The Government has sent this Friday a new proposal for the self-employed to extend the extraordinary benefit for cessation of activity until September 30. The proposal has divided self-employed organizations, since while ATA sees it as “unacceptable”, UPTAbelieves that the alternative presented by the Executive is “very positive” and has given its approval. For current recipients, the benefit remains the same and with the same conditions.
According to ATA, the Government obliges to have a contributory period, which means in practice that 90% of the 360,000 self-employed who receive it, by the end of May will have exhausted their contribution period. According to the latest proposal sent to the self-employed organizations, the benefit for cessation of activity compatible with self-employment will be available, as of June 1, 2021, for the self-employed who as of May 31 were receiving said benefit and not have exhausted the expected benefit periods.
Thus, they will be able to continue receiving it until September 30, “provided that, during the second and third quarters of this year,EL PERIÓDICO has already announced the intention of the Minister of Inclusion and Social Security, José Luis Escrivá, to propose a downward renewal of covid aid for the self-employed .
Access to the benefit will require proving in the second and third quarters of 2021 a reduction of more than 50% of the returns recorded in the second and third quarters of 2019, as well as not having obtained net returns greater than 6,650 euros in 2021.
The self-employed who on May 31 were receiving the benefit “may only be entitled to it if they had not consumed the entire period provided for in the general Social Security law on that date.” The taxable net income from self-employment and income from employment may not exceed 2.2 times the SMI. In determining this calculation, income from paid employment will not exceed 1.25 times the amount of the SMI. What’s more,
The Government has provided an extraordinary benefit for cessation of activity for the self-employed who carry out the activity and on May 31, 2021 they would receive the extraordinary benefit for cessation of activity and cannot cause the right to the ordinary benefit of previous cessation of activity.
You can access this extraordinary benefit as long as you are registered and up to date with the payment of contributions, do not have net returns in the second and third quarters of 2021 greater than 4,275 euros and credit in the second and third quarters of this year income lower than 75% of those in the same quarters of 2019. The amount will be 50% of the minimum base.
The receipt of the benefit will be incompatible with the receipt of a remuneration for the development of an employee’s work, with the performance of another activity on its own account, with the receipt of income from a company and with the receipt of a benefit of Social Security, except for the one that the beneficiary has received because it is compatible with the performance of the activity that he or she was carrying out.
As of June 1, the self-employed who are forced to suspend their activity or maintain, for the same reasons, the suspension of their activity that began prior to the indicated date, will be entitled to an economic benefit.
The amount of the benefit will be 70% of the minimum contribution base and the benefit will be incompatible with the receipt of remuneration for the development of an employee’s work, unless the income from employed work is less than 1, 25 times the SMI. There is also an exemption of 90% of the contributions corresponding to the month of June, 75% of those corresponding to July, 50% of those corresponding to August and 25% of those for September.
The text also includes the extraordinary benefit of cessation of activity for the seasonal self-employed. To access it, you must prove that you have been registered for a minimum of four months and a maximum of six months throughout the years 2018 and 2019. The self-employed person will be considered to have developed a single job in 2018 and 2019 as long as the discharge does not exceed 120 days throughout these years.
They must not have been registered as an employed person in the corresponding Social Security regime for more than 60 days during the second and third quarters of the year 2021 and they must not have taxable net income that exceeds 6,650 euros during the second and third quarter of the year this year. The amount of the benefit will be equivalent to 50% of the minimum contribution base that corresponds to the activity performed (in the previous proposal to this, the amount was 70% of the base).
The extraordinary benefit for cessation of activity regulated in this article may begin to accrue with effect from June 1, 2021 and will have a maximum duration of four months, provided that the request is submitted within the first 21 calendar days of June.
Sources from the National Federation of Self-Employed Workers Associations (ATA) have indicated to Europa Press that they have transferred their refusal to this proposal because they change all the conditions regarding the benefit that is in force until the end of the month. They question whether the Executive would be able to leave a worker in erte without charging it because they do not have enough contribution period and they have affirmed that this is what will happen from now on.
For its part, UPTA has valued very positively the reconsideration of the Ministry to return to the path of protection of all the self-employed who need it and has celebrated that a new path of extraordinary benefit is opened to the self-employed who do not have a period of benefit for which they will receive 50% of the contribution base and the fee exemption until September, as long as they prove losses of more than 75%.
He also sees positive that, thanks to the negotiation held, it has been agreed that the self-employed who have to close their business due to administrative restrictions put in place to face the pandemic will charge 70% of the base, compared to the current 50% .
The president of ATA, Lorenzo Amor, has assured that he “cannot accept” this proposal, has criticized that the Government “continues to leave the self-employed” and has assured that it is not an extension. “If the Government wants an agreement, it only has to extend the current scheme,” he remarked.
As Amor has explained, in the Government’s proposal the aid compatible with the activity from June 1 requires a contributory period, which means, Amor explained, that 90% of the 360,000 self-employed who receive it at the end of May you will have exhausted your listed period.
“We understand that there are those who really want to reach an agreement, but we are not going to leave the self-employed who most need help at the moment. Not all of them have been reactivated, there are many sectors that have not started the activity”,