The year 2023 has marked a significant milestone for self-employed workers in Spain, with the implementation of a new contribution system in the Special Regime for Self-Employed Workers (RETA), supported by Royal Decree-Law 13/2022. This reform aims to link Social Security contributions to the actual economic returns of each self-employed individual, in an attempt to establish greater equity in the contribution system.
The regularization process of the contributions for this year will be carried out in 2025 and will unfold in several phases. Firstly, following the closure of the income tax declaration campaign, the State Tax Administration Agency (AEAT) will calculate the annual net returns of each self-employed worker and transmit this information to the General Treasury of Social Security (TGSS). Subsequently, the TGSS will compare the net returns with the contribution bases that the self-employed individual chose during 2023. In case of discrepancies, the corresponding regularization will be carried out.
One of the most relevant novelties of this system is that self-employed individuals who were already contributing prior to 2023 with a base higher than their returns can choose to maintain that base. However, this decision must be explicitly communicated; otherwise, their base will be automatically adjusted to their actual income, which could result in a decrease in their contribution base.
The procedure includes notifying the self-employed individual about the regularization outcome. If it is determined that the self-employed individual has contributed less than required, they must pay the difference within a specified period. Conversely, if they have contributed in excess, the TGSS will refund the surplus before April 30 of the following year after the income communication.
The consequences of this new system are wide-reaching and affect both entrepreneurs and self-employed individuals. It is crucial for self-employed individuals to carry out proper financial planning that considers potential adjustments in contributions, which could impact the liquidity of the business. Furthermore, having accounting and tax advisory becomes essential to comply with tax obligations and optimize contribution management. It is worth noting that it is possible to modify the contribution base up to six times a year, allowing self-employed individuals to adapt it according to their projected income.
Puigverd Assessors emphasizes the importance of staying informed about current regulations and the need for professional advice to successfully manage this new contribution scenario within the RETA.
via: MiMub in Spanish
