The government will be able to forgive debts to Social Security that are more than 20 years old, or that, being less than 50 euros, are 10 or more years uncollected.
The government will have the power to forgive taxpayers’ debts to Social Security that are longstanding, or that, being small, have been unpaid for some years now. The measure is contained in a preliminary version of the State Budget for 2021, to which ECO had access.
The annulment, “through the member of the government responsible for the area of solidarity and social security,” can happen in one of the following situations:
- “When the amount owed from contributions, instalments or rents is 20 years or more”;
- When the debt, having “10 years or more”, is less than 50 euros;
- “When its unrecoverability derives from the debtor’s seizable assets”;
- Or “when it is found” that the debts “lack justification or are insufficiently documented”.
The proposal, which will be delivered this Monday to the Parliament, should state that “the government is authorized” to “cancel credits held by Social Security institutions” if they meet the aforementioned set of requirements.