Extraordinary cessation of activity benefits for self-employed workers regulated in Royal Decree-Law 2/2022 (7th package)

On September 29, Royal Decree-Law 18/2021 was published, on urgent measures to protect employment, economic recovery and improve the labor market. This RD-law, among the support measures for the group of self-employed workers that it develops, establishes 6 new benefits.

The following table shows a summary of them:

Types of benefits and legislation

(*) To accrue the benefit from October 1 2021, the application must be submitted between October 1 and 21 (both inclusive).

The main changes and points of interest of the RD-Law are summarized below. 18/2021, with respect to its predecessors:

Exemption from contributions in favor of self-employed workers who, as of September 30, 2021, were receiving any of the benefits regulated in art. 7 and 8 of Royal Decree-Law 18/2021, of May 27, on urgent measures for the defense of employment, economic reactivation and protection of self-employed workers (Art. 8. RD-Law 18/2021):

Exemption from fees is established for self-employed workers who have been receiving regulated benefits in arts. 7 and 8 of RD-law 11/2021 until 09/30/2021 in the following amounts:

• Exemption of 90% of contributions corresponding to October 2021.
• Exemption of 75% of contributions corresponding to November 2021.
• Exemption of 50% of the contributions corresponding to December 2021.
• Exemption of 25% of the contributions corresponding to January 2022.

The registration status must be maintained until 01/30/2022.

The base will be determined based on what you received up to the time of access to the previous benefit.

These exemptions are incompatible with the receipt of any of the new extraordinary benefits for cessation of activity (regulated in articles 9 to 12 of RDL 18/2021 nor in that provided for in the sixth additional provision of this same RD-Law).

If you receive the benefit regulated in art. 9 of this RD-Law (suspension of activity), the exemption will once again be applicable from the moment the worker is forced to have to contribute again.

The contribution exemption IS NOT MANAGED BY THE MUTUAL, it is managed directly by the General Treasury of Social Security (TGSS). Any questions about this aid should be sent to the TGSS.

Extraordinary cessation of activity benefit for self-employed workers affected by the temporary suspension of all activity as a result of resolution of the competent authority as a measure to contain the spread of the COVID-19 virus (Art. 9. RD-Law 18/2021):

This benefit is intended for self-employed workers who are forced to suspend all their activities , as a consequence of a resolution adopted by the competent authority as a measure to contain the spread of COVID-19.

Both those who see their activity suspended as of October 1, 2021, and those who had it previously suspended and had not requested it before October 1, 2021 will be able to access this benefit.

The effects and dates of requesting this benefit will depend on the date on which the resolution to suspend the activity comes into force:

1. Resolution to suspend the activity prior to October 1:

• If presented between 1 and October 20 (inclusive): the benefit will accrue from October 1.
• If submitted after October 21 (inclusive): the benefit will accrue from the 1st of the month following receipt of the application.

2. Resolution to suspend activity as of October 1:

• If it is presented within 21 calendar days following the publication of the suspension resolution: the benefit will accrue from the day following the date on which the suspension is declared.
• If it is submitted after the previous deadline: the benefit will accrue from the 1st of the month following receipt of the request.

In the rest of the issues it is very similar to the extraordinary benefit of suspension of the activity regulated in art. 6 of RD-law 11/2021.

Benefit for cessation of activity compatible with self-employment (Art. 10. RD-law 18/2021):

This benefit is aimed at those self-employed workers who anticipate that during the coming months they will not recover the levels of activity prior to the crisis situation caused by the pandemic and who have a minimum of contributions for the contingency of cessation of activity.

Most of the requirements and conditions are similar to those established in the provision regulated in art. 7 of RD-law 11/2021.The main new features are:

• The date to submit applications on time ends on October 21 (inclusive) and these will take effect from October 1, the rest will take effect from the 1st of the month following having been requested.
• The benefit will have a maximum duration of 5 months , at most, until February 28, 2022 (the previous one was a maximum of 4 months).
• The economic requirement is established in the period between 3 ^er and the 4th quarter of 2021 requiring a reduction in taxable income from self-employed activity of more than 50% compared to the same period in 2019.
• Expect to not obtain during the 3rd ^er and 4th quarter of 2021 tax-countable net returns greater than €8,070 (previously €7,980).
• In the case of workers who pay taxes by objective estimate, the reduction in income may also be considered accredited based on the reduction in the average number of workers affiliated with the CNAE for each activity, comparing the 3rd ^er and 4th quarters of 2021 with the same period in 2019.

