News Flash No. 6/2025
Last Jan. 31, the Internal Revenue Service, through Resolution No. 9/E, announced the tax codes for the use in compensation by withholding agents, through the F24 and F24 "Public Entities" forms, of the credit accrued as a result of the disbursement to employees of the sum referred to in Article 1, paragraph 4, of Law No. 207 of Dec. 30, 2024 (Budget Law 2025).
Let us recall what is stipulated in Article 1, paragraph 4, of Law No. 207 of December 30, 2024:
"To holders of income from employment referred to in Article 49 of the Consolidated Income Tax Act, referred to in Presidential Decree No. 917 of December 22, 1986, with the exclusion of those indicated in subparagraph (a) of paragraph 2 of the same Article 49 (excluding, therefore, pensions of all kinds and allowances equivalent thereto; as well as the sums referred to in the last paragraph of Article 429 of the Code of Civil Procedure (i.e., work credits ordered by the court following a conviction) who have a total income of no more than 20,000 euros is recognized a sum, which does not contribute to the formation of income, determined by applying to the income of the taxpayer's employment the percentage corresponding below: