New aids for the Self-Employed derived from RDL 2/2021. This RDL establishes measures to support self-employed workers in the field of Social Security.
New aids for the Self-Employed
Maintenance of Contribution Rates
As from February 1st, 2021, the increase foreseen in RDL 28/2018 will not be applicable. And as long as the increase in the minimum interprofessional wage for 2021 is not carried out. Therefore, the contribution rates applicable for professional contingencies and for termination of activity of the self-employed will be those in force as of December 31, 2020. Included in the RETA and in REMAR
Extraordinary benefits for termination of activity of self-employed workers.
As part of this new aids for the Self-Employed, there are changes in the Benefit for Cessation of Activity.
Self-employed workers who cannot qualify for the ordinary benefit for cessation of activity compatible with self-employment provided for in Article 7 of the new RDL or for the “ordinary” termination of activity benefit regulated in Articles 327 of the TRLGSS, will be able to access the extraordinary benefit for termination of activity regulated in Article 6 of RD-Law 2/2021, provided that they meet the requirements established in the aforementioned article.
In order to be entitled to this benefit it is necessary to:
- To be registered and up to date in the payment of contributions in the RETA. Or in the REMAR as a self-employed worker since before April 1st, 2020.
- Not to have net taxable income from self-employment activity in the first half of 2021 higher than €6,650.
- And to accredit in the first semester of 2021 a tax computable income from self-employment activity lower than that of the first quarter of 2020.
The amount of the benefit will be 50% of the minimum contribution base corresponding to the activity carried out.
The extraordinary benefit for termination of activity may start to accrue as from February 1st, 2021 in the applications submitted during the first 21 calendar days of February. It will have a maximum duration of 4 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 May 31st, 2021.
This benefit is incompatible in the same cases as the extraordinary benefit for cessation of activity for self-employed workers due to a temporary suspension of all activity.
During the time that the activity remains suspended, the worker will remain registered in the corresponding special regime. The self-employed worker is exempt from the obligation to pay contributions.
Self-employed workers who on January 31, 2021 were receiving the extraordinary benefit of cessation of activity for self-employed workers affected by a temporary suspension of all activity, as a result of a resolution of the competent authority, as a measure of containment of the spread of the COVID-19 virus contemplated in section 1 of article 13 of RDL 30/2020, may continue receiving it during the time that the suspended activity remains and until the last day of the month following the one in which said measure is lifted. Or until May 31, 2021 if the latter date is earlier.
As from February 1, 2021, they will be entitled to the extraordinary benefit for cessation of activity with a regulation very similar to the one mentioned in the previous section. It will have a maximum duration of 4 months, ending on the last day of the month in which the lifting of the measures is agreed. Or on May 31, 2021 if the latter date is earlier.
In order to be entitled to this benefit it is necessary to be affiliated and registered in the RETA. Or, as the case may be, in the REMAR, before January 1, 2021 and be up to date in the payment of contributions.
In general, the amount of the benefit will be 50% of the minimum contribution base corresponding to the activity developed. This will be increased by 20% in certain cases of large families.
It must be requested within the first 21 calendar days following the entry into force of the agreement or resolution to close the activity. In the event that the application is submitted outside the established period, the right to the benefit will begin on the day of the application.
During the time that the activity is suspended, the self-employed worker will remain registered and will be exempt from the obligation to pay contributions. From the first day of the month in which the measure to close the activity is adopted until the last day of the month following the month in which the measure is lifted. Or until May 31, 2021 if the latter date is earlier.
The benefit is incompatible with:
- The receipt of remuneration for the performance of work as an employee. Unless this is less than 1.25 times the amount of the SMl.
- With the performance of another self-employed activity.
- With the receipt of income from the company whose activity has been affected by the closing.
- Neither with the receipt of a Social Security benefit except for the one that the beneficiary had been receiving because it was compatible with the performance of the activity he/she was carrying out.
- For self-employed workers included in the REMAR, it will also be incompatible with the aid for the paralysis of the fleet.
Modifications on the benefit for ordinary termination of activity
As from February 1, 2021, the Self-Employed will be able to apply for the “ordinary” termination of activity benefit provided that the requirements established in paragraphs a), b), d) and e) of Article 330.1 of the regulation are met. Including that of having covered the minimum contribution period.
Access to the benefit will require accrediting, in the first half of the year 2021, a reduction of the income computable for tax purposes of the self-employed activity of more than 50% of that of the second half of 2019. As well as not having obtained during the indicated semester of 2021 a net income of more than 7,980€.
This benefit may be received until May 31, 2021 at the latest. Provided that the worker is entitled to it under the terms of art.338 TRLGSS (duration of the benefit).
Likewise, self-employed workers who become entitled to this benefit on February 1, 2021 will receive this benefit until May 31, 2021. And see their right to the termination provided for in the aforementioned precept exhausted before May 31, 2021. Provided that they meet the requirements for this purpose.
The recognition of the benefit will be carried out, provisionally, by the collaborating mutual insurance companies or the ISM. Effective February 1, 2021 if requested within the first 21 calendar days of February. Or with effect from the day following the application in other case.
The activity termination benefit may be compatible with employment. When it does not exceed a certain income, the amount will be reduced by 50%.