Small employers with delinquent SSS remittances may get reprive
To avoid the possible closure of small companies, a lawmaker has filed a bill that seeks to lessen the penalty being imposed on employers or companies that fail to pay the social security remittance of their employees on time.
According to Rep. Nicanor Briones (AGAP Party-list) House Bill 4976 amends provisions of the Social Security Law on remittances and contributions.
Republic Act 8282, mandates employers to remit to the SSS its contribution within the first 20 days of each month for which remittances are applicable. If the contributions are not remitted to the SSS on time, employers shall pay a penalty of one-half percent per month or six percent per annum.
Every employer who fails to deduct and to remit contributions shall also pay a penalty of three percent per month compounded from the date the contribution falls due until it is paid.
“The penalty could be onerous and burdensome to the companies specially experiencing heavy financial losses due to the peso devaluation, oil price hike, and the pervading clouds of fiscal crisis, ” Briones said. (PIA/Bohol)
