Spectator on facebook

Spectator on facebook

BUSINESS IN SHORT

Self-employed payroll tax change likely

THE GOVERNMENT has backed proposed amendments to the social insurance law and the health insurance law. Both proposals deal with the calculation of payroll taxes. If they are approved by parliament, these taxes will no longer be linked to the minimum wage. Instead, from January 1, 2010, the basis for their calculation should be 44.2 percent of the average wage, SITA reported.

THE GOVERNMENT has backed proposed amendments to the social insurance law and the health insurance law. Both proposals deal with the calculation of payroll taxes. If they are approved by parliament, these taxes will no longer be linked to the minimum wage. Instead, from January 1, 2010, the basis for their calculation should be 44.2 percent of the average wage, SITA reported.

The basis for 2010 would be calculated as 44.2 percent of the average wage in 2008. According to data from the Statistics Office, the average wage in 2008 was €723.03. This would make the basis for calculating minimum payroll taxes for the self-employed €319.58, representing a rise of 8.1 percent year-on-year.

At the moment, the minimum wage used as the basis for calculation of payments by the self-employed is €295.50. They pay at least €97.50 towards pensions and a minimum of €41.37 for health insurance.

The amendment should mean a slower increase in payroll taxes for the self-employed, since the minimum wage is set by the government and is increased by at last the rate of growth of the average wage in Slovakia.

The proposed amendment to the social insurance law also includes a temporary lowering of payroll tax payments to the reserve solidarity fund for the self-employed from today’s 4.75 percent to 2 percent of the calculation base for self-employed people. This would reduce the lowest payroll tax contribution towards pensions by €8.10, to a minimum of €89.70.

Top stories

LGBTI people in the regions: We change people’s minds

Bratislava will dress up in rainbow colours this August again, for the seventh time. This will be for the Bratislava Dúhový Pride diversity festival. But the colours of the rainbow are less bright in the regions,…

Slovakia’s LGBTI community seeks to expand their rights.

Things that make us different also make us stronger

On August 19, a rainbow flag will fly over the US Embassy in Bratislava to represent the firm commitment of the United States to defending the human rights of LGBTI people, writes Ambassador Sterling.

The rainbow flag flew over the US Embassy in Bratislava in 2016.

Blog: 5 things you should do on your visit to the north of Slovakia Photo

Here is a list of tips by an experienced tour guide - including things you have probably not tried before.

Bratislava growing high Photo

High-rise buildings sprouting up in Bratislava

Visualisation of the future skyline of Bratislava