Govt tables draft bill to reduce self-employed professionals’ social security contributions

14 November 2018
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The government on Monday evening announced a reduction of social security contributions by 33.3 percent for self-employed professionals and farmers, with the measure to apply as of Jan. 1, 2019, if ratified – as expected – in Parliament.

The measure was included in a draft bill submitted by the labor and social insurances ministry, and aims to satisfy a demand by associations, groups and unions representing self-employed professionals to cut “stratospheric” contributions imposed as part a “tax tsunami” in 2016.

In absolute terms, the measure means a reduction of the current “hefty” monthly contribution of 20 percent to 13.33 percent, and is expected to affect some 250,000 professionals.

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