Sometimes the question arises as to whether it is obligatory for the self-employed collaborator to have a payroll . Well, the answer could be… it depends. Let’s imagine a business run by two spouses. In this case, we cannot establish that it is obligatory for one of them to pay a salary to the other. The income, which the owner would declare, could be common. But what if it were a child who was collaborating? This could give rise to a different situation, in the case that the parent pays him a regular salary. He would then receive a salary, which should be in line with his working hours and the position he holds.
This payroll would be subject to phone number in thai withholding and should be declared in Form 190. This income would be considered work income for the purposes of the personal income tax for the person who receives it. The owner would include these amounts as an expense of his activity for all purposes. The same applies to the Social Security contribution of the self-employed collaborator. If it is the owner of the activity who pays the amount, we would be talking about a payment in kind. In this case, it should appear on the payroll and would also be a deductible expense for him. The binding consultation V2865-11 provides evidence of this here.
If the self-employed person assumes the responsibility of the collaborator, he/she may also deduct it from his/her income tax return as social security expenses, to the detriment of his/her salary. However, if the self-employed collaborator does not receive a salary, there will also be no way to deduct his/her self-employed contribution , since these will be social security expenses that do not correspond to any income.