Aid for young entrepreneurs, anti-late-payment rules and sector changes

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1. Young people under 30 (under 35 for women) who register as self-employed can pay less in Social Security contributions during their first months. People with a disability of 33 % or more also get discounts.
2. People under 30 who receive unemployment benefits and start working for themselves can keep collecting the benefit for up to 270 days. The options to collect unemployment benefits in a single payment to start a business are also expanded.
3. Newly created companies pay a reduced corporate tax (15 % on the first €300,000 of profit) in their first two profitable years. People starting a self-employed activity can apply a 20 % reduction in personal income taxincome tax The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings..
4. Several incentives are created for hiring unemployed young people under 30: discounts on Social Security contributions for part-time training contracts, permanent contracts at microenterprises, training contracts and first-job contracts. Cooperatives and insertion companies also get bonuses.
5. All job offers and job requests will be registered in a common database, the Single Employment Portal, so that anyone can see vacancies across the whole country.
6. Anti-late-payment rules between companies are tightened: payment terms are capped at 60 calendar days, the late-payment interest rate goes up, and debtors must pay a fixed €40 compensation for collection costs, plus any proven expenses.
7. Opening gas stations at shopping centers, industrial parks and vehicle inspection stations is made easier, and exclusive supply contracts between wholesalers and gas stations are limited, to boost competition and lower fuel prices.
8. The hiring incentives for young people will remain in force until the unemployment rate falls below 15 %.

Who it affects

• Unemployed people under 30: They can benefit from hiring bonuses for companies, combine unemployment benefits with self-employment and access first-job contracts.
• Self-employed workers and microenterprises: They pay lower Social Security contributions and taxes when starting an activity, and get hiring incentives.
• Companies and suppliers: They get shorter payment terms and compensation if their customers pay late.
• Drivers and fuel consumers: More competition at gas stations can lower fuel prices.
• People with disabilities: They have specific bonuses if they register as self-employed, and hiring incentives extend up to age 35.

Words worth knowing

Base imponible

The amount of money on which a tax is calculated, that is, profits or income before applying the tax rate.

Cuota empresarial a la Seguridad Social

The money a company pays to Social Security for each worker it employs.

Capitalización de la prestación por desempleo

Collecting all remaining unemployment benefits in a single payment to invest in starting a business or a cooperative.

Morosidad

Late payment of a debt, that is, paying after the agreed deadline.

Contrato en prácticas

An employment contract for people who have just finished their studies and want to gain professional experience.

income tax

The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings.

It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries