- Question ID
-
2021_6213
- Legal act
- Regulation (EU) No 575/2013 (CRR)
- Topic
- Other issues
- Article
-
501
- Paragraph
-
2
- Subparagraph
-
b
- COM Delegated or Implementing Acts/RTS/ITS/GLs/Recommendations
- Not applicable
- Article/Paragraph
-
not applicable
- Type of submitter
-
Competent authority
- Subject matter
-
Relevance of a person association's purpose for SME supporting factor application
- Question
-
What is the determining criterion to classify person associations (such as joint accounts, civil law companies, etc.) as “entities engaged in an economic activity”, so that they fall under the preferential treatment of the SME supporting factor?
- Background on the question
-
An institution applies the SME supporting factor also for person associations, in case that at least one of the persons of the association has already been classified as SME, independent from the purpose of the person association’s financing, and given an annual turnover below EUR 50 mn. This leads to a preferential RWEA treatment of exposure to civil law companies composed of at least one SME (e.g. a freelancer), but the association’s purpose is not in the context of the already classified SME.
- Submission date
- Status
-
Question under review
- Answer prepared by
-
Answer prepared by the European Commission because it is a matter of interpretation of Union law.