COVID-19 emergency: EU and validity of A1 forms
Inps, with the message no. 1633 of 15 April 2020, provided clarifications regarding the determination of the applicable legislation and the validity of A1 certificates already issued, in relation to the COVID-19 emergency.
The validity of A1 forms expiring in the period between 31 January 2020 and 31 July 2020, should the posted worker be forced to remain in the host country, must be considered extended until the end of the state of emergency established on 31 July 2020 even in the absence of the explicit request for derogation, in order to facilitate the social security protection of mobile workers.
For workers who work in 2 or more countries, the A1 forms issued before the epidemiological emergency by COVID-19 must be considered valid regardless of the changes in the percentage threshold of the total activity carried out due to the aforementioned restrictions on mobility.
· (Inps, message, 15/4/2020, no. 1633)
HEALTH AND SAFETY
Phase 2 coronavirus: Inail technical document with measures to be taken in the workplace
The Inail, on 23 April 2020, published a technical document containing indications on measures to contain coronavirus contagion in the workplace during the reopening phase of production activities, to address the gradual safe recovery of production activities and to ensure adequate levels of health protection for the entire population.
· (Inail, technical document, 23/4/2020)
COVID-19: verification of the prevention of contagion in the workplace
The INL, with note no. 149 of 20 April 2020, following the circular of the Ministry of the Interior of 14 April 2020, required its territorial offices to contribute, at the request of the Prefectures, to the necessary checks on the occurrence of the conditions for the continuation (where permitted) of production, industrial and commercial activities in the COVID-19 emergency.
· (INL, note, 20/4/2020, no. 149)
Emergency security COVID-19: Appendix to DVR should be prepared
The INL, with note no. 89 of 13 March 2020, offered clarifications regarding the safety and health requirements related to the COVID-19 emergency for the purposes of risk assessment and DVR. The Inspectorate deems it useful, for organizational/managerial needs, to draw up – in collaboration with the Prevention and Protection Service and the competent doctor – an intervention plan or a procedure for a gradual approach in the identification and implementation of prevention measures, based on the company context, the profile of the worker – or subject to the same – also ensuring adequate PPE for the staff.
INL considers it advisable to formalize the employer’s action with acts that take into account the attention paid to the problem in terms of measures, however, adopted and adoptable from a technical, organizational and procedural point of view, as well as the IPR considered necessary, in implementation of the national, regional and local indications of the institutions. For the traceability of the actions thus put in place, it is appropriate that these measures, although not originating from the classic risk assessment typical of the employer, are collected to form an appendix to the DVR, to demonstrate that they have acted in the best possible way, even beyond the specific precepts of Legislative Decree 81/2008.
· (INL, note, 13/3/2020, no. 89)
LIQUIDITY DECREE – RECOMMENDATIONS FROM AGENZIA DELLE ENTRATE
With Circular no. 9/E of 13 April 2020, Agenzia delle Entrate provided some operational indications, among other things, in relation to numerous work aspects on which Legislative Decree no. 23/2020 (Liquidity Decree) has intervened.
Suspension of tax payments
Article 18, Law Decree 23/2020, provides for a non-generalized suspension of tax and social security payments, expiring in mid-April and May 2020. This relief, in fact, is subject to a regulation that is based, essentially, on the measure of the turnover or the fees paid.
The companies or the operators in the arts and professions – with fiscal domicile, registered office or operational headquarters in Italy – are basically divided into 2 categories:
- a) subjects with revenues or fees not exceeding 50 million euros, in the tax period prior to the current one at the date of entry into force of the Decree. For these parties, the suspension will take place if they “have suffered a decrease in turnover or fees of at least 33% in March 2020 compared to the same month of the previous tax period”. The same consideration will apply for the current month of April, compared to April 2019;
- b) persons with revenues or fees exceeding €50 million in the tax period prior to the current one at the date of entry into force of the Decree. For these persons, the suspension will take place if they “have suffered a decrease in turnover or fees of at least 50% in March 2020 compared to the same month of the previous tax period”. The same consideration will apply for the current month of April, compared to April 2019. (The valuation of revenues or fees shall, therefore, be made, in the majority of cases, in relation to revenues for the year 2019, as resulting from the declaration for the period).
It should be noted the distinction made by the Legislator between “revenues or fees”, having regard to the split into 2 distinct groups of taxpayers, and “turnover or fees”, the latter in relation to the value on which to calculate the monthly decrease, which, where appropriate, gives rise to the extension of payments.
