Other subsidies on production

Définition

Other subsidies on production (D39) consist of subsidies except subsidies on products which resident producer units may receive as a consequence of engaging in production.
Other subsidies on production (D39) include :
a. Subsidies on payroll or work force i.e. subsidies payable on the total wage or salary bill, or total work force, or on the employment of particu­lar types of persons such as physically hand­icapped persons or persons who have been unemployed for long periods, or on the costs of training schemes organised or financed by enterprises;
b. Subsidies to reduce pollution: these consist of current subsidies intended to cover some or all of the costs of additional processing under­taken to reduce or eliminate the discharge of pollutants into the environment;
c. grants for interest relief made to resident pro­ducer units;
d. over-compensation of VAT resulting from the flat-rate system, often for example found in agriculture.