The quarterly statement of green receipts is an obligation for self-employed workers. Find out how, when it’s done and what it’s for.
A quarterly declaration of green receipts it is mandatory and essential to determine the contributions of self-employed workers to Social Security. January, April, July and October are the months that you should mark on your calendar so as not to miss the delivery.
Self-employed workers have their own regime in terms of contributions to Social Security. Until 2019, they were integrated into steps, depending on annual income. Since then, the value of the contribution to be paid varies according to the amounts declared in each quarter.
Thus, the purpose of the quarterly statement of green receipts is that the amount of payments reflects recent earnings. In this way, a self-employed worker is prevented from paying an excessive amount just because he earned more in the previous year.
Quarterly declaration of green receipts: what is it for
So that Social Security can know what the income was obtained, it is necessary that, periodically, the self-employed workers provide this information.
Like this, until the last day of January, April, July and Octoberit is necessary to submit the quarterly statement indicating the amount earned in the previous quarter.
In April 2023, for example, you must submit the income statement obtained in January, February and March 2023. In July, you must declare the values for April, May and June. And in October, the values for July, August and September. In January, the values for October, November and December.
In addition, in January of each year it is necessary to submit the annual declaration, which is nothing more than confirmation of the amounts indicated during the past year.
After all, what is included in the quarterly declaration of green receipts? In each quarter you must declare:
- The total value of income obtained from the production and sale of goods;
- The total amount of income you have earned through the provision of services;
- Other income necessary to determine the relevant income.
How to make the quarterly statement: step by step guide
The quarterly statement of green receipts is delivered (only) through Direct Social Security (SSD). For this, it is necessary to register and have the corresponding password. The registration process is quite simple and fast.
So, and once you have the password, just follow these steps:
- Access your personal area on site from SSD;
- Click on “Employment”;
- Choose “Self-employed workers”;
- Then “Quarterly Reporting Scheme”;
- Answer whether or not you had income in the last quarter. If you haven’t your statement is complete;
- If you answered “Yes”, fill in the total monthly income figures for the last three months. You must place them in the category / month they belong to;
- The values are added automatically. When finished, the “Total for the quarter” will appear, with the income considered for the calculation of the contribution and you can click on “Next step”;
- If you want the contribution to take into account income from subsidies, capital gains and/or intellectual or industrial property, fill in the respective values;
- See the monthly contribution amount for the next three months. You can choose to vary your contribution to an amount of up to 25% above or below this amount. That is, it can decrease or increase in 5% intervals (5%, 10%, 15%, 20% or 25%);
- Click on “Deliver Declaration”;
- You will receive a message in the SSD message section confirming the new value. If you do not agree, you have a few days to contest the same.
Use the app to remember dates
You can also use the Direct Social Security app – Social Security + Next not to forget the dates of the quarterly statement.
By synchronizing the app with your mobile phone’s calendar, you can automatically access the dates of payment of contributions and delivery of statements.
Rules for the quarterly declaration of green receipts
When filling out the declaration must put the values of gross income. That is, before the application of VAT and IRS withholding tax.
As we have already seen, you can increase or decrease the amount of the contribution before submitting the declaration. However, there are limits to the amount: the minimum is €20 and the maximum is €5,765.16, equivalent to 12xIAS (in 2023). Remember that the value of the Social Support Index (IAS) in 2023 is €480.43.
After submitting the quarterly statement, you will receive a notification in your Social Security Direct message box. This message indicates the value of the contribution you will pay in the following months.
To consult the contributions payable monthly, simply enter your SSD area, click on “Checking Account > Payments to Social Security”. Payments take place between the 10th and 20th of each month.
If you suspend or cease activity, you must submit the quarterly declaration of green receipts in the following declaration period. If, for example, you cease activity in October, you must submit the declaration in January.
How is the contribution amount calculated?
When submitting the quarterly declaration of green receipts, the Social Security platform establishes the monthly contribution base. This value corresponds to 1/3 of the relevant income in each reporting period.
Afterwards, a rate of 21.4% is applied. In the case of the provision of services, it is levied on 70% of the relevant income. In the case of production and sale of goods or catering, it is reduced to 20%.
Let’s see an example:
- Income from providing services: €6,000;
- Relevant income = 70% of €6,000, i.e. €4,200;
- The monthly contribution base is €4,200: 3 (months) = €1,400;
- The respective contribution rate of 21.4% applies to this amount: €1,400 x 21.4% = €299.60.
- The monthly contribution to Social Security is therefore €299.60.
Who is exempt from submitting the quarterly statement?
The obligation to deliver the quarterly declaration of green receipts does not apply to all self-employed workers.
According to the information provided by Social Securityfor example, pensioners and pension holders who result from verification of professional risk with incapacity for work equal to or greater than 70% are exempt.
Lawyers and solicitors who already make contributions to the respective Pension Fund also do not have to deliver the statement.
The same happens with workers who are temporarily self-employed, if they prove that they are part of a mandatory social protection regime in another country.
This obligation is excluded from this obligation for those who obtain category B income that result exclusively from local accommodation or electricity production for self-consumption or through small production units using renewable energies.
The waiver also applies to self-employed workers under the Organized Accounting System who have not exercised the option to be covered by the quarterly declaration.
Self-employed and salaried workers
Those who accumulate work on behalf of others with green receipts do not have to submit a declaration if:
- The relevant average monthly income from self-employment is less than 4x IAS;
- The independent activity and to others are provided to different entities;
- You are already compulsorily included in another social protection regime; It is,
- The average monthly remuneration as an employee is equal to or greater than €480.43 (IAS value in 2023).
Farmers with CAP subsidies
In the case of holders of rights over agricultural holdings and farmers who receive subsidies or grants under the Common Agricultural Policy (CAP) the exemption applies if:
- The farms’ products are predominantly intended for own consumption and activity income is less than the annual amount of 4 times the value of the IAS. They must request this exclusion through the Mod form. RV 1027/2018-DGSS;
- The subsidies or grants under the PAC were in an annual amount less than 4 times the value of the IAS and who do not have other income that could fit them in the regime of self-employed workers. They must request this exclusion using the same form referred to in the previous point.
Article originally published in July 2019. Updated in March 2023.