Extraordinary cessation of activity benefit for those self-employed workers who are active as of September 30, 2021 have been receiving any of the cessation of activity benefits provided for in articles 7 and 8 of Royal Decree-Law 11/2021, of May 27, on urgent measures for the defense of employment, economic reactivation and protection of self-employed workers and cannot cause the right to the ordinary cessation of activity benefit provided for in article 10 of this royal decree-law (Art. 11. RD-law 18/2021)

This benefit is aimed at those self-employed workers who, as of September 30, 2021, were receiving any of the benefits regulated in Arts. 7 and 8 of RDL 11/2021 and cannot be beneficiaries of that regulated in Art. 10 of RD-law 18/2021 or of the benefit for cessation of ordinary activity regulated in title V of the TRLGSS.

Most of the requirements and conditions are similar to those established in the provision regulated in art. 8 of RD-law 11/2021. The main new features are:

• The date to submit applications on time ends on October 21 (inclusive) and these will take effect from October 1, the rest will take effect from the 1st of the month following having been requested.
• The benefit will have a maximum duration of 5 months , at most, until February 28, 2022 (the previous one was a maximum of 4 months).
• The economic requirement is established with the 4th quarter of 2021, requiring a reduction in taxable income from self-employment activity, of more than 75% compared to the same period of fiscal year 2019.
• Expect to not obtain during the 3rd ^er and 4th quarter of 2021 taxable net returns higher than 75% of the SMI (before they were €6,650).

 

Comment: In the reference to the SMI it must be taken into account that by application of the provisions of art. 1 of Royal Decree 817/2021, of September 28, which sets the minimum interprofessional salary for 2021; With effect from September 1, 2021, the daily SMI has gone from €950 (applicable to July and August) to €965/month (applicable to September, October, November and December).

 

• In the case of workers who pay taxes by objective estimate, the reduction in income may also be considered accredited based on the reduction in the average number of workers affiliated with the CNAE for each activity, comparing the 4th quarter of 2021 with the same period in 2019.
More information about the benefit

 

Extraordinary cessation of activity benefit for seasonal workers (Art. 12. RD-Law 18/2021):

 

For this benefit, seasonal self-employed workers are considered to be those who...

• Have as their only job throughout the years 2018 and 2019 the one they had carried out in the Special Regime for Self-Employed Workers or in the Special Regime for Sea Workers, for a minimum of four months and a maximum of seven in each of the years. And, in addition, at least 2 of those months must have been between the months of October and December of each year.

Those who have also worked as an employee in the years 2018 and 2019 will not be excluded from this condition, as long as registration as an employee does not exceed 120 days throughout these two years.

• They have not been registered, or assimilated to registration, as an employed worker in the corresponding Social Security regime, more than 60 days during the 2nd and 3rd ^er quarter of 2021 .

Most of the requirements and conditions are similar to those established in the provision regulated in art. 9 of RD-law 2/2021, with the following reservations:

• Do not expect to obtain , during the 3rd ^er and 4th quarter of 2021 , taxable net income that exceeds the €6,725 (previously €6,650).
• The maximum duration of the benefit may be 5 months , at most, until February 28, 2022 (the previous benefit was at most 4 months)

The benefit requested until October 21 (inclusive), it will take effect from October 1, while those presented outside the aforementioned period will accrue the benefit from the 1st day of the month following the request.

More information about the benefit

 

Extraordinary Social Security measures for self-employed workers affected by the volcanic eruption registered in the Cumbre Vieja area in La Palm. (Sixth additional provision of RD-Law 18/2021):

 

This benefit is aimed at those self-employed workers who, as a direct consequence of the volcanic eruption registered in the Cumbre Vieja area on La Palma, are forced to suspend or cease their professional activity.

In reality, we are faced with a mechanism for accessing the ordinary cessation of activity benefit regulated in title V of the TRLGSS due to force majeure that allows recognition of a 5-month benefit for workers who would not have a deficiency and which extends the benefit by 5 months to those who do.

Being a request for ordinary cessation of activity due to force majeure, as a consequence of the volcanic eruption registered in the Cumbre Vieja area on September 19, 2021, the deadline to submit applications without penalties being applied would end on October 31, 2021.

The request for this benefit must be made through the ordinary cessation of activity benefit form informing the following as the reason for cessation:

 

 

Said request must be accompanied by its corresponding sworn declaration (without the need for any of the annexes).

You can send your request electronically to the email address of the Fraternidad-Muprespa delegation closest to you. See list of electronic addresses HERE

More information about the benefit