Fringe Benefits 2023 – An In-Depth Look at Contributions to the Previr-Pastore Fund

News Flash No. 38/2023

Following further investigation and clarification, please be advised that the contribution paid to the entity Previr-Pastore as insurance premiums for non-occupational accident risksare considered compensation in kind, not subject to contributions; therefore, the relevant amount will count toward the total of exempt fringe benefits up to the threshold limit of €258.23, or up to the higher threshold limit of €3,000.00 established by law for 2023, applicable only to workers with dependent children.

Consequently, if the total amount of fringe benefits, including the contribution paid to Previr-Pastore, exceeds the tax-exempt threshold, the entire amount will be taken into account for the purpose of determining the taxable amount, which will differ from the amount subject to contributions in cases where compensation in kind relates to insurance premiums not subject to social security contributions (premiums subject only to a solidarity contribution, such as the contribution paid to the Previr-Pastore fund).

During the adjustment process, if the total amount of compensation in kind exceeds the applicable exemption limit, insurance premiums will be considered deductible expenses at a rate of 19% up to a maximum of €530.00, which rises to €750 for premiums covering death benefits for individuals with severe disabilities.

Want to learn more?

Sign up at studiopiceci.it to continue reading these exclusive posts.

Sign up now