Valencian government published the regulation on benefits for self-employed who comply with the following conditions:
- Be registered within the territory of the Comunidad Valencia as self-employed during the period of 31 December 2019 to 14 March 2020;
- Have ceased activity due to the lockdown or experience a decrease of turn over of at least 75 percent with reference to the previous semester. For those who have not been registered during the whole of the previous semester a different standard will apply, taking in account the months where the self-employed was registered;
- Not registered on 14 March 2020 as unemployed, or being employed on that day or any day after;
- Not having had a nett income over 30.000 € during 2019;
- Never have been found guilty for fraud or filed for bankruptcy;
The benefit is 1.500 € for self-employed who have been forced to cease activity and 750 € for self-employed who have experienced a significant decrease in turnover
You can find more specifics and apply for this benefit on the website of LABORA. You need to have a digital signature or sign a form so someone else can apply for you. The application can be submitted until 09.00 h on 4 May 2020.
You will need to prepare and upload the following documentation:
- Certificate on your activities with the Inland Revenue;
- Statement that you comply with all conditions;
- Fill out a form for direct debit;
- Statement on possible other benefits you have received during the last 2 years;
- Authorisation to LABORA to verify your identity, your (self-)employment situation, possible debts with the inland Revenue, information on your income, domicile and other requirements or conditions that you must comply.
The entire procedure to valuate the request can take up to 3 months. If you don’t hear anything within that time frame, your application can be considered denied.
If you receive the benefit, you have to comply with the following obligations:
- Maintain your activity for at least 3 months from the day you are allowed back to your activity;
- Inform LABORA every time they ask;
- Communicate possible other benefits you might receive or changes in the conditions that gave access to the benefit;
- Publish in your website and other places that you have received the benefit;
- Endure any kind of control on behalf of LABORA.
Very thoughtful of Valencian Government to issue this benefit, but it is incompatible with any other benefit (except the social security benefits issued by national government during lockdown). The application will be a true challenge if you are not assisted by a professional, and if you use the services of a professional probably a big part of this benefit is consumed by their fees. Furthermore, in our experience, after some while government always finds a way to claim back the benefit, with interest and penalties.
So, good luck, Roeland van Passel