The distribution in the utilities It is a social benefit that consists of allocating a certain percentage of a company’s income to be distributed among its staff.
Learn in this note all the details about the distribution of profits for this 2022, from how it is calculated, to whom it corresponds and the dates on which the payment will be made, according to Alicia Jiménez, main associate of the PPU study.
Who should share profits?
Employers with (i) more than twenty (20) workers, (ii) that develop third category income-generating activities, according to the Income Tax Law, and (iii) that have generated income in the previous year.
Cooperatives, non-profit entities, self-managed companies and civil societies and all companies that do not exceed twenty (20) people on the payroll do not distribute profits.
Who is it delivered to?
Personnel who had an employment relationship (payroll) during the year in which the benefit was generated, including those persons who have ceased employment on the date of payment.
How is it distributed?
The percentage is distributed according to the following rules:
- 50% is distributed according to the days worked by each worker.
- 50% is distributed in proportion to the remuneration of each worker.
On the days worked by each worker:
- The days actually worked by all staff are added up.
- The result is multiplied by the total number of days actually worked by each worker.
- Worked days are considered to be those in which the company’s ordinary working day is effectively fulfilled, as well as absences that by law must be considered as attendance.
- Prenatal and postnatal rest days are considered working days.
- In the case of part-time personnel, the number of hours worked according to their shift is added up to completing the company’s ordinary shift.
- In the case of personnel not subject to labor inspection, all working days of the company are considered effective working days, unless proven otherwise.
The maximum limit that each worker can receive is eighteen (18) monthly remunerations (the one in force at the end of the fiscal year).
When is it distributed?
Within 30 calendar days after the deadline for filing the Annual Income Tax Return (April and May 2022)
