In today’s article, CONFIDA Croatia discusses the deadline for submission of the JOPPD form in case of unpaid and paid salaries. With the entry into force of the Amendments to the Labour Act, the deadline for submitting the JOPPD form remained unchanged.
Submission of the JOPPD form
According to Ordinance on Personal Income Tax, the employer shall submit the JOPPD form on the day of payment or no later than the next working day.
In case of unpaid salary, the employer shall submit the JOPPD form when the obligation to pay income tax and contributions arise. The before mentioned applies to the last day of the month for the previous month. After the employer pays the unpaid salary to the employee, he is obligated to submit the JOPPD form no later than the 15th day of the month following the payment month.
Deadline for payment of salaries, allowances and other earnings
Within the Law on Amendments to the Labour Act, Article 92 was amended and reads:
(1) Salary, salary compensation, and other cash benefits are calculated and paid to the employee into their transaction account.
(2) Public payments from salary and on salary are deposited into designated payment accounts by tax and contribution regulations and deadlines.
(3) Exceptionally from point 1 of this article, the amount of other income and income from employment may be paid to the employee in cash by tax and contribution regulations.
(4) Salary, salary compensation, and other benefits are paid within the time limits determined by the collective agreement or employment contract and no later than the fifteenth day of the current month for the previous month.
(5) If the right to benefits in kind is agreed upon or established for the performance of work, the employer is obliged to provide it to the employee by the end of the current month for which the right is earned.
(6) Due to non-payment of salary, the employee may terminate the employment contract exceptionally.
(7) An agreement between the employer and the employee waiving the right to receive salary is not permitted.
Paragraph 4 of the above-stated Act stipulates that wages, wage allowances and other earnings the employer shall pay within the deadlines determined by the collective agreement or employment contract and no later than the 15th day of the current month for the previous month.
Obligation to calculate, withhold and pay advance income tax and contributions
The obligation to calculate, withhold and pay advance income tax and contributions for mandatory insurance arises on the day of salary payment. If the employer has not paid the salary on the due date, he needs to provide a calculation with the amount that he should pay. The advance tax is calculated and becomes due at the same time as the obligation to submit the unpaid income arises.
The employer must submit the mentioned calculation by the end of the month in which the salary was due, and the advance income tax for the unpaid salary must be paid by the end of the month for the previous month.
The same applies to contributions for mandatory insurance, which (in case of unpaid salary until the last day of the month) are due for payment until the last day of the month.
