Social Security - Rules on contributions to simultaneous employments relationship have changed

 

The Federal Revenue of Brazil (RFB), through the publication of Normative Instruction RFB 1997/2020, changed the rules for simultaneous employment relationships situations, among other issues.

  According to NI, as of March/2020, the calculation of the contribution discounted from the insured employee, domestic worker or individual worker who provides remunerated services to more than one company will be as follows:  

a) Each employer informed in the report presented by the employee with simultaneous employment relationships will apply the rates on the remuneration due to the insured, observing the ranges already taxed in the former companies, up to the maximum limit of the contribution salary; and

b) If there is also remuneration from the service provided as an individual taxpayer, up to the amount corresponding to the difference between the maximum limit of the contribution salary and the sum of the remunerations received as an employee, domestic employee or individual worker, the following procedures are applicable:

b.1) the sum of the remunerations earned does not exceed the maximum contribution salary limit, each company will apply, separately, the contribution rate of 20% or 11%, as the case may be;

b.2) when the maximum contribution salary limit is exceeded, the company, where this occurs, will deduct the contribution by 20% or 11%, as the case may be, on the amount corresponding to the difference between the limit and the total remunerations on which discounts have already been made.

 

Note: Each paying source must inform the existence of multiple employment relationships or multiple paying sources at GFIP, eSocial and EFD-Reinf, as appropriate.

 

The NI RFB 1997/2020 also brings the new statement template to be presented by the worker with simultaneous employment relationships: