Amendments and completions brought to Law 227/2015 regarding the Fiscal Code

Amendments relevant to the constructions sector

– During 1 January 2019 – 31 December 2028, individuals deriving salaries and assimilated to salaries income from activities carried out in the constructions field will be exempt for personal income tax purposes, under certain conditions regarding the employer’s type of activity, the turnover derived by the employer, the monthly gross income from salaries and assimilated to salaries derived by the employees benefiting from the personal income tax exemption.

– As regards the mandatory social security contributions, for individuals deriving salaries and assimilated to salaries income from activities carried out in the constructions field under individual labour agreements, as well as for employers who carry out activities in the constructions sector, during 1 January 2019 – 31 December 2028 the following measures are applicable, as long as the previously mentioned conditions are cumulatively met:

 

▪the pension insurance contribution rate is reduced by 3.75 percentage points;

▪the income from salaries and assimilated to salaries derived under labour agreements, concluded with employers carrying out activities in the constructions field is not included in the monthly computation base of the pension insurance contribution due by the employer;

▪individuals deriving income from salaries and assimilated to salaries under individual labour agreements concluded with employers carrying out activities in the constructions field are exempt from social health insurance contribution;

▪the work insurance contribution rate is reduced to the level of the rate that is remitted to the Wage Guarantee Fund.