Assistance to Small and Medium Entreprises (SMEs) (Turnover up to Rs50M ) for Salary Compensation
The Income Tax Act will be amended to cater for the decision of Government to refund to an SME the salary compensation paid to its employees, that is a maximum of Rs 375 per employee monthly, for the period January to June 2021. The amendment will be effective as from 1 January 2021.
An SME which is an export-oriented enterprise will be refunded a maximum of Rs 235 per employee monthly.
The maximum salary compensation of Rs 375 will be extended for the period 1 July 2021 to 30 June 2022.
This assistance is not payable to an SME for a particular month if it has benefitted from the Wage Assistance Scheme in that month.