We highlight the protection measures for the self-employed recently published in the BOE. They are part of the urgent measures for the protection of employment, economic recovery and improvement of the labor market and are included in RDL 18/2021.
Aids and measures for the Self-Employed
Next we clarify which are this type of aids.
Fee exemptions
From October 1, 2021, for self-employed workers included in the RETA, or in the REMAR. And who were receiving on September 30, 2021 any of the benefits for termination of activity provided for in Articles 7 and 8 of RDL 11/2021, will be entitled to:
- an exemption from their Social Security and vocational training contributions
- if they remain registered in the corresponding special Social Security regime until January 31, 2022. This will be 90%, 75%, 50% and 25% of the contributions corresponding to the months of October, November, December 2021 and January 2022, respectively.
This exemption is incompatible with the receipt of the benefit for termination of activity in any of its modalities.
Cessation of activity aids compatible with self-employment
There are two cases:
First scenario
As from OCTOBER 1, 2021, self-employed workers who on September 30, 2021 were receiving the aids for cessation of activity compatible with self-employment regulated in article 7 of RDL 11/2021 and had not exhausted the benefit periods provided for in article 338.1 of the Consolidated Text of the General Social Security Law), may continue to receive it until February 28, 2022. Provided that, during the third and fourth quarters of 2021, they meet the established requirements.
- To prove, in the third and fourth quarters of 2021. A reduction of the income computable for tax purposes of the self-employed activity of more than 50%. Of those in the third and fourth quarter of 2019.
- Not having obtained during the third and fourth quarter of 2021 a net income of more than 8,070€.
Those who on September 30, 2021 were receiving the benefit provided for in article 7 of RDL11/2021, will only be entitled to this benefit if they had not used up the entire period provided for in article 338.1 of the TRLGSS on that date.
Second case
The self-employed workers who are in activity and on September 30, 2021 were receiving any of the cessation of activity aids provided for in Articles 7 and 8 of RDL 11/2021 and who cannot qualify for the ordinary cessation of activity aids provided for in the previous section (cessation of activity aids compatible with self-employment), may qualify for the extraordinary cessation of activity aids provided for in Article 10 of the new Royal Decree-Law, as from October 1, 2021, provided that they meet the requirements established in the latter.
- It is necessary to be registered
- Current in the payment of contributions in the RETA or in the REMAR. As a self-employed worker since before April 1, 2020.
- Not having net taxable income from self-employed activity in the third and fourth quarter of 2021 higher than 75% of the SMI.
- To prove in the fourth quarter of 2021. A computable income for tax purposes from self-employment of less than 75% of the income earned in the fourth quarter of 2019.
The amount of the benefit will be 50% of the minimum contribution base corresponding to the activity carried out.
Specifics of the cessation of activity aids
The extraordinary cessation of activity aids may begin to accrue as of October 1, 2021. In the applications submitted during the first 21 calendar days of October and will have a maximum duration of 5 months. Otherwise, the effects are fixed on the first day of the month following the month in which the application was filed. And its duration may not exceed February 28, 2022.
The self-employed worker, during the time he/she is receiving the benefit, must remain registered in the corresponding special regime. And pay into the TGSS the totality of the contributions, applying the current rates to the corresponding contribution base.
The collaborating mutual insurance company or, where applicable, the Social Marine Institute, will pay the self-employed worker, together with the cessation of activity aids, the amount of the contributions for common contingencies that would have been paid if the self-employed worker had not been carrying out any activity, in application of the provisions of article 329 of the TRLGSS.
There are other cases for seasonal self-employed workers, as well as those who are forced to suspend all their activities as a result of a resolution adopted by the competent authority as a measure to contain the spread of the COVID 19 virus.
If you have any doubts or to complete the contents, please contact us.
Arrabe Integra
Business Consulting
