Tourism

EU approves another Italian aid scheme for tourism sector hit by COVID-19

Since tourism is one of the sectors most affected by the pandemic crisis, the European Commission has decided to help the Italian tourism sector with 15.6 million euros. This measure was also adopted today, June 22, within the framework of the State Aid Interim Framework.

“The scheme consists of (i) limited amounts of assistance and (ii) support for uncovered fixed costs, in both cases in the form of a tax credit to partially offset companies paying municipal property taxes related to tourism activities,” This is stated in a statement by the European Commission, reports SchengenVisaInfo.com.

According to the EU Commission, travel companies must have a turnover reduction of at least 50% to be eligible to take advantage of this measure between April 1 and June 30, 2021 compared to the corresponding period in 2019.

The commission claims that about 1,000 companies will be eligible for massive assistance.

The Commission found that the Italian scheme met the conditions set out in the Time Frame. In particular, when it comes to limited amounts of assistance, support will not exceed 2.3 million euros per beneficiary.” also noted in the statement.

With regard to support for uncovered fixed costs, the assistance will not exceed 12 million euros per company, and state support will be provided no later than June 30, 2022.

Earlier, the EU Commission also approved another Italian scheme worth 129 million euros to support the tourism sector in the context of the COVID-19 pandemic.

The EU Commission stressed that the scheme consists of limited amounts of assistance in the form of a tax credit for rental payments related to tourism activities. Payments will be made for the period January-March 2022, also in the form of support for uncovered fixed costs.

In this regard, the Commission decided that state support should not exceed 2.3 million euros per beneficiary in case of limited amounts of assistance. Similarly, when it comes to supporting uncovered fixed costs, the aid will again not exceed 12 million euros per company.

In addition, the EU Commission has given the green light to another Italian aid in support of the tourism and thermal baths sectors in the amount of 60 million euros.

This plan consists of what is intended to reduce labor costs, which are decided by private employers in the tourism and thermal baths sectors, while still encouraging and maintaining employment levels. New employees hired temporarily or seasonally for three months will be excluded from the scheme, with the option to extend assistance up to six months.

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