The Amending Finance Act for 2022 and the Purchasing Power Act both include measures concerning overtime.
Measure provided for in the amended Finance Act for 2022
The law raises the income tax exemption limit to €7,500 net per year for remuneration paid for overtime and additional hours worked from January1, 2022.
This limit was previously set at €5,000.
Measure provided for in the law on purchasing power
The law provides for a flat-rate deduction of employer contributions on overtime, in companies with between 20 and 250 employees, from October1, 2022.
The companies concerned are those with between 20 and 250 employees.
The deduction applies to overtime.
(The scheme does not apply to overtime)
It also applies to days of rest foregone by employees on a fixed annual number of days, in excess of 218 days.
The amount of the exemption, which could be as much as 50 centimes per hour, and the terms and conditions of application will be set by decree.
