The Cabinet of Ministers accepted proposal of the National Tripartite Cooperation Council (NTCC) Budget and tax Subcouncil on the tax reduction for one of social guarantees of collective agreement - catering costs. The employees’ income that is applicable with a personal income tax and mandatory social contributions, it is planned to exclude the payment paid by employer according to a collective agreement for catering if employees payment does not exceed € 480 per year (an average 40 euros per month).
The Ministry of Finance informed that legislative proposal on tax relief will be added to the Annual state budget package for 2017 and introduced in 2017.According to the criteria made by the National Tripartite Cooperation Council Budget and tax Subcouncil payroll, tax relief will be applicable if employer meets following conditions:
The employers who find it potentially interesting should check whether the company meets the criteria mentioned above. It is necessary to conclude a collective agreement with an employee trade union or authorised employee representative if the employees have not formed a trade union.
If you need assistance in the preparation of the collective agreement, please contact us.
 National Tripartite Cooperation Council (NTCC) is an institution working at national level of tripartite social dialogue where the appointed representatives of Government, LDDK and Free Trade Union Confederation of Latvia collaborate as social partners.
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