The outbreak of the virus has resulted in a serious financial situation in both Sweden and the world with sick leave, shutdowns and a sharply reduced demand for goods and services, Finance Minister Magdalena Andersson said at the press conference today.

- We see warning figures at a level that we have not seen since the financial crisis.

In a new crisis package aimed at small business owners, it is proposed, among other things, that the deductions be suspended temporarily, from 1 March to 30 June. The reduction means a tax credit of up to SEK 5,300 per employee for up to 30 employees.

Can save last year's profit

Another measure is that entrepreneurs are given the opportunity to save 100 percent of the taxable profit from last year in order to offset it against future losses. Entrepreneurs now have until the end of the year to redo the declaration from 2019 in order to recover the money.

The government also wants to establish a state loan guarantee for the small businesses that today find it difficult to obtain loans granted from the banks. The companies will be able to borrow a maximum of SEK 75 million, with the state taking 70 percent of the risks. During the first few months, no interest is payable.

Support for local rent

Especially vulnerable industries such as restaurant, hotel and grocery shopping are offered a rental subsidy of up to 50 percent of the local rent between April and June.

"Many businesses stand looking over their empty premises and wonder how they can pay the rent," says Finance Minister Per Bolund (MP).

Magdalena Andersson says that even with today's support package, the measures will not be enough to save all the companies that are bleeding as a result of the virus outbreak.

- Whatever measures we take, we will not be able to save everyone, she says.