In front of announcements for may 1, economic analyses raise the salary threshold from which dependent workers begin to pay income tax.
Is that though, as expected clarionIt has already been decided to exclude certain items from the tax base, such as overtime or productivity bonuses, the wage base of profits already accumulates a considerable delay and Economia had promised that only 10% of wage earners would pay this tax, nearly a million workers.
With the provision of exclusion of some salary items, around 400,000 employees would be reached by Profits and with higher tax amounts and the others would have some tax relief only if they had, for example, bonuses for productivity or overtime.
In this way the Government requests that in the renewals of the agreements the the approval of the productivity clauses and the effective remuneration are improved of the worker in those activities where there is resistance to overtime work due to the strong discount on earnings, in the case of cars or tyres.
In Government they accept that overtime or productivity bonuses may or may not be regular, even more so if economic activity slows down, which does not replace the minimum wage update and only one million employees are reached again by Profits or workers in a high-income dependent relationship.
They also admit that it is a complex reconciliation between a general provision (salary floor) and partial exemptions.
The minimum at which employees are taxed Profits have been adjusted for 2023 at 78.84% versus 2022 inflation of 94.8%. to this delay more inflation is added earlier this year in relation to the same months of 2022.
AS, The minimum wage was last updated in January, when it was set at $404,062 gross, based on the interannual variation of the RIPTE (Taxable Remuneration of Permanent Workers) in October 2022.
From then to February (latest official figure) RIPTE increased by 25.3% so that the minimum wage should amount to $506,230 gross. A delay of just over $100,000. If we add the values for March and April, the delay can exceed $160,000.
The 2023 Budget Law authorized the executive branch to update the income tax payroll base and the exemption from the Christmas bonus for employed workers.
Now the Economy is studying how make the exemption of these salary items from Profitability compatible with the increase in the salary floor so that distortions are no longer generated between employees, even of the same company, for example between those with similar incomes, whether or not they have productivity or overtime bonuses.
Tax official Miguel La Vista said so clarion that the salary floor should be updated in such a way as to equally cover all dependent employees and avoid looking for shortcuts to alter the concepts that make up the salary (for example, dedicating normal hours to overtime work, precisely to avoid higher wage payments .
An alternative would be to keep those partial exemptions and the rest of the salary would pay Earnings if it exceeds the correctly updated new minimum wage.
comes the economy discuss this and other announcements with CGT for the May 1 announcements.
Source: Clarin
