Sharing of expertise
Question 94: Where Employees work for many Employers, how is the payment of SI, HI, UI and insurance for labour accidents and occupational diseases carried out?
The labour law allows Employees to enter into LCs with many Employers[1]. And then, the participation in SI, HI, UI and insurance of labour accidents and occupational diseases for Employees is carried out as follows: Payment of SI, HI, UI and insurance of labour accidents and occupational diseases for Employees working for many Employers When…
Question 92: May Employees, eligible for retirement age but not for the number of years of paying SI, pay once for the missing years in order to enjoy retirement regime?
Conditions for pension entitlement Pursuant to the SI Law 2014, in order to enjoy pension, Employees should meet the conditions on retirement age and social insurance payment time as follows[1]: For pension age: male Employees are 60 years old and female Employees are 55 years old; and For SI payment time: Employees on retirement must…
Question 91: Are Employees required to carry out procedures for applying for re-issuance of SI books when changing their People’s ID cards to Citizen ID cards?
SI books are issued to each Employee to monitor the payment and entitlement of the SI regimes and serve as the basis to solve the SI regimes for Employees[1]. Therefore, in some cases where Employees have lost, damaged, or encounter any content errors or need to change the information recorded in SI books, they will…
Question 90: Are the Employees who work under LCs of less than 3 months the subjects to participate in SI?
Singing LCs of less than 3 months with Employees Pursuant to the Labor Code, LCs of less than 3 months may be classified as seasonal LCs or specific-task LCs of less than 12 months[1]. For this type of LC, the Employer should be noted that if the task is of frequent nature and lasts for…
Question 89: From 1/1/2018, are Employees in the probationary period the subjects to participate in compulsory SI, HI and UI?
Pursuant to the Law on SI, Employees working under probationary contracts are not the subjects to participate in compulsory SI[1]. In addition, Employees working under probationary contracts are also not the subjects to participate in compulsory UI[2]. Labour law also prescribes that the content of a probationary contract does not include the provisions on SI…
Question 87: Does the tax authority have the right to tax inspection over the previous years that exceed the time frame of 05 years from the date of its failure to conduct tax inspections at the enterprise?
At present, the legal documents in the tax area have not yet clearly defined, explained or guided about the time frame during which the tax authority is restricted from conducting inspection and control at the enterprise. And the Law on Tax Administration only regulates the sequence when tax authorities conduct inspections and controls over taxpayers,…
Question 86: Are house rent allowances subject to PIT and considered as deductible expenses of Employers when calculating CIT?
The guiding documents of the Law on PIT prescribe the maximum tax rate imposed on the house rent that the Employer pays on behalf of Employees is 15% the total taxable income (exclusive of house rent)[1]. As such, if the house rent that the Employer pays on behalf of Employees is higher than 15% the…
Question 85: If an Employee works for multiple subsidiaries of the same group, does the Employee have to sign an LC with each of the subsidiaries? Who will conduct the tax finalisation for Employees in this case?
The Civil Code provides that an organisation is recognised as a legal entity when it meets the following conditions: (i) being established in accordance with the Civil Code and other relevant laws; (ii) having an executive body and other bodies as decided by the legal entity or in accordance with the law. The organisational structure,…
Question 84: Does the Law on PIT limit the number of registered dependents for taxpayers to deduct PIT?
The current Law on PIT has not yet covered any limitation on the number of registered dependents for a taxpayer. Accordingly, taxpayers may register their dependents without any quantitative restriction as long as they meet the following conditions: The dependent must be one of the following[1]: Children includes biological children, lawfully adopted children, illegitimate children,…
Question 83: When an Employer provides a car for an Employee to use, does the Employee have to pay PIT on the monetary amount the Employer has paid to purchase the car?
Under the Law on PIT, monetary or non-monetary benefits other than salaries and wages paid by the Employer, which are enjoyed by Employees in any form will be considered to be taxable income. However, expenses for means of transporting Employees from dwelling houses to workplaces and vice versa will not be included in the taxable…