New state grant for the tourism industry - 4% of turnover

On 29.01.2021 in the State Gazette was promulgated Ordinance № T-PD-04-1, which defines the procedure for granting the new type of state aid for persons carrying out tour operator and travel agent activities.

What is aid?

Eligible persons will be able to apply for a grant from the State worth до up to 4 per cent of their turnover excluding VAT for2019 as disclosed in their financial statements.

The purpose of the grant is to compensate for losses incurred during the period 01.03.2020 to 31.12.2020. It is a requirement of the law that the amounts granted should be used as a priority to cover losses arising from customers opting out of vouchers, as well as amounts deducted from service providers.

Applications, together with all supporting documentation, will be submitted via a completely new online system. Applicants need to have a qualified electronic signature (QES).

The maximum amount of aid to be granted is determined by the Temporary Framework for State Aid Measures to Support the Economy in the Context of the Current Covid-19COVID-19 Outbreak, to which the Ordinance refers. Section 3.1, point 22, b. 'a' stipulates that the total amount of aid received by an undertaking in connection with the recovery of an undertaking from COVID-19 must not exceed EUR 800 000.

What is the application deadline?

Interested persons will be able to apply by submitting an application no earlier than five days after the entry into force of the Ordinance (29.01.2020). The deadline is 31.05.2021.

If you would like more information, advice on applying and obtaining the necessary documents, or if you have any questions, you can contact us at office@kgk.bg.