How to get RUB 12,130 from the Russian government for each employee
The government has approved rules for provision of subsidies to small and medium enterprises from industries that are most affected by the spread of coronavirus (https://base.garant.ru/73955337/).
Eligibility for government subsidies
Companies must meet the following conditions to receive the subsidies granted by the government:
- Companies must be in the SME register. This can be checked by entering your company’s taxpayer identification number (INN) at https://ofd.nalog.ru/;
- Companies must be engaged in the sectors of the economy included in the approved list of most affected industries (http://base.garant.ru/73846630/). This can be checked using the company's OKVED-2 code. It is precisely the main type of economic activity code that should be in the list;
- Companies should not be under liquidation or bankruptcy proceedings, should not be about to be excluded from the State Register of Legal Entities;
- Companies should not have tax and social contribution arrears exceeding RUB 3,000 as of January 1, 2020.
At the time of application, companies should have at least 90% of the number of employees as of April 1. If you have not dismissed anyone but plan doing so, then you can evaluate your company’s chances of getting a grant. Not much money will be given, but it might be enough to keep your staff during the crisis.
For verification purposes, the number of employees for March is determined based on SZV-M form for March 2020, so this form should be sent to tax authorities prior to applying for government subsidies.
How much can be received, what to spend it on and will it need to be refunded
The federal minimum wage of RUB 12,130 will be paid in May and June for each employee.
- For example, if 10 employees work at your company, then you could receive RUB 121,300 in May and the same in June;
- If 85 employees work at your company, then you will receive RUB 2,062,100 for 2 months;
- Individual entrepreneurs with no employees will receive the federal minimum wage of RUB 12,130 in May and June.
The money received may be spent to pay for rent, utilities, salaries, etc.
This gratuitous aid will not need to be refunded.
How to get paid. Application form
A grant application may be submitted to the Federal Tax Service by post, online or through your EDM operator (option under implementation). Payments for April will be made in May and those for May in June. Documents have been accepted since May 1.
To get a grant for April, applications should be submitted no later than June 1, and for May no later than July 1.
Tax authorities will verify that companies meet the conditions for receiving subsidies. They will decide whether to grant or deny payments and will inform applicants accordingly within 3 working days.
The Federal Treasury will pay out subsidies within 3 working days, and companies must acknowledge receipt of subsidies within 2 working days. The application form is available at: