When you hire a pensioner, what taxes should the employer pay for him?

First Deputy Minister for Taxes and Duties of the Republic of Belarus Igor KLEPCHA helps to understand the nuances of legislation .

• Some pensioners living in a private house are exempt from paying a single tax on land and real estate if able-bodied children are not registered in the house or one of the spouses is still working. Children who rent housing in another city are registered in my house, and I pay tax. But many people I know do not pay, although able-bodied children are registered with them. How so? N, Krichev

— The reason is that a number of categories of citizens are not taken into account among the able-bodied persons.

Thus, residential buildings and land plots provided for the construction and maintenance of such residential buildings, owned by individuals who are entitled to an old-age pension, are exempt from paying real estate tax and land tax (subclause 4.5, clause 4, article 228 and subclause 7.4, clause 7, Article 239 of the Tax Code (TC)). They are exempt from paying real estate and land taxes provided that able-bodied persons are not registered in such residential buildings.

However, the following are not taken into account among able-bodied persons:

• persons entitled to an old-age pension;
• disabled people of groups I and II;
• minor children;
• conscripts;
• persons undergoing alternative service;
• persons serving sentences in places of deprivation of liberty;
• persons registered at their place of residence in rural areas and working in organizations located there (their structural or separate divisions) engaged in agricultural production; in branches or other separate divisions of organizations producing agricultural products that have acquired, in the manner prescribed by legislative acts, as a result of reorganization, acquisition (free transfer) of an enterprise as a property complex, the rights and obligations of unprofitable agricultural organizations; in health care, cultural organizations, educational and social protection institutions.

Property tax benefits for residential buildings owned by pensioners who previously worked in the organizations listed in paragraph 7 are provided regardless of the presence of registered able-bodied persons in such residential buildings.

Benefits for a pensioner. How can a Belarusian save in retirement Read more

What taxes does an employer pay for a working pensioner?

In other tax systems, contributions are taken into account as expenses, reducing the tax base for calculating the tax. Let's show with a small example what taxes an employer pays for an employee in 2021, and how you can reduce the fiscal burden using legal methods. The calculated quarterly tax for LLC on UTII amounted to 26,800 rubles.

Calculated as a percentage of total income minus amounts exempt from tax. These include fees, profits from the sale of real estate, bonuses, gifts, winnings, paid sick leave, etc. As is known - 13%.

Registration procedure

Federal Tax Service employees do not process benefits, so pensioners must take care of receiving benefits on their own. For this purpose, a special application is drawn up and submitted to representatives of the tax service. When visiting a Federal Tax Service office in person, you must have a passport and a pensioner’s certificate with you.

The procedure can be performed through the service’s personal account . After registration, the information in the application is entered automatically, so you just need to indicate the object for which the benefit will be issued.

Documents proving the citizen’s right to benefits are attached to the application.

These include:

• copy of the passport;
• a certificate from the Pension Fund, which confirms that the applicant is represented as a pensioner or pre-retirement person;
• papers for land, real estate or car.

Representatives of the Federal Tax Service request the missing documentation from other government agencies. The application is drawn up in the prescribed form, so a sample and form can be found on the service’s website or asked from the organization’s employees. The application is considered within 30 days, after which the pensioner is notified of the decision.

If the decision is positive, the citizen can request a recalculation of the overpaid tax for the previous three years.

What taxes does an employer pay for a working pensioner?

• to ensure the rights of insured persons to pension support;
• for free services in public medical institutions;
• for benefits in the form of sick leave, maternity leave and in case of work-related injuries.

If the deadline for payment of fees is a non-working day, then payment is transferred to the next working day. But the rule does not apply to all contributions. For example, payment for injuries is provided in advance: if the last day was a weekend, then payment is made on a working day that is close to a non-working day.

When you hire a pensioner, what taxes should the employer pay for him?

Be sure to find out exactly what documents are required before bringing the complete package to the tax office. Depending on the conditions under which you are applying for benefits, as well as on the region of your location, the package of documents may vary slightly.

As you know, a pension can be either state or non-state. What is the difference in paying taxes for each type? The main difference is that the state pension is completely tax exempt.

