Gwanak-gu, Jungnang-gu, and Others Fully Support Small Business Loss Compensation... Applications Accepted from the 27th

From July 7 to September 30 this year, online applications open on the 27th for small business owners and small enterprises affected by gathering bans and business hour restrictions, requiring only business registration number input and identity verification without additional documents... On-site application centers will also operate from the 3rd of next month for residents having difficulty applying online... Seodaemun-gu operates on-site application centers for small business loss compensation

[Asia Economy Reporter Jong-il Park] Gwanak-gu (Mayor Park Jun-hee) is operating a dedicated counter to support on-site applications for the ‘Small Business Loss Compensation’ program, which provides customized compensation for losses incurred by small business owners due to government quarantine measures.

The compensation targets small enterprises under the Framework Act on Small and Medium Enterprises that suffered significant business losses by complying with quarantine measures such as gathering bans and business hour restrictions under the Infectious Disease Control and Prevention Act during the third quarter from July 7 to September 30, 2021.

The compensation amount is calculated based on tax infrastructure data held by the National Tax Service, such as card sales, value-added tax, and comprehensive income tax filing data, and is tailored proportionally to the individual business’s loss amount.

The method applies an 80% adjustment rate to the average daily loss amount for the same month in 2021 compared to before the COVID-19 outbreak in 2019, multiplied by the quarantine measure enforcement period. The quarterly compensation cap is up to 100 million KRW, with a minimum of 100,000 KRW.

Closed businesses that did not receive small business disaster relief funds can also be compensated for losses incurred up to the day before closure. Even if multiple business locations are operated, compensation is calculated and paid for each eligible location. However, businesses violating quarantine measures may receive partial or no compensation, or may be required to return funds.

Online applications can be made from the 27th through the loss compensation website. Rapid compensation targets, established based on local government quarantine compliance and National Tax Service tax data, will be paid within two days of application without additional documents.

Small business owners whose compensation amounts were not pre-calculated due to insufficient tax data can submit business information online and receive compensation after verification by local governments and the National Tax Service.

Businesses disagreeing with the rapid compensation amount can apply for re-assessment by submitting supporting documents starting November 10.

The district office will operate a dedicated counter for on-site applications from November 3 at the 2nd floor Gallery Gwanak of the district office, deploying staff for reception and guidance to fully support small business owners suffering losses due to COVID-19.

For inquiries related to loss compensation, contact the Small Business Loss Compensation Call Center, Gwanak-gu Office dedicated call center, Regional Small and Medium Venture Business Administration, or Small Enterprise and Market Service regional centers.

Jungnang-gu (Mayor Ryu Kyung-gi) announced that it will accept applications for loss compensation payments starting from the 27th for small business owners who suffered business losses due to COVID-19 quarantine measures.

This support follows the Ministry of SMEs and Startups’ implementation of the Small Business Loss Compensation system. Eligible recipients are small business owners and small enterprises who complied with gathering bans and business hour restrictions under the Infectious Disease Control and Prevention Act from July 7 to September 30 this year and incurred business losses. Losses due to sales decline without restrictions or private gathering limits are not eligible.

The compensation amount is determined proportionally to each business’s loss. It is calculated by applying an 80% adjustment rate and the quarantine enforcement period to the average daily loss in the same month of 2021 compared to 2019, when COVID-19 had no impact. Compensation ranges from a minimum of 100,000 KRW to a maximum of 100 million KRW per quarter. Businesses violating quarantine measures may receive partial or no compensation or be required to return funds.

Applications open on the 27th via the online integrated management system. By entering the business registration number and completing identity verification, applicants can apply easily without submitting additional documents and may receive payment within two days.

During the first application week from the 27th to 30th, applications will be accepted on an odd-even basis according to the last digit of the business registration number: odd numbers on the 27th and 29th, even numbers on the 28th and 30th. Afterward, anyone can apply regardless of odd or even numbers.

If applicants disagree with the determined compensation amount, they can submit additional supporting documents to apply for re-assessment, and if still dissatisfied, file an objection.

Additionally, the district has set up an on-site application center for residents who find online applications difficult. It will operate on weekdays from 9 a.m. to 6 p.m. starting November 3 on the 1st floor of Jungnang-gu Office. On-site applications during the first week (November 3-5 and 8) will also follow the odd-even system.

For further inquiries, refer to the Ministry of SMEs and Startups website, chat consultation homepage, or contact the Small Business Loss Compensation Call Center.

Jungnang-gu Mayor Ryu Kyung-gi said, “We will do our best to ensure that small business owners who suffered business damage due to the prolonged COVID-19 pandemic receive loss compensation without delay,” adding, “We will continue to prepare various support measures to revitalize the local economy.”

Seodaemun-gu (Mayor Moon Seok-jin) will operate an on-site application center on the 6th floor of the district office from November 3 to support ‘loss compensation applications’ for small business owners in industries subject to gathering bans and business restrictions.

The application website opens on the 27th, but the district will accept in-person applications for those who have difficulty using online services.

Eligible applicants are small enterprises and small business owners with business registration addresses in Seodaemun-gu, and those wishing to apply should visit with their ID and a copy of their business registration certificate.

If the applicant qualifies for ‘rapid compensation’ and agrees to the determined amount, they can receive the compensation within 2-3 days. ‘Rapid compensation’ refers to quickly paying pre-calculated compensation amounts based on quarantine facility lists and tax data.

If there is an objection to the rapid compensation amount, applicants can submit related supporting documents to apply for ‘verification compensation.’ This can be done online from the 27th and at the district office on-site application center from November 10.

For detailed information, refer to the Seodaemun-gu website notices or contact the Seodaemun-gu Office on-site application center.

General inquiries about the loss compensation system can also be made through the nationwide Small Business Loss Compensation Call Center.

Seodaemun-gu Mayor Moon Seok-jin said, “We will do our best to operate the loss compensation on-site application center so that small enterprises and small business owners affected by COVID-19 quarantine measures can receive prompt support.”

Meanwhile, the ‘Small Business Loss Compensation System’ is a program that calculates and pays customized compensation proportional to losses for small business owners and small enterprises whose sales decreased due to gathering bans and business hour restrictions from July 7 to September 30 this year.

This content was produced with the assistance of AI translation services.