Government Ordinance no. 4/2017 amends Law 227/2015, regarding the Fiscal Code, on the employer calculation base for social insurance contributions and health insurance contributions.
For employers and those treated as such, the monthly calculation base for social insurance contributions and health insurance contributions on salary income, and income treated as such, which is lower than the minimum gross salary and paid based on a part-time or full-time individual employment contract is set at the level of the minimum gross salary valid for the month for which such contributions are due, based on the number of working days the employment contract was active in that month.
The new amendments do not apply for the following employee categories:
a) Pupils and students, up to the age of 26 years old, in formal education;
b) Apprentices, as defined by law, up to the age of 18 years old;
c) Disabled people who, as defined by law, can perform employment activities for under 8 hours per day;
d) Individuals who retired at the age limit under the public pension system, with certain exceptions;
e) Individuals with monthly salary income based on two or more individual employment contracts, if the total amount of salary income is at least equal to the minimum gross salary.
For the purpose of applying the abovementioned exceptions, employers have to request justifying documents from individuals in categories a, c and d. The Public Finance Minister is to issue a Public Order establishing the application procedure for category e individuals.
The provisions of this ordinance come into force as of 1 August 2017 and apply to income obtained for August 2017.