Who can apply

Pensioners who retired based on reaching a specific age are exempt from paying personal income tax on their state pension. Additionally, they receive benefits during the calculation of property and land taxes. At regional levels, senior citizens are often exempt from paying transport tax or can enjoy a significant discount.

Additional concessions on other types of fees are offered to labor veterans and disabled people. If a citizen continues to officially work even after receiving a pension, he still receives certain benefits for various fees.

Reference! Transport tax is a regional payment, so its size and the possibility of obtaining a discount are provided exclusively by local authorities.

What taxes does an employer pay for a working pensioner?

Although pensioners belong to a social category of citizens less protected than ordinary residents of the state, tax structures do not make any special distinctions. As long as there is an object of tax collection - transport, property, real estate, income that is legally subject to taxation, payment must go to the state budget.

Attention: in 99% of cases, an individual is subject to tax liability, not criminal liability. Responsibility depending on the type of tax Let's look at the most common contributions, namely land, transport and property and the size and types of fines applied to working pensioners for non-payment of each of them. Tax Features Land Penalty Payment must be made on time. Criminal liability arises only if a person deliberately concealed his income.

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Bonus for experience

Until now, many citizens strive to work in one place for more than 10 years, because they believe that long experience will affect the size of their future pension. In fact, the amount of payments is influenced by the total period of work activity.

In addition, the amount of pension contributions increases when a citizen continues to work actively after reaching retirement age. Thus, for each year of deferment, a citizen increases not only the pension coefficient by 0.1 (about 500 rubles per year), but also the size of the future fixed payment, which is added to the insurance part. For example, if you apply for pension payments five years later, the fixed part will increase by 36%.

Read in the following materials What is IPC? And also how to calculate a pension using the IPC?

Another option for an increase for length of service is related to the citizen’s place of residence. Thus, residents of the Far North with more than 20 years of experience have the right to claim bonuses from the state.

9 months worked in the North are equivalent to one year of work.

Also, work experience helps increase pension payments by 3 points annually. In monetary terms, this premium is 222 rubles. But there is one caveat - this amount is added if the salary of the RP is equal to three minimum wages.

It is important to know! How was pension formed in the Soviet Union?

Taxes on pensioner's salary

Therefore, from wages and other remunerations accrued to working pensioners, the employer pays pension contributions in the usual manner (clause 1 of Article 236, clause 1 of Article 237 of the Tax Code of the Russian Federation, clause 2 of Article 10 of the Federal Law of December 15, 2021 No. 167 -FZ).

At the same time, persons working under an employment contract or under a civil law contract, the subject of which is the performance of work and the provision of services, as well as under a copyright and license agreement, are subject to compulsory pension insurance (Clause 1, Article 7 of the Federal Law of December 15, 2021 No. 167-FZ “On compulsory pension insurance in the Russian Federation”).

Procedure for paying taxes by working pensioners

Since transport tax is a regional tax, the categories of citizens who are exempt from it are determined by regional laws. At the moment, working pensioners in St. Petersburg, the Krasnoyarsk Territory, as well as the Leningrad, Sverdlovsk, Perm, and Chelyabinsk regions may not pay the tax on one vehicle of installed capacity.

• not pay property taxes on one piece of non-profit property of your choice;
• receive tax deductions from the personal income tax base;
• take advantage of regional and local tax benefits established for pensioners.

Property tax type

The following private real estate is subject to property taxation:

• All residential premises are an apartment, as well as a house, a part in a house, or a share in an apartment;
• Premises for housekeeping;
• Garage for a car;
• Purchased parking space.

There are tax breaks for certain categories of people on property taxation.

Pensioners are exempt from paying property tax, and the following categories do not need to pay for property:

• War veterans;
• Citizens with disabilities of the first and second groups;
• Disabled children from childhood and their guardians;
• Heroes of the Soviet Union and Russia;
• Chernobyl liquidators;
• Families who have lost a military breadwinner;
• Minor owners of land plots that were passed to them by inheritance.

Since 2021, there have been changes in property taxation.

