Teleamazonas – The Ministry of Labor issued the agreements on labor related matters

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DATE: 16-07-2020

CORRALROSALES IN THE NEWS: 

-Edmundo Ramos

MEDIA: Teleamazonas

Television network Teleamazonas conducted an interview with our partner Edmundo Ramos as an expert on labor practices to find out his opinion on the labor changes that began to take place since last March, following the arrival of the health crisis caused by Covid-19. These changes shall be implemented, after the Ministry of Labor issued the agreements with the guidelines for the application of the registration of the types of work and the emerging working-day reduction.

“These agreements specify the procedure to be followed and the deadlines in those cases where employers have already implemented these alternatives,” explained our Partner.

Regarding compensations, within the interview it was clarified that in the event of layoff during the emerging working-day reduction, these compensations, payments and other legal benefits will be calculated based on the salary received by the employee before the reduction.

These guidelines are based on what is stated in the Humanitarian Support Law approved by the National Assembly. In an example given in the interview, it is explained that the emerging contract duly signed shall be registered by the employer in the “Single Work System” (SUT) within fifteen days from the date of execution.

“In the case of emerging working-day reduction, it is established that this reduction shall not be applied if another of the reduction formulas contemplated by law is in force at the time,” adds Ramos.

If you want to see the complete interview, click here

Click here if you want to see the guidelines for the application of the Humanitarian Support Law.

Click here for our information document on the Humanitarian Support Law.

Teleamazonas – Annual and/or monthly taxes apply from January 1st

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FECHA: 2-01-2020

CORRALROSALES IN THE NEWS:: 

-Andrea Moya

DATE: Teleamazonas

Our Partner, Andrea Moya, has been interviewed by the Teleamazonas news to explain the tax amendments introduced by the “Tax Simplification and Progressivity Law” and the date on which the amendments come into force.

“When taxes must be paid on an annual or monthly basis, the amendments entry into force from the first day of the following month. All amendments, in general, are effective as of January 1, with certain exceptions. The first exception is the distribution of dividends. This amendments entry into force on December 31,” Andrea Moya said in the interview.

Another of the points analyzed by our Partner was the amendment to the sub capitalization limit. “Previously, in credits between related parties you had a sub capitalization rule. Now this limit for interest expense changed to 20% of the profit. This should only affect contracts signed as of this date,” she explained. However, this has not been clarified in the law.

Another of the reforms that will come into force in 180 days, is the VAT for digital services, such as Uber or Netflix. “All the concepts that the law does not regulate specifically, the Tax Authority will have to issue a regulation” Andrea Moya points out during her interview.

All these changes could mean an amount of 600 million US dollars in revenue for the Government.

If you want to watch the video, press here