Tax exemptions for investments in CapEx under the Greek investment incentives Law
9 April 2020
Working capital with a two-year interest rate subsidy
Working capital with 100% interest rate subsidy for the first two years from TEPIX II
12 May 2020

Subsidies for expenses of new staff, installation of information systems & communications

Subsidized program of intra-group services of Law 3427/2005 for expenses of new staff, installation of information systems & communications.

Companies that are located in Greece and serve their parent company abroad, as well as Greek companies, can receive a subsidy.

Branches included in the following areas of activity, are strengthened:

 

IndustryMinimum number of new recruitments for companies that serve exclusively intra-group transactionsMinimum number of new recruitments for companies that serve third parties
research and development,
software development, computer programming and computer systems support,
20 persons150 persons


advisory,
central accounting support,quality control of production, process products and services,preparation of studies, plans and contracts,advertising and marketing,data processing,receiving and providing information,storage and management of files and information,management of suppliers, customers and supply chain not including the execution of transports by own means,

management and training of human resources,

50 persons
call center and computer-based call center activities100 persons

 

Note: Companies that also serve third parties should develop new activity that is not carried out in Greece in the last two years by the same or other companies of the group to which they belong, and create at least 150 new full-time permanent positions.


Expenditure that could be subsidized:

  • Installation of information and communication systems
  • Recruitment of disadvantaged workers and people with disabilities
  • Vocational training programs
  • Research and development projects (to be announced shortly)

Companies that are established in Greece in order to provide services either intra-group (to parent companies abroad) or to third parties (parent companies abroad or affiliated or to Greek companies), may receive, cumulatively or alternatively, aid in the following categories of costs:


Aid for installation of information and communication systems

Expenses eligible for aid are:

  • gross earnings paid to employees for a period of up to twelve (12) months from the hiring of each employee and up to the amount corresponding to gross salary of 2,000 euros a month.
  • expenses for the purchase of hardware and software if they are installed and operate productively.

The aid intensity is up to fifty percent (50%) of the eligible costs which may not exceed a total of € 400,000.

The aid consists of a subsidy on wage costs and subsidize the cost of purchasing the hardware and software.

The aid granted in this category, cannot exceed two hundred thousand (200.000) euros over a period of three (3) financial years.


Aid for the recruitment of disadvantaged and disabled workers.

Eligible for support costs are the wage costs over a maximum period of twelve (12) months of the employee recruitment, who:

  • had no regular paid work during the previous six (6) months, or
  • has not completed two (2) years from completing full-time education and had no previous regular paid employment, or
  • is over 50 years of age, or
  • lives alone with the care of one or more members, or
  • has been recognized as a disabled worker under national legislation.

Recruitment should serve the new activity and lead to an increase in the number of employees of the enterprise concerned in relation to the average of the 12 months.

The aid consists of a subsidy of wage costs by providing a sum of money to cover part of it and the aid rate is 50% of eligible expenses paid. The company may not receive for the same workers any other aid on the salary costs of the period of the first twelve (12) months from the recruitment of each.

The company may receive assistance for up to 100 employees and eligible costs for each employee is the salary cost, for a period of up to twelve (12) months from hiring and up to the amount of 35,000 euros for 12 months of employment, and in total up to the amount of 3.500.000 euros.


Aid for vocational training programs

The aid is granted for programs organized by the legal person for the training of staff in relation to the new activity.

The following costs of vocational training programs are eligible for aid, up to the total amount of 3.000.000 euros:

  • staff costs of the trainers for the hours during which the trainers participate in vocational training,
  • travel expenses of trainers and trainees,
  • costs of purchasing materials and supplies,
  • costs of consulting services,
  • personnel costs of trainees and general indirect costs


Aid for research and development projects. (To be announced soon)

This category of aid is granted to companies falling within the scope of this Law for the purpose of providing research and development services. The aided part of the research and development project shall completely fall within one of the following categories as they are defined in the above Regulation: industrial research, experimental development, feasibility studies.

The research and development expenditure eligible for aid relates to a specific category of research and development and is as follows:

  • staff costs: researchers, technicians and other support staff if they are exclusively employed in the project,
  • expenditure on buildings, instruments and equipment, if and for as long as they are used for the project. For buildings, instruments and equipment not used throughout their lifetime for the project, eligible are only depreciation costs corresponding to the duration of the project, which are calculated on the basis of generally accepted accounting principles,
  • expenditure on contract research, as well as expenditure on consultancy services used exclusively for the project,
  • additional overheads and other operating expenses, including costs of materials, supplies and related products, which are a direct result of the project,
  • expenditure on carrying out feasibility studies.


VK PREMIUM Business Consultants has the experience and knowledge to assist you in preparing your business plans or subsidizing your business under the program of intra-group services of Law 3427/2005.