A pensioner may not pay for one apartment, and if a benefit recipient owns several apartments, then he can take advantage of the benefit for only one property, and for the remaining apartments he pays the full cost of property tax on housing.

If a pensioner makes a profit from property, then he is required to pay tax on it.

Working on a patent: what taxes should a CIS citizen pay?

The amount of personal income tax is reduced by the amount of fixed advance payments for the period of validity of the patent, subject to receipt of a notification from the tax inspectorate, an application from a foreigner and documents confirming payment of these payments (clause 6 of Article 227.1 of the Tax Code of the Russian Federation, letter of the Federal Tax Service of the Russian Federation dated March 14, 2021 No. BS-4-11/ [email protected] , dated 09/23/2021 No. BS-4-11/ [email protected] , dated 02/19/2021 No. BS-4-11/2622).

Material assistance paid to employees from the CIS countries is not subject to personal income tax only when it is directly exempt from tax. For example, if it is related to emergency circumstances (clause 8.3 of Article 217 of the Tax Code of the Russian Federation, letter of the Ministry of Finance of the Russian Federation dated 08/04/2021 No. 03-04-06/44861).

Special categories of citizens

It's no secret that military personnel and employees of the Ministry of Internal Affairs are in a special place with the state. In addition to the standard old-age insurance pension, they are paid a state benefit for long service. Is the pension of the Ministry of Internal Affairs and the Ministry of Defense taxable for long service? The answer to this question can be found in Art. 217 Tax Code of the Russian Federation. In accordance with it, payments for state pensions, along with insurance pensions, are exempt from income tax for individuals. Consequently, pension payments to former military personnel and employees of the Ministry of Internal Affairs are not subject to taxation.

What taxes does a working pensioner pay in 2021?

The percentage of people who continue to work after retirement is growing. Some attribute this to the fact that pensioners prefer to stay “in service” longer, others – that pensioners want to have more income, since a pension in Russia does not provide the majority of people with the necessary financial support. In this article we will touch on the topic of paying taxes for pensioners who work after retirement.

Strange as it may seem, however, when the moment of transition to retirement approaches, the tax benefits intended for the pensioner do not begin to work themselves. In order to exercise your right to a benefit, you must contact the tax office and provide the necessary documents, as well as fill out an application.

Property tax deductions for working pensioners

Many pensioners, even after retirement, continue to lead an active lifestyle and carry out various transactions, including with real estate and other property. In such a situation, they are entitled to property tax deductions. The basis for providing such a deduction for a working pensioner is no different from the procedure for a working citizen.

A property deduction is understood as the amount that was previously paid to the state treasury, to the buyer or builder of his home, the land plot that is purchased along with it.

The amount of compensation is only 13% of 2,000,000 rubles, that is, the amount cannot exceed 260,000 rubles spent on the acquisition of property.

Important! There is one difference between working citizens and working pensioners in the procedure for providing this deduction. For a pensioner, it can be carried forward to three tax periods (years) preceding the purchase. This means that personal income tax can be reimbursed for three previous years, and not for one as for an ordinary working citizen.

Non-working pensioners can also receive this deduction, provided that they had income in addition to pensions, which was subject to personal income tax.

Among such incomes of a non-working pensioner are considered:

• proceeds from sales;
• from renting out property and cars;
• from receiving a non-state pension;
• from other cash receipts.

Basic conditions for obtaining a property deduction for a working pensioner:

Example No. 1. Working pensioner Ivanov A.A. I bought an apartment in 2020. In the same year, he can receive a tax deduction, as well as for the three previous years of work, that is, for 2016-2018. Thus, he returns personal income tax for 4 years.

Important! The main regulatory documents that regulate the receipt of property deductions are the following: Article 220 of the Tax Code of the Russian Federation, Letter of the Federal Tax Service of Russia dated March 30, 2016 No. BS - 3-11/1367, Article 34 of the RF IC.

What taxes does an individual entrepreneur pay on wages of employees?

It does not matter whether this contract is short-term, designed to perform a certain type of work, or long-term. In any case, the entrepreneur assumes the obligation to pay additional payments. But what taxes do individual entrepreneurs pay on employee salaries and how to calculate them correctly - this issue requires detailed consideration.

