Employee Category
The employee's category defines his/her activity/role classification, to consider the calculation of INSS taxes.
The categories available in the system are:
A |
Freelancer |
C |
Commissioned |
D |
Daily-paid worker |
E |
Monthly-paid trainee |
G |
Hourly-paid trainee |
H |
Hourly-paid worker |
I |
Monthly-paid teacher |
J |
Hourly-paid teacher |
M |
Monthly-paid worker |
P |
Pro-labore |
S |
Weekly-paid worker |
T |
Pieceworker |
| • | Employees registered in categories P or A, in this field, have their INSS automatically calculated with tax rate of 11% according to legal requirements . |
| • | Employees under the category 15 - Standalone Carrier, have a new script item to be added to their treatment. |
Categories registered in field RA_CATEG classifying the individual taxpayer as carrier (categories 15,18 or 25) must be calculated with a reduced calculation base, as laid down in Section V, Chapter III - Paragraph III of IN/INSS/DC No. 71 dated May 10, 2002. |
Legal assessment
The employee's category have legal grounds in Normative Ruling INSS DC No. 87 of 03/27/2003, of Federal Official Gazette of 03/28/2003, which provides for the contribution of the insured taxpayer providing service for the company, besides the taxpayer's income taxes in category 15 - carriers (legal ground - Law No. 7,713 of 22.12.88).
The information on this field concerns the individual taxpayer, not linked to the Labor Cooperative providing services directly to the contracting company, as they are included in the payroll and their respective payments are directly made.
No processing is made for the Individual taxpayer linked to Labor Cooperative since the amount paid by the service acquirer falls on the invoice gross amount or the receipt of the services rendered by the cooperative, and the cooperative is responsible for deductions on amounts paid to freelancer workers.