Severance payments above 30 times the annual social security ceiling subject to contributions and CSG from the first euro
Article 14 of the 2009 Social Security Financing Act provides that payments linked to the termination of an employment contract or the forced termination of a corporate officer's duties, when they exceed thirty times the annual social security ceiling, are treated in full as pay for social contributions (general and agricultural schemes) and are subject to the CSG from the first euro. Contract termination payments and termination-of-office payments are added together to assess the threshold.
Measure originators
No official estimate found for this measure.
Measure impact
Employees and executives receiving severance payments above thirty times the annual social security ceiling pay contributions and CSG on the whole amount, not only on the part above the exemption limits. The threshold was later lowered (2012 entries).
Official references
Sources
Procedure timeline
Follow the progress of this fiscal measure through the different stages of the parliamentary procedure.
Administrative implementation
Entrée en vigueur de la mesure et mise en œuvre par l'administration
President of the Republic signature
Publication au Journal officiel