If an employee has the right to use a deduction (property, for expenses for education or treatment, a standard deduction for a child), then he can subsequently return part of the income tax paid. But this is a topic for a separate article.

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List of relaxations

In 2021, the transition period continues, based on which the age at which citizens retire is changed. The procedure is currently performed by women aged 56.5 years and men aged 61.5 years.

Citizens who become pensioners automatically receive the opportunity to apply for various tax benefits. For them, the amount of land and property taxes is reduced. In many regions, transport tax payments are being reduced. If a person stops working, he does not pay personal income tax, since no income tax is charged on the pension.

Attention! Benefits can be not only federal, but also regional, and some require registration by the pensioner, so you must independently contact the Federal Tax Service with official applications for recalculation.

What taxes does the employer transfer to the tax office for a working pensioner?

To calculate the amount of the pension payment, taking into account its increase, the formula is used: The maximum number of individual points that is taken into account during the annual pension recalculation is legally limited. Depending on the formation of a funded pension through insurance contributions, the maximum number of IPCs is: 3.0 - for persons who did not form a funded pension in the corresponding year.

applications to receive notification of the status of the individual personal account (individual personal account) by registered mail - Format: doc Size: 23 kb applications to receive an extract from the individual personal account independently from the Pension Fund of the Russian Federation - Format: doc Size: 23 kb

What taxes does an employer pay for a foreign worker?

The Russian legislator has created such a conglomeration of regulations on social security that it is impossible for an accountant alone to figure out at what rates an employer needs to pay insurance premiums for foreign workers without the participation of a lawyer.

(13) Part 3 of Article 58.2 of Federal Law No. 212-FZ of July 24, 2021 “On insurance contributions to the Pension Fund of the Russian Federation, the Social Insurance Fund of the Russian Federation, the Federal Compulsory Medical Insurance Fund”;

How much taxes does an employer pay for an employee?

The Pension Fund website is also not difficult. To use it, you need an account on the State Services website. But here it’s enough just to log into your personal account and find the section “About generated pension rights”. It will contain all the necessary information.

Free medical care is provided to the population thanks to taxes paid by able-bodied citizens of the country. The employer sends 5.1% of each employee’s salary to the Federal Compulsory Medical Insurance Fund, thereby supporting medicine in the Russian Federation.

What taxes does the employer transfer to the tax office for a working pensioner?

• do not pay property tax (in relation to only one non-commercial real estate object, for example, an apartment);
• receive deductions for personal income tax;
• enjoy benefits for pensioners established at the regional and local levels;
• do not pay income tax, which is calculated on pensions, as well as on financial assistance and compensation payments;
• do not pay land tax (in Leningrad, Samarka, Novosibirsk and some other regions of Russia);
• do not pay transport tax (in the Leningrad, Perm, Sverdlovsk, Samara regions and Krasnoyarsk Territory).

You can apply for deductions no more than three years after the right to them arises. This rule applies to all types of deductions, except property. Pensioners can receive a property deduction at any time if they have income subject to personal income tax, or transfer it (deduction) to previous tax periods (but not more than three), if they had such income in the past. So, a pensioner who retired in 2021 and bought an apartment in 2021 can receive a deduction for 2021 and 2021. To receive a deduction, you must submit a tax return to the Federal Tax Service, take a certificate of taxes paid at work and submit documents certifying your right to the deduction.

Tax deductions for pensioners

If a tax is withheld from a non-state pension at a rate of 13%, as well as from the income of the working population, the following question becomes logical: does a pensioner have the right to tax deductions when purchasing property? It does, but there are also a number of nuances. Read also the article: → “Tax deduction for pensioners when buying an apartment, during treatment in 2021. Analysis of 5 examples.”

A pensioner can return the personal income tax paid in the following cases:

• when he works and receives taxable income;
• when he worked for the last 3 years, immediately before the deduction arose, and received income;
• when his pension contributions were to a non-state pension fund, or there were voluntary contributions.

