Year-end adjustments, miscellaneous and contingencies
- Studio Piceci
- December 13, 2021
- Reading time: 5 min
With reference to the year-end tax and social security adjustment that will be made with the December 2021 salaries, we kindly request the following documentation, if available. For organizational reasons, please send it to our office no later than December 20, 2021:
1) Insurance policies: if insurance policies have been taken out for employees, managers, and collaborators, and you have not yet done so, you must send us the policy statements and/or receipts for payments made in 2021, distinguishing between:
Awards for insurance policies covering risk of death or permanent disability of not less than 5% (for contracts entered into or renewed after 2001) and against occupational and non-occupational accidents (in the case of cumulative policies, the percentage incidence for non-occupational risk must be indicated);
Awards for insurance policies covering the the risk of non-self-sufficiency in performing daily activities;
Awards for health insurance.
The documentation must be sent to the Firm even if the payments were made to "Entities and Funds exclusively for welfare purposes" and "In accordance with the provisions of a contract or agreement or company regulations."
For each of these, it will be necessary to provide the names of the workers covered by insurance, indicating the relevant amounts paid.
2) Fringe benefits: since the benefit for charitable donations was abolished on May 29, 2008, if the employer recognizes, including during the Christmas holidays, goods and/or services or vouchers representing the same, even if provided by third parties (payments in kind and not in cash), whose value does not exceed, during the tax period, together with other fringe benefits, €516.46 for the year 2021, tax exemption (fiscal and contributory) may be applied. We ask you to send us a list with the value of the Christmas package or other goods that may be granted to employees and/or quasi-subordinate workers.
3) Provisional Single Certifications for other employment relationships: companies are invited to inform their employees and collaborators that if they have had multiple employment relationships during 2021, it is possible to carry out tax adjustments with the December 2021 salary, by submitting the tax forms in their possession to their current employer, which may contain all the data necessary for the adjustment, with particular reference to information relating to income from employment and similar sources, taxes paid, deductions for employment, and deductions for family dependents.
4) Tax exemption for productivity-related remuneration: for companies that have signed second-level agreements for the payment of sums related to productivity bonuses, in order for the substitute tax (i.e., the tax relief) to be applied to the aforementioned sums the worker must submit a written request, provided that the income requirements are met (income limit of €80,000.00 in 2020), only in the following cases:
a) The substitute required to apply the substitute tax is not the same as the one who issued the Single Certification for 2020;
b) The substitute required to apply the substitute tax has issued the Single Certification for 2020 for a period of less than one year;