The conditions which were agreed upon as a result of negotiations will be applied till the end of this year until the deadline for adopting a regulation that would officially regulate the status of freelancers in the future will be regulated as well.
Namely, from January 1, 2022, the following is announced:
- amendments to the Personal Income Tax Law
- amendments to the Law on Compulsory Social Security Contributions,
- adoption of a completely new law that would regulate flexible types of work.
Until the announced amendment of all regulations, the conditions which are agreed upon and defined by the Law on Amendments and Modifications of the Law on Personal Income Tax from April 28, 2021, shall be applied.
Namely, by the new amendments and modifications of legal decisions, freelancers who have earned an income up to RSD 64,000, i.e., RSD 768,000 yearly, shall be exempted from paying taxes and contributions which they have not settled from the previous period.
In other words, in this way, all claims of the Tax Administration are written off from January 1, 2015, until the end of 2021 for all freelancers who have earned up to RSD 64,000 or around EUR 540 monthly.
For those freelancers whose income surpasses the aforesaid amounts (after deducing normative expenses), there is still an obligation to settle their tax debts from before, however, without calculating interests until the day of adopting a Decision of the Tax Administration which determines the exact amount of tax obligation. Another relief for the second category listed is the foreseen possibility of paying in installments. It is evident that in case they are truly implemented, the announced novelties in the legislation will contribute to solving all related matters which have occurred in practice so far. Besides, it is justified to expect that by filling existing legal gaps, a clear and transparent system shall be implemented, which will remove legal uncertainties from the existing order.