To get a refund of the tax paid, pensioners need to act in exactly the same way as the working population. The tax authority must submit a completed tax deduction declaration of the established form, which indicates the value of the property, the income received and the personal income tax paid. An application and all supporting documents are attached to the declaration. Read also the article: → “Do pensioners and beneficiaries pay property tax 2020.”

An example of calculating a property tax deduction for pensioners.

In 2021, a working pensioner bought an apartment worth 1.9 million rubles. His income over the last 4 years was:

• 300 thousand rubles for 2013
• 350 thousand rubles. for 2014
• 380 thousand rubles. for 2015
• 400 thousand rubles. for 2021

So, in 2021, a working pensioner can receive a deduction for the 2016 year, and transfer the remainder of the full amount of income to the 13th, 14th and 15th years. The tax authority can return a tax deduction to the pensioner in the amount of 247 thousand rubles (i.e. 1.9 million rubles * 13%).

For the years indicated above, the pensioner is entitled to the following payments:

• 39.00 thousand rubles. for 2013
• 45.50 thousand rubles. for 2014
• 49.40 thousand rubles. for 2015
• 52.00 thousand rubles. for 2021

The remainder of the deduction will be 470 thousand rubles (1900 thousand rubles - 300 thousand rubles - 350 thousand rubles - 380 thousand rubles - 400 thousand rubles). A pensioner can use it in subsequent years if he has income subject to personal income tax of 13%.

How to register an employee without paying taxes for him

Good afternoon I have an LLC, there are 5 people who are officially registered, deductions are made for them everywhere, and there are also 2 people who are not registered with me, what kind of agreement can I conclude with them to avoid paying taxes, etc.? I will be grateful for the answer.

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Hello. There are two ways here: legal and illegal. If it is legal, then you can do this: conclude an employment contract with the employees, in which their work will be at the very minimum rate (usually half-time, i.e. work 4 hours a day), the rest of the salary will be taken into account. In this case, you will pay 900 rubles in taxes for them, no more. If it’s illegal, then simply don’t formalize them or conclude some kind of free internship agreement or something like that, and hand over the entire salary. Or don’t register anything at all, and leave the entire salary in their hands.

How much and what taxes does the employer pay for the employee?

Income from these deductions goes towards benefits in case of accidents during a person’s working activity. They are then provided by social funds. Contingent deductions do not involve the involvement of a third party; they are used to ensure that the employer provides a decent standard of living for employees who are dependent due to injury. To determine the amount of deductions, you need to apply the actual value of payments made in the previous year. Dependent persons are entitled to:

1. Standard. The amount and number of deductions is determined by the number of children and the benefits of the employee’s category.
2. Social. Provides an opportunity to reduce the size of the base for treatment and education services.
3. Property. It is provided with the purchase of property.
4. Investment. Valid for transactions with securities.

Salary taxes: what taxes to pay and tax calculation formulas

As you know, from January 1, 2021, changes were made to the Tax Code of the Republic of Kazakhstan; in particular, paragraphs were added. 49) paragraph 1 of Article 341. According to this paragraph, when calculating individual income tax, an adjustment of the employee’s taxable income in the amount of 90% is provided if the employee’s income does not exceed 25 MCI (63,125 tenge). Currently, when determining the object of taxation for taxes, contributions, and deductions from wages, it is required to exclude the income specified in paragraph 1 of Article 341 of the Tax Code of the Republic of Kazakhstan, including paragraphs. 49) paragraph 1 of Article 341 of the Tax Code of the Republic of Kazakhstan.

That is, adjustments in accordance with current legislation must be made not only when calculating individual income tax, but also when calculating social tax, mandatory pension contributions, mandatory professional pension contributions, social contributions, and contributions to compulsory medical insurance. However, the government is currently considering draft resolutions that provide for an exception from the rules for calculating pension contributions and social contributions of the rule that states that taxable income should be reduced by the amount of the adjustment. The current version of the resolutions provides for the retrospective introduction of these standards from January 1, 2021, regardless of the timing of the adoption of these resolutions. In this regard, we consider it necessary to keep records of mandatory pension contributions and social contributions without applying the described adjustments. This is exactly how our calculators and salary calculations are configured in the “Calculations and Payments” section in your personal account my.mybuh.kz.