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New Swedish government proposal for monthly worker's pay report split the government

Wednesday, 13 March 2013
Despite harsh criticism of increased regulatory hassles for companies, the Swedish government has put forward a proposal that will force employers to submit payroll information to the tax authority every month instead of every year.

According to radio Sweden, the proposal has been slightly slimmed due to criticisms, but still stands as a policy the government wants to pursue.

Swedish Finance Minister Anders Borg, according radio Sweden had already presented a first draft proposal for the next line in government. Employers in the future will provide income information to the tax authority every month instead of every year.

The information that is expected to be provided includes salaries, allowances, mileage allowance, holiday pay, and other taxable income. The information must be submitted electronically and employers without internet and computers should be able to get an exemption or some form of support.

The proposals to introduce a new disclosure of sick pay and other compensation has been put on hold, reports radio Sweden, apparently as part of a bargaining chip to push away critics.

That not withstanding, the issue of monthly data provision to the authorities is reported to be dividing the government. For example, Center party leader and Minister Commerce and industries, Annie Lööf wrote last week, in an op-ed that after listening to criticisms from the business community and feed back from various groups, she feels that "it is not my ambition to make any recommendation on monthly reporting for all employers."

She commented to radio Sweden on the issue that "the proposal is now in the Cabinet Office. We'll see where it ultimately ends up but we can not accept big burden for Swedish companies, especially the small Swedish companies." Even the Christian Democrats are also not happy about the proposal and it remains to be seen whether the two parties have any power to influence any shift or retraction. 
by Scancomark.com Team


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