Amendments to the law “On the collection compulsory social and health insurance contributions in the Republic of Albania”, as amended

Official Bulletin no.11, dated 27 January 2017

On 25.01.2017, the Council of Ministers adopted the normative act no. 1 ”On amendments to the law nr.9136, dated 11.9.2003, “On the collection compulsory social and health insurance contributions in the Republic of Albania”, as amended”, whose main amendments are:

Regarding the registration of employees in the tax authority:

• Natural or legal persons, within two working days following the registration at the National Business Center or in the tax administration shall declare to the tax authority the list of employees, the corresponding salary, including for the natural person even the unpaid family employee over 16 years who lawfully work and live with him.
• Self-employed natural persons without employees and without unpaid family employees over 16 years, who lawfully work and live with him, following the registration in the National Business Center or in tax administration, must declare their self-employment to the tax authority until at least 3 days before the deadline for submitting the declaration (which is within the 20^th day of the first month following the end of each quarter of the calendar year)
  Calculation of social and health insurance contributions becomes effective from the date of registration in the National Business Center or in tax administration.

Regarding the calculation of contributions for the self-employed person and the unpaid family employee:

• Compulsory social and health insurance contributions for the self-employed person including self-employed employer, are calculated as a percentage on a gross salary not lower than the minimum salary in the country and not higher than the maximum salary, approved by the Decision of Council of Ministers.
• Compulsory social insurance contributions for the unpaid family employee are calculated on the minimum national salary, approved by the Decision of Council of Ministers.
• Compulsory health insurance contributions for the self-employed person, including self-employed employer and the unpaid family employee, are calculated according to the level provided for as a percentage over double the minimum national salary, approved by the Decision of Council of Ministers.

In the event the taxpayer’s economic activity starts, stops, ends or passes in the passive registry during a month, the calculation of social and health insurance contributions done according to the salary for the days worked per month.