Due to expire on December 31, 2020, the social contribution exemption and payment assistance schemes have been extended. They apply to contributions due for the months of January and February 2021, for employers hardest hit by the health and economic crisis.
What are these business support schemes?
Companies and associations falling within the scope of these schemes can benefit from an exemption on part of their employer's contributions. Supplementary pension contributions are not eligible for exemption.
These companies and associations are also eligible for assistance with the payment of employer and employee social security contributions, which were due for 2020 and 2021. The amount of this assistance is 20% of the salaries paid during the period in question.
As specified in the decree of April 12, 2021, these schemes, which were due to end on December 31, 2020, are extended and also apply to periods of employment between January 1 and February 28, 2021.
Which companies are eligible?
Eligible companies and associations with fewer than 250 employees are those in the S1 or S1 bis sectors, i.e. the sectors most affected by the crisis, or those dependent on activities in the S1 category.
In addition, during the month following the month for which the exemption or contribution assistance applies, they must have been prohibited from receiving the public, or have suffered a sharp drop in sales of at least 50% compared with average monthly sales in 2019, or sales for the same period in 2019.
Businesses that have been able to set up delivery, pick-up or take-away services to compensate for the closure to the public can benefit from the same rights.
Businesses with fewer than 50 employees that do not fall within the S1 or S1 bis sectors, but have been subject to administrative closure, can also benefit from exemption and assistance with the payment of social security contributions. This is the case, for example, for bookshops forced to close before being re-authorized to welcome the public.