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Effective 1 January 2023, progressive rates of personal income tax are introduced that apply to employment income:
– 10% on annual income up to MNT120,000,000
– 15% on annual income above MNT120,000,000 and up to MNT180,000,000
– 20% on annual income above MNT180,000,000
Effective 1 January 2023, the national minimum wage is increased from MNT420,000 to MNT550,000.
The maximum monthly base (payroll cap) for calculating the employee social security contributions is increased from MKT4,200,000 to MNT5,500,000. As a result, the employee social security contributions are capped at MNT 632,500 per month for 2023.
Effective 1 February 2023, a new wage indexation applies. Wages and pensions must be raised by 2.5%. The next wage indexation is scheduled for 1 April 2023.
For 2023, the personal income tax thresholds are increased as follows:
– exempt from PIT annual income up to EUR10,777
– 11% on annual income above EUR10,777 and up to EUR27,478
– 30% on annual income above EUR27,478 and up to EUR78,570
– 41% on annual income above EUR78,570 and up to EUR168,994
– 45% on annual income above EUR168,994
The maximum amount for a standard deduction of 10% of employment income is increased to EUR13,522
Effective 1 January 2023, the monthly social security ceiling is increased from EUR3,428 to EUR3,666 for Bracket A, and from EUR27,424 to EUR29,328 for Bracket B.
The maximum monthly base (payroll cap) for calculating the employer unemployment insurance contribution is increased from EUR13,712 to EUR14,664.
For 2023, the personal income tax thresholds are changed as follows:
– exempt from PIT annual income up to EUR10,909
– 14% — 24% (geometrically progressive rates) on annual income above EUR10,909 and up to EUR16,000
– 24% — 42% (geometrically progressive rates) on annual income above EUR16,000 and up to EUR62,809
– 42% on annual income above EUR62,809 and up to EUR277,825
– 45% on annual income above EUR277,825
Effective 1 January 2023, the maximum annual base for calculating the pension and unemployment insurance contributions is increased to EUR85,200 (East) and EUR87,600 (West) for the health and long-term insurance contributions — to EUR59,850.
The standard deduction for employment-related expenses is increased from EUR1,000 to EUR1,230 annually.
The deduction for pension expenses is increased from 94% to 100% of the pension insurance contributions, up to a limit of EUR25,639.
Effective 1 January 2023, the maximum annual base for calculating the retirement and disability insurance contributions is increased from PLN177,660 to PLN208,050.
Commencing 1 January 2024, a significant announcement was made in Singapore — Government-funded paternity leave will be extended from two weeks to four with a voluntary extension of an extra two weeks.
To provide increased assistance to lower- and middle-income working mothers, revisions have been made to the Working Mother's Child Relief program. Accordingly, eligible individuals may receive further support through this revised initiative.
As part of the updated parental leave regulations, parents can access 12 days of unpaid leave per year to care for their infants. This is an increase from the previous six-day allowance.
Business Immigration: News & Compliance
In a move to modernize its business immigration system, the Israeli government has recently introduced digital work visas for certain categories of employees. Those eligible may obtain B-1 Expert, B-1 Hi-Tech, SEA 90-day, and STEP 90-day visas online when entering the country. Dependents, however, must still adhere to traditional means with a physical B-2 visitor visa stamp on their passports. Despite this transformation, no alterations were made to the overall application process.
2. United Kingdom
As the UK's immigration landscape continues to change, many small businesses are taking a closer look at the potential benefits sponsorship offers in 2023. A Home Office sponsor license is now required for companies that wish to recruit non-EU employees through the Skilled Worker visa route. Obtaining sponsor license status grants employers unrestricted access to a vast pool of international talent from around the globe.
When it comes to addressing skills shortages in the future, a survey conducted by the Federation of Small Businesses of the UK has revealed that twice as many small businesses are now turning to sponsorship. Some consider this path undesirable due to its potentially high costs and complex process for gaining and maintaining a sponsor license — yet these employers are taking this route nonetheless.
Regardless of size or industry, any organization can apply for a sponsor license provided all the Home Office's eligibility requirements are met. Qualifying businesses must have
Sponsor Licence Application Procedure
The requirements for obtaining a sponsorship license include completing an online application form, submitting supporting corporate documents, demonstrating that the company has adequate HR practices to fulfill its licensee duties, appointing personnel who will manage the process, and paying fees. All of these steps comprise the application process for a license.
New Startup Law in Spain to Facilitate Talent Acquisition
The Spanish Congress of Deputies approved new legislation called the Law for the Promotion of the Startup Ecosystem, or Startup Law. During one of their plenary sessions, this law was passed on December 1, 2022.
According to the Spanish Tech Ecosystem Report, the value of the Spanish Startup Ecosystem was 46 mln Euros in 2021.
The new Startup Law in Spain is an ambitious attempt by the government to address the unique challenges that startups encounter when raising capital and recruiting high-skilled workers.
The Startup Law seeks to create a favorable regulatory environment for Spanish startups to foster innovation, create jobs, and spur economic growth. It includes provisions to reduce bureaucracy, offer tax incentives to investors, and make it easier for firms to access financing and global talent.
Objectives of the Startup Law in Spain
Requirements for Creating a Startup in Spain
According to new legislation, certain criteria must be met to be classified as a startup.
New Work Visa for Remote Talent in Spain
A new visa program has been created to enable foreign nationals to take up residence in Spain while working for a company based elsewhere. Independence professionals can perform part of their work for Spanish businesses, with no more than 20% of their time devoted to such activity. This is not open to regular employees, however.
Qualification Criteria for New Spanish Visa Program
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