Requests for exemption from payment of social security contributions hit ten-year low
Wednesday, 22 March 2017
In 2016, 14,548 self-employed workers requested exemption from payment of social security contributions. This is a decrease of 12% compared to 2015, 46% compared to 2011, and indeed the lowest number of such requests over the last 10 years.
The findings are reported on Wednesday by the trade union representing the self-employed (“the SNI”) on the basis of figures produced by the FPS Social Security.
This decrease may be explained by the improved economic conditions and by the new means for calculating social security contributions. The SNI explains that since 2015, “the self-employed have paid a provisional contribution calculated on the basis of their occupational income three years ago. This contribution is then either increased or reduced in such a way as to be in line with their actual income.”
Last year 18,805 decisions as to self-employed contributions were taken by the Commission for Exemption from Contributions (“the CDC”).
A total of 5,474 self-employed (29%) were entirely exempt and 6,505 partially exempt (34%). Indeed 2,600 requests were refused completely (14%).
Moreover, 857 requests (5%) were turned down by the CDC and 3,369 requests (18%) were submitted with incomplete information.