Social security adjustments Fringe Benefits 2022
- Studio Piceci
- January 2, 2023
- Reading time: 5 min
News . 54/2022
Subject: Instructions for the social security adjustment of fringe benefits paid in accordance with the corporate welfare measures adopted by the Aiuti bis and quater decrees.
With message no. 4616/2022 , INPS provides operational instructions for proceeding with social security adjustments in the event of the provision of fringe benefits whose exemption limit, limited to the 2022 tax period, has been raised to €3,000, noting that the increase in the exemption threshold is also relevant for the purposes of determining the social security taxable amount.
For the purposes of the year-end adjustment, the Institute explains the three ways in which the contribution paid can be recovered.
In particular, it will be possible to:
1. act by using the contribution variable "FRIBEN" exclusively for declarations pertaining to December 2022;
2. with an automatic adjustment, carried out by INPS (the Italian National Social Security Institute) via a two-way system, with the subject line "FRINGE BENEFITS UP TO €3000," by submitting a declaration of responsibility from the employer, but only in the declarations for January and February 2023;
3. using standard regularization methods, for each relevant jurisdiction and specifying the taxable amount net of fringe benefits in cases where the above methods cannot be applied.
The three methods, specifies INPS, are alternatives to each other.
Below, we will outline the salient points of the message that is the subject of this circular.
As is well known, Article 3, paragraph 10, letter b) of Decree-Law No. 176/2022 (known as Decree Aiuti Quater) provided for an increase in the exemption threshold to €3,000 for the year 2022 "the value of goods and services that do not contribute to the formation of employment income referred to in Article 51, paragraph 3, of the TUIR", including among the so-called fringe benefits, again with reference to the year 2022, also "the sums paid or reimbursed to employees for the payment of domestic utilities for integrated water services, electricity, and natural gas."