Requirements to be met when submitting justification for grants received by COVID-19.
Due to the extraordinary situation we are experiencing, during this financial year 2021, the Generalitat de Catalunya has opened different government-financed subsidies to certain sectors, which must be justified from 1 November until 30 November. in which cases are they obliged to accompany this account with an auditor’s report? The regulations refer to article 75.3 of the Regulations of the General Subsidies Act, which specifies that subsidies of less than 60,000 euros do not require an auditor’s report, and only a simplified supporting account may be submitted. 60,000 should submit the auditor’s report together with the supporting account of the subsidy. All beneficiaries must comply with the following commitments and obligations:
- Maintain the activity corresponding to the subsidies until 30 June 2022.
- Not to distribute dividends during 2021 and 2022.
- Not to approve increases in the remuneration of senior management for a period of two years from the date on which the aid is granted.
- Keep and safeguard the documentation accrediting the requirements and justifying the application of the funds received, as established in the regulatory bases of the aid, and make it available to the Administration of the Generalitat de Catalunya for any verification actions that may correspond, and for the control of the economic and financial activity that may correspond to the General Intervention of the Generalitat de Catalunya, the Audit Office or other competent bodies, both national and Community. Likewise, they must provide all the information required to justify the conditions that accredit compliance with the requirements for receiving this aid.
- To comply with article 55.2 of Law 19/2014, of 29 December, on transparency, access to public information and good governance and to adhere to the ethical principles and rules of conduct to which the beneficiaries must adapt their activity.
- Comply with the other obligations laid down in the current legislation on subsidies and the applicable sectorial regulations.
Let us remember that article 4 of Order ECO/127/2021, of 14 June, established certain requirements to be able to apply for aid, such as: decrease in operations with respect to 2019 of more than 30%, compliance with the right of accessibility for people with disabilities, compliance with the law on equality, etc. The beneficiary will have to present a supporting account from 1 to 30 November 2021. Whether or not an auditor’s report is required, the supporting account must contain:
- A report explaining the fulfilment of the purpose of the subsidised action, activity or project, indicating the activities carried out and the results obtained.
- An abridged financial report in accordance with the provisions of the regulatory bases and which, as a minimum, must contain a detailed statement of the expenses of the subsidised activities, duly grouped by concepts and in accordance with the accepted budget.
- In the eventthat the grant is awarded in accordance with a budget, a settlement must be submitted indicating and justifying any deviations from the initial budget.
what are the possible repercussions of not fulfilling your obligations and commitments? Inaccuracies or false declarations of responsibility may lead to the deregistration of the person concerned, the exclusion of the applicant from the call, as well as being a cause for revocation, without prejudice to criminal, civil or administrative liability.