The majority of employees will receive, as of 1 January 2024, a net monthly salary lower than the previous year, following the change in preferential tax treatment for meal vouchers and holiday vouchers, maintain the Deloitte Romania consultants."The end of 2023 has brought a series of unfavourable tax changes for employees and employers in all economic sectors. After the changes aimed at restricting the facilities granted to employees in IT, construction, agriculture and food industry, which came into force on 1 November 2023, other changes followed shortly after, through Ordinance 115/2023, also impacting employees, but also HR departments. The latter include changes to the preferential tax treatment of meal vouchers and holiday vouchers. Therefore, from 2024 onwards, these vouchers will also be included in the calculation basis of the social health insurance contribution (CASS)," says Ana-Maria Hoborici, manager, Outsourced Services Solutions, Deloitte Romania, in an opinion piece.According to the source, prior to 2024, all vouchers regulated by Law 165/2018 on the granting of vouchers, except for gift vouchers, were subject only to income tax (10%), but since the beginning of this year, meal vouchers as well as holiday vouchers are taxed at 10% tax and 10% CASS."As the income tax due in a month is calculated after deducting the social contributions due (CAS and CASS, 35% in total) from the total gross income earned in that month, meal vouchers and holiday vouchers end up being taxed at 19%. Some companies used to offset the income tax due on meal vouchers so that employees' net pay did not drop, but following this legislative change, most have decided not to offset this new contribution (CASS) owed by employees," the analysis adds.As a result, the majority of employees will receive, from 1 January 2024, a net monthly salary lower than the previous year, the source said.
Rituals Cosmetics, the international brand specializing in natural body and skin care products, home fragrances and home apparel, is set to open its first store in Romania at the end of September. The company, founded in 2000 in Amsterdam, has become a globally recognized industry expert with a presence in over 36 countries. It offers […]
Here we go again, it is September, and everything is happening at once, everywhere. Most cinema premieres are planned for autumn, so are many film fests. The reason are manifold, from the end of vacation to how local financing for culture works. After having been screened at festivals or events (most recently The Long Night […]
European Commission president Ursula von der Leyen has pledged aid worth EUR 10 billion to help repair the damage caused by recent floods in Central and Eastern Europe, Romania included. She made the promise during a visit to the western Polish city of Wroclaw on Thursday, September 19. A massive wave of flooding has hit Central […]
Finnish company Nokian Tyres inaugurated its passenger car tire factory in Oradea, Romania, on September 19, a project with a total value of EUR 650 million. The new facility operates without utilizing any fossil energy, making it the world's first full-scale tire factory with zero CO2 emissions. The factory inauguration marks the completion of a […]
The judges of the High Court of Cassation and Justice decided on Friday, September 20, to send the case targeting the Romanian Revolution of 1989, in which former president Ion Iliescu faces charges of crimes against humanity, back to the Military Prosecutor's Office to correct certain irregularities in the indictment. On June 14, another Supreme […]
The ranking of the best-selling cars in Europe was led by Dacia Sandero in August, a particularly notable achievement given it occurred in a declining market. The Romanian-made model has been the leader since the beginning of the year, missing the top spot for only two months and ranking second instead during that time. On […]