The Revenue Agency specifies “that the monthly comparison requested (March 2020 with March 2019 reduced by the expected percentage and the same thing for April) can be made using the revenues resulting from the accounting records relating to March and April 2019 compared to those recorded in the same months of 2020, or, in the absence of accounting records, the amount of turnover relating to the same months, as shown in the VAT registers“. Further on, even more operationally, it specifies that “the transactions carried out in March and April and invoiced or certified, and which, consequently, participated in the periodic liquidation of March 2019 (with respect to March 2020) and April 2019 (with respect to April 2020) must be taken as reference, to which must be added the fees relating to transactions carried out in those months that are not relevant for VAT purposes. The date to be taken as a reference is the date of execution of the transaction which, for immediate invoices and fees, is respectively the date of the invoice (in the case of electronic invoices, field 184.108.40.206 <Date>) and the date of the daily fee, while for deferred invoices it is the date of the DDT or equivalent documents referred to in the invoice”.
The object of the suspension is, according to the regulatory provisions:
- withholding taxes on income from employment, i.e. Irpef and its supplements;
- social security and welfare contributions and compulsory insurance premiums;
The suspension of the above-mentioned payments concerns “also for persons carrying out business activities, art or profession, who have their fiscal domicile, registered office or operational headquarters in the territory of the State and who have undertaken the activity of the business, art or profession, on a date after 31 March 2019”, as well as non-commercial entities, including Third Sector entities and civilly recognized religious bodies, which carry out institutional activities of general interest not under the business regime; for the latter in relation to withholdings made on income from employment and social security contributions and insurance premiums.
It should be remembered that the suspended payments must, however, be “made, without the application of sanctions and interest, in a single solution by 30 June 2020 or by installments of up to a maximum of 5 equal monthly installments starting from the same month of June 2020. There shall be no repayment of what has already been paid”.
A communication between social security institutions and Agenzia delle Entrate is provided for, in order to control the turnover and, therefore, the right of suspension.
|For tourist accommodation companies, travel and tourism agencies and tour operators – who have their fiscal domicile, registered office or operational headquarters in the territory of the State – among many others, such as restaurants, bars, pastry shops, etc., for the month of April 2020, payments relating to withholding tax on income from employment and social security contributions and insurance premiums remain suspended.
Such suspension is foreseen until April 30, 2020, with subsequent payment of the due amount in a single installment by May 31, 2020, or in a maximum of 5 monthly installments starting from May 2020, of the payments of withholding taxes on income from employment and similar, of social security and welfare contributions and premiums for compulsory insurance.
Extension of Durf issued by the Revenue Agency
Article 23, D.L. 23/2020, provides for the extension of the certificates, necessary in the field of procurement, pursuant to Article 17-bis, paragraph 5, Legislative Decree 241/1997, the so-called Durf, issued in February 2020 by the Revenue Agency; their validity is, in fact, extended until June 30, 2020.
COMPATIBILITY AND INCOMPATIBILITY OF COVID LEAVE WITH OTHER INSTITUTIONS
- It should be noted that INPS, by message no. 1621/2020, illustrated the compatibility and incompatibilities between the new COVID-19 leave and the new 12 additional days’ daily permits under Law no. 104/1992 compared to the 3 monthly permits already due.
It is recalled that the leave:
- is intended for the care of children during the period of suspension of childcare services and educational activities in schools;
- can be taken by only one of the parents or by both, but not on the same days and always within the overall limit (both individual and couple) of 15 days per household (and not for each child);
- it can be used on the condition that there is no other parent in the household in receipt of income support instruments in the event of suspension or cessation of work or other unemployed or non-working parent.
Inps also notes that:
- employees who have not taken parental leave or extended parental leave during the period between 5 March 2020 and the end of the suspension of school services, but who have nevertheless abstained from work (upon application for leave or vacation), may apply for COVID-19 leave relating to previous periods from 5 March 2020 and for a period not exceeding 15 days;
- during the above-mentioned period of suspension, COVID-19 leave may also be applied for in fractional day leave, in the same way as parental leave, alternating it with work or other types of leave or leave (e.g. holiday, parental leave, extension of parental leave, days of leave under Law 104/1992, etc.);
- the household of the parent applying for COVID-19 leave is made up of the members of the registered family during the period of the COVID-19 leave, i.e. registered in the same household status. Separated or divorced spouses are part of the same household if they continue to reside in the same household or if they reside in the same household but are in 2 separate household states. Therefore, in order for the separated or divorced spouses to constitute two different households, it is necessary that they have two different residences or that exclusive custody of the children has been provided to one parent only. In the latter case, the leave may only be taken by the parent with exclusive custody regardless of the reason for the absence of the other parent;
- the persons who issue the DID and who, alternatively, meet one of the following requirements are in “state of unemployment”: they are not employed or self-employed or are workers whose income from employment or self-employment corresponds to a gross tax equal to or less than the deductions due under Article 13, Tuir (equal to 8,145 euros and 4,800 euros respectively). Outside these hypotheses there is a person who is not an employee, i.e. a person who is not in a state of unemployment and who has no employment relationship, either subordinate or self-employed.
