.ey.com
usual and there are new €10,000 and €40,000 to people on or before 29 February
grants for COVID-19 related 2020 with potential to sustain or Tel: +353 1 221 2833
support companies in the
activities. indigenous retail sector with a create jobs.
pre-existing online presence.
Grant funding for successful Applications closed on 27 May
projects will be to a maximum of 2020.
80% of eligible project costs.
Companies providing hospitality
and leisure services are excluded
as are certain other business
types.
COVID Products Scheme Practical considerations For more information
Administered by Enterprise The scheme was announced on 4 Peadar Andrews
Ireland and IDA Ireland, this EU- June. Details are awaited. peadar.andrews@ie.ey.com
approved €200 million fund will
Applications for aid under the
offer grant aid of up to 50% of Tel: +353 1 221 2833
scheme must be approved by 31
eligible capital investment to
December 2020
companies that are developing or
producing medicinal products
used to fight against COVID-19 as
well as products needed to
Last updated 9 June 2020 respond to the outbreak.
COVID-19: EMEIA EY Government Support Package - Ireland18 Administration and governance
Regulatory expectations and Practical considerations For more information
Businesses will have to filings Businesses should consider who should be Peadar Andrews
consider the practicality of The challenge for business is maintaining responsible for monitoring
holding board, shareholder compliance with guidance from regulators. regulatory/government announcements and peadar.andrews@ie.ey.com
Certain regulators (e.g., Companies guidance, as well as ensuring that COVID-19
and annual general business impacts can be quickly escalated to Tel: +353 1 221 2833
Registration Office) have issued specific
meetings along with issues guidance but generally basic compliance directors.
raised by isolation of key requirements will remain. Consideration should also be given to
officers Listed companies announcement monitoring reporting deadlines, applying for
requirements for material change; financial relief from filing certain reports if
A review of constitutional reporting requirements; increased access to appropriate and reviewing the potential
documents may be needed confidential market sensitive data about impact on all information due to be
COVID-19/insider information risk. reported.
to allow remote meetings
Where appropriate, consider strategy for
and electronic signatures as All annual returns due to be filed with the
Companies Registration Office now and up engagement with sector specific regulators.
well as giving consideration to 31 October 2020 will be deemed to have
to alternates and powers of been filed on time if completed and filed by
attorney to check who has that date.
authority to take necessary Director’s duties Practical considerations For more information
actions at short notice
Directors will be making decisions at short Business should consider how to protect Peadar Andrews
Businesses will also need to notice, against an uncertain background. directors against wrongful trading and other
monitor and review There are legal exposures, both corporate insolvency-linked liabilities, including taking peadar.andrews@ie.ey.com
and personal. best practice governance actions to protect
communications, including against liability and the potential unwinding Tel: +353 1 221 2833
Businesses will also need to consider the
social media, to reduce impact of travel restrictions on residency
of transactions.
reputational and brand risk arrangements from tax and other Duties to creditors may be especially key in
perspectives. Where an individual is present difficult trading scenarios and seeking
in Ireland due to COVID-19 travel advice here may be important.
restrictions, Irish Revenue will be prepared
Alternative ways of taking board decisions
to disregard such presence in Ireland for
may be appropriate as may limiting the
corporation tax purposes for a company in
involvement of particular board members if
relation to which the individual is an
they cannot attend meetings.
employee, director, service provider or
agent. Presence in another jurisdiction due
to COVID-19 travel restrictions will also be
disregarded.
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland19 Administration - Revenue
The Irish Revenue has Administration – Revenue PAYE Dispensation Applications: For more information
Irish Revenue will not strictly
extended a number of Corporation tax surcharge: The enforce the 30 day notification Peadar Andrews
reporting and filing deadlines application of a surcharge for late requirement for PAYE dispensations
CT1 Corporation Tax returns and which is applicable to short term peadar.andrews@ie.ey.com
iXBRL financial statements (where business travellers from countries
applicable) for accounting periods with which Ireland has a double Tel: +353 1 221 2833
ending June 2019 onwards (i.e. due taxation treaty who are going to
by March 23, 2020 onwards) is spend in excess of 60 workdays in
suspended until further notice. Ireland in a tax year.
