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COVID-19 EU PolicyWatch

Database of national-level responses

Eurofound's COVID-19 EU PolicyWatch collates information on the responses of government and social partners to the crisis, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.

Factsheet for case HR-2020-14/360 – measures in Croatia

Suspension of tax payments for monumental annuity to support tourism industry

Obustava plaćanja spomeničke rente na rok od 2 mjeseca

Country Croatia , applies nationwide
Time period Temporary, 01 April 2020 – 21 July 2020
Type Legislations or other statutory regulations
Category Supporting businesses to stay afloat
– Direct subsidies (full or partial)
Author Predrag Bejalovic (IJF) and Eurofound
Case created 07 April 2020 (updated 17 July 2020)

Background information

According to the Law on the Protection and Preservation of Cultural Goods (OG 69/99, 151/03, 157/03, 87/09, 88/10 i 61/11), the monument annuity (fee, rent) has two bases: by location - performing activities in immovable cultural property or in the cultural-historical area; and according to the activity – the acquisition of income from activities determined by the Law. The rent is paid monthly during the year for all months in which the payer performs the activity in the amount of 0.05 % of total income. The companies in tourism sector recorded a significant drop of revenues due to the current crisis, so they demanded from the government to reduce the burden of taxes and various fees.

Content of measure

The companies in tourism sector recorded a significant drop of revenues due to the current crisis, so they demanded from the government to reduce the burden of taxes and various fees. The Law on Amendments to the Law on Protection and Preservation of Cultural Goods stipulates that, in the case of special circumstances, the payment of the monument annuity may be suspended. Therefore, on 20 March 2020, the Minister of Culture issued a Decision suspending the payment of the monument annuity for a period of two months (OG 37/2020). This measure will cover around 100-120,000 companies, most of them being very small and medium size companies, with around 200 thousand employees.

Use of measure

Not yet known at this stage.

Target groups

Workers Businesses Citizens
Does not apply to workers Sector specific set of companies
Does not apply to citizens

Actors and funding

Actors Funding
National government
No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement as case not in social partner domain No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: Unknown

Involvement

No social partner involvement.

Views and reactions

Due to the nature of the measure, social partners were not involved.

Sectors and occupations

    • Economic area Sector (NACE level 2)
      I - Accommodation And Food Service Activities I55 Accommodation
      I56 Food and beverage service activities

This case is not occupation-specific.

Sources

Citation

Eurofound (2020), Suspension of tax payments for monumental annuity to support tourism industry, case HR-2020-14/360 (measures in Croatia), COVID-19 EU PolicyWatch, Dublin, http://eurofound.link/covid19eupolicywatch

Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process. All information is preliminary and subject to change.