Below is a summary scheme of the situations that are compatible/incompatible with the fruition of the mentioned institutions.
|Disease of the other parent belonging to the same household
|COVID leave taken by another parent of the same household
|Work performance in smart working of the other parent
|Request for the baby-sitting bonus submitted by one of the two parents in the household
|Simultaneous (on the same days) use of the holiday of the other parent belonging to the family unit
|Simultaneous (on the same days) use of parental leave for the same child by the other parent belonging to the household
|Simultaneous (on the same days) unpaid leave from the other parent belonging to the family nucleus
|Simultaneous (on the same days) use by the other parent belonging to the nucleus of daily rest periods ex articles 39 and 40, D.Lgs. 151/2001 (so-called nursing rest periods) used for the same child
|In the presence of a part-time worker in the household, the other parent can also benefit from this during the days of contract break of the part-timer worker
|Parents who are unemployed or have no employment relationship, whether subordinate or self-employed. If the termination of employment occurs while taking COVID-19 leave, it is interrupted by the termination of the employment relationship and the following days are not counted or compensated.
Incompatibility also exists if the other parent in the household terminates the activity or employment relationship
|In the presence of an intermittent worker in the household, the other parent can also benefit from this during the on-call worker’s contract break days
|Maternity/paternity leave of the other parent of the same household for another child
|Maternity/paternity leave of the other parent for the same child
|Perception of one of the allowances provided for in Articles 27, 28, 29, 30 and 38 of Decree-Law No 18/2020 (EUR 600), both by the applicant parent and by the other parent present in the household
|A parent who is an employee receiving any wage integration treatment and who, during the period of reduction or suspension of work, wishes to make use of the right to abstain from work, may opt to take COVID-19 leave.
|If one parent is a beneficiary of wage supplementation treatment for reduced working hours, so that he or she continues to have to work, albeit on a part-time basis, the other parent is entitled to the benefit
|Contemporary (in the same days) perception by the other parent belonging to the household of income support tools (Cigo, Cigs, Cigd, ordinary allowance, Cisoa, NASpI, DIS-COLL, etc.).
In case of beneficiaries of salary integration treatments, the incompatibility operates only for the days of suspension of work for the whole day
|Mandatory suspension of self-employment during the emergency period for COVID-19
|Extension of parental leave pursuant to Article 33, Legislative Decree 151/2001, also taken for the same child
|Permits pursuant to Article 33, paragraphs 3 and 6, Law 104/1992 (including the 12 additional days), even if used for the same child
|Extraordinary leave pursuant to Article 42, paragraph 5 of Legislative Decree 151/2001, also taken for the same child
|In the event of receipt of maternity/paternity allowance by members of the Separate Account or self-employed workers, the other parent may take COVID-19 leave for the same child provided that the person receiving maternity/paternity allowance is working during the period eligible for compensation
The use of COVID-19 leave by the other parent is in any case compatible if there are other children in the household
|In the event of receipt of maternity/paternity allowance by members of the Separate Account or self-employed workers, the other parent cannot take COVID-19 leave for the same child if the person receiving maternity/paternity allowance is not working during the period eligible for compensation
Additional permits 12 days
|Permits pursuant to Article 33(6) of Law 104/1992, even for the same child within the same month
|Cig/Fis with zero hour suspension
|Permits pursuant to Article 33(3) of Law 104/1992, even for the same child within the same month
|Extension of parental leave pursuant to article 33, Legislative Decree 151/2001, for children with disabilities even for the same child in the same month
|Extraordinary leave pursuant to Article 42, paragraph 5, of Legislative Decree 151/2001, also for the same child during the same month
|Cig/Fis with reduced working hours, the 12 days can be used by re-proportioning them on the basis of the reduced work performance required, according to the rules of vertical part-time work
LDP Payroll stay at your disposal for any further information.
De Carlo Arianna – firstname.lastname@example.org
Head of Payroll Department