2023-10-28 08:04:01
Citizens have been facing an increasingly expensive life for some time, as continuous price increases and sky-high interest rates continue to put pressure on the pockets of millions of Spaniards. Given this scenario, the long list of expenses to pay month after month can become difficult for some of them and, therefore, they cannot face the occasional payment such as rent or even a debt with Social Security or Tax authorities.
Self-employed workers can incur debts with Social Security or the Treasury if they do not pay contributions or other payments to these organizations. Not being up to date with payments has negative consequences for the self-employed worker, since the amount to be paid will increase with surcharges and interest, and may lead to bankruptcy or cessation of the self-employed person’s activity or even the seizure of his or her assets.
However, debts are not forever, but have an expiration date and after a period of time, they expire, a period that varies depending on the organization. All tax debts expire after four years, as established in article 66 of the General Tax Law. Therefore, after that time, the self-employed person will not be obliged to pay the debt. In the event that there is a crime against the Public Treasury, the limitation period will be extended:
– General tax crimes: if more than 120,000 euros are defrauded, the statute of limitations is 5 years.
– Aggravated tax crimes: if more than 600,000 euros in fees are defrauded, the statute of limitations increases to 10 years.
On the other hand, the customs tax debt will expire after 3 years. Despite this, the limitation period may be interrupted for the following reasons:
– For any action of the Tax Administration, carried out with formal knowledge of the taxpayer, leading to the recognition, regularization, verification, inspection, assurance and settlement of all or part of the elements of the applicable tax obligation, even if the action is initially directed to a different tax obligation as a consequence of the incorrect declaration of the taxpayer.
– For the filing of claims or appeals of any kind, for actions carried out with formal knowledge of the taxpayer in the course of said claims or appeals, for the referral of the fault to the criminal jurisdiction or for the filing of a complaint before the Public Prosecutor’s Office, as well as the receipt of a communication from a jurisdictional body ordering the suspension of the administrative procedure in progress.
– For any reliable action of the taxpayer leading to the liquidation or self-assessment of the tax debt.
When do Social Security debts expire?
Those self-employed workers who have not paid the monthly fee to the Special Regime for Self-Employed Workers (RETA) on time should know that according to the General Regulations for Social Security Collection, debts with the organization expire after 4 years from the end of “the regulatory deadline for entry of those”, as established in article 42.1 of Royal Decree 1415/2004 of June 11
After this time, the self-employed person will not be obliged to pay the debt, although if there is a crime against the organization, and the amount of the defrauded contributions, refunds or improper deductions is greater than 50,000 euros, the period is extended to 5 or 10 years, if it exceeds 120,000 euros. However, the limitation period will be interrupted for the following reasons:
– For any action of the person responsible for payment leading to the recognition or extinction of the debt.
– For any action of the General Treasury of Social Security or the Labor and Social Security Inspection carried out with formal knowledge of the person responsible for the payment leading to the recognition, regularization, verification, inspection, assurance, liquidation and collection of all or part of the elements of the obligation with Social Security.
– By filing an administrative or judicial appeal or challenge; In such case, the calculation of the limitation period will begin again from the date on which the final resolution or sentence resolving them is issued. When they declare the contested act null and void, the limitation period will be considered not interrupted for this reason.
– By requesting an economic benefit from Social Security in cases in which legal or regulatory provisions provide for the possibility of warning the interested party that they must be up to date with the payment of their contributions in order to recognize it.
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