On October 11th, the Senate approved the new self-employed workers law, which will bring important new features and improvements.
Some of these novelties will become effective on January 1st of 2018 and for other news we will have to wait for its publication in the BOE.
These are the measures that stand out most in the new law:
Subsidies of the self-employed quota for entrepreneurs
- The flat rate of 50€ for new self-employed or for those who have not been self-employed in the last two years is prolonged to one year (from January 1st 2018).
- Entrepreneurs will be able to opt for the flat rate again after three years from the last time they enjoyed it if they start again (from January 1st 2018).
- The bonuses of the flat rate are prolonged up to 24 months, the flat rate of 50€ will be applied during the first twelve months of registration, then in the following six months a reduction of 50% would be applied to the corresponding quota without bonus and in the last six months a reduction of 30% would be applied to the quota that would correspond without bonus (from January 1st 2018).
- Self-employed parents on maternity/paternity/adoption leave will be exempt from paying the contribution during the period of their absence.
- They will be able to benefit themselves from the flat rate of 50 Euros, the mothers who undertake a business before the two years since it ceased its activity of maternity, adoption, etc.
- Those who take care of minors or dependent people will have the exemption of 100% of the self-employed quota during one year.
News on social security affiliation/contribution
- The contributions relating to the first month of registration of the self-employed will be made according to the days that have been registered in the month and not according to the whole month as is being done (this measure will become effective on January 1st 2018).
- A retired self-employed person may receive his/her full pension and continue working if he/she has at least one person in charge.
- Self-employed people may register and unregister themselves from the social security system up to three times in the same year (this measure will become effective on January 1st 2018).
- Self-employed people can change their contribution base up to four times in the same year depending on their interest and income (this measure will become effective on January 1st 2018).
- The excess contribution of workers with many activities will be returned without them having to apply for it.
- The quota of societal self-employed will not rise automatically depending on how the minimum interprofessional wage increases as before, it will depend on what is determined in the General State Budget, after negotiating with the most important associations.
- From January 1st of 2018 it will be compulsory for self-employed workers to pay their social security contributions by direct debit.
- Surcharges for late payments to social security are reduced by half, from 20% to 10% in the first month (this measure will become effective on January 1st 2018).
- Self-employed people will be able to deduct 30% of the supply costs, such as water, electricity and telephony; if they can prove that they work from home (this measure will become effective on January 1st 2018).
- They will be able to deduct 26,67€ per day in PIT (Personal Income Tax) for food expenses. Abroad, this deduction amounts to 48€ per day (this measure will become effective on January 1st 2018).
Recognition of the accident on the way home/to work and improvement of training
- The self-employed person’s accident on the way home or on the way to work is recognised as long as it does not coincide with his or her home.
- Training in occupational risk prevention for self-employed workers is improved.
- They will be able to access training in order to improve their competitiveness and consolidate their business work.