Share schemes filing obligations: Foreign Employments - Operation of
The filing deadline for all 2019 PAYE: Irish Revenue will not seek to
share scheme returns is being enforce Irish payroll obligations for
extended from 31 March 2020 to foreign employers in genuine cases
30 June 2020. where an employee was working
Special Assignee Relief Programme abroad for a foreign entity prior to
(SARP): The 90-day employer filing COVID-19 but relocates temporarily
obligation is extended for a further to Ireland during the Covid-19
60 days. period and performs duties for his or
her foreign employer while in
Deadline for claiming a real-time Ireland.
foreign tax credit on RSUs provided
through payroll: 31 March 2020 Local property tax: 2020 Payment
deadline is suspended, filing date date extended from 21 March to 21
will revert to standard filing date of July 2020
31 October 2020 for that return.
Last updated 9 June 2020
COVID-19: EMEIA EY Government Support Package - Ireland20 Global EY COVID-19 Stimulus Response Tracker
Our tracker provides a Key jurisdictions covered by the Response Tracker include:
snapshot of the policy
changes that have been ► Australia ► Denmark ► Luxembourg ► Spain
announced in jurisdictions
► Austria ► France ► Malaysia ► Sweden
around the world in
response to the COVID-19 ► Belgium ► Germany ► New Zealand ► Switzerland
crisis. ► Brazil ► Greece ► Norway ► Taiwan
Policy changes across the ► Canada ► Hong Kong ► Puerto Rico ► Thailand
globe are being proposed
and implemented on a daily ► China Mainland ► Indonesia ► Singapore ► Ukraine
basis. ► Colombia ► Ireland ► Slovak Republic ► United Kingdom
The document will be ► Cyprus ► Italy ► Slovenia ► United States
updated on an ongoing
basis but not all entries will ► Czech Republic ► Japan ► South Korea
necessarily be up to date as
the process moves forward.
To download the latest Response Tracker visit:
ey.com/en_us/tax/how-covid-19-is-causing-
governments-to-adopt-economic-stimulus--
18 June 2020 COVID-19: EMEIA EY Government Support Package - IrelandContact
21
Peadar Andrews Deirdre Hogan Michael Rooney Cian O’Donovan Ian Collins
Corporate Tax Indirect Taxes Personal Advisory Real Estate Tax Research &
Services Development
peadar.andrews@ie.ey. deirdre.hogan@ie.ey.co cian.odonovan@ie.ey
com m michael.rooney@ie.ey.com .com ian.collins@ie.ey.com
Tel: +353 1 221 2833 Tel: +353 1 221 2433 Tel: +353 1 221 2857 Tel: +353 1 479 4084 +353 1 221 2638
James Burrow Luke Charleton
Global Compliance Restructuring
Reporting
luke.charleton@ie.ey.c
James.burrows@ie.ey. om
com
+353 1 221 2103
+353 1 221 1249
18 June 2020 COVID-19: EMEIA EY Government Support PackageEY | Assurance | Tax | Transactions | Advisory About EY EY is a global leader in assurance, tax, transaction and advisory services. The insights and quality services we deliver help build trust and confidence in the capital markets and in economies the world over. We develop outstanding leaders who team to deliver on our promises to all of our stakeholders. In so doing, we play a critical role in building a better working world for our people, for our clients and for our communities. EY refers to the global organization, and may refer to one or more, of the member firms of Ernst & Young Global Limited, each of which is a separate legal entity. Ernst & Young Global Limited, a UK company limited by guarantee, does not provide services to clients. Information about how EY collects and uses personal data and a description of the rights individuals have under data protection legislation are available via ey.com/privacy. For more information about our organization please visit ey.com. © 2020 EYGM Limited. All Rights Reserved. ED None This material has been prepared for general informational purposes only and is not intended to be relied upon as accounting, tax or other professional advice. Please refer to your advisors for specific advice